Consignment - Has anyone seen this?

Bought a 360 that was on consignment. Negotiated with the dealer, the dealer got back to the seller, and a couple days later, deal was done.

I was offering less than the minimum price the seller had set, but the car had sat at the dealer for some time.

So sure, buyer/dealer/seller three way can take time.

D

 

I consigned my 360 spider a few years ago. Dealer advised me on starting/asking price, and charged me a flat % of final sale price. When offers were received, I had to approve or decline the offer. We did not set a minimum price, I retained final say over sale price.

I was available by phone every day during that period, though.

 

So, what you're saying is that threeways can be complicated, no matter in what realm they are being discussed???

 

I don't think you've actually struck a deal ... you've reached a price on the car that the dealer is willing to approach the owner on. You might be happy, dealer might be happy but no one's going to be really happy until the owner signs the title.

A friend of mine has been negotiating on a 458 Spider and the dealer is somewhat miffed that the owner is being unresponsive to this and other offers; he is suspicious that he's simply consigned the car as a winter parking solution.

 

If there is no consideration, there is no deal.

 

have sold several Ferraris on consignment
correct, the final decision on price is up to seller
predetermined commission for dealer, but it's up to seller to accept/reject any offer

 

Clever lad.

 

Plus a probable free detailing. Nice!

 

Yes, this is the way it normally works. When I accept a vehicle on consignment (which I do often, if it's a great car!), then I charge a % of the sale price. I discuss pricing with the owner, and we agree to a minimum, but I tell them that I do not sell the car without their explicit approval on the sale price.

When a buyer makes an offer on the car, and it's a reasonable offer that I am ready to take to my consignor, I tell them that the deal is not final until my consignor accepts their offer.

If it takes a while for the car to sell, then we may lower the minimum price. But, in any event, the owner has the final say on the sale price. It's their car, not mine.

 

That's why, in addition to a % of the sale price, I also charge a storage/advertising fee per month. If an owner is unrealistic about the pricing of their car, and they won't take my advice on the market, that's fine, but they don't get free storage of their car either.

 

You have probably already asked, and any good dealer would know, the status of the consignor's title, is it in hand, at the dealership, or at a bank with a lien against it. I have been at collector auction's before, where the auctioneer announces that the "title is in transit", & there are many reasons for that. But.... also remember a fellow a few years ago, bought 2 cars, his payment checks were fine, waited over 6 months, NEVER got the title for either car from the auction company. He had to go thru a LOT of paperwork/time/cost with the dmv in that state to get titles. I'm a firm believer in the motto of the Better Business Bureau, investigate, BEFORE you invest. Regarding the 458, perhaps a registered letter, to the owner of the consigned car, might prompt a response.

 

Two of the 3 458s that we seriously negotiated were on consignment.

 

Yeah..I tried to buy one which was on consignment .
I don't like this system.

 

what don't you like?
it's not that much different than buying a house
the dealer is the intermediary between the buyer & seller
dealer determines whether or not buyer is a serious/able prospect and eliminates tire kickers
seller avoids giving 'test rides' to those that might not be able to afford said car

 

Maybe that explains the dislike!

 

What % have you guys paid the dealer to sell your cars on consignment? Thinking of doing this with one of my cars? What's the opinion positive or negative of dealing with dealer instead of Auto Trader, etc etc?

 

The wife may also be pissed off "You have to many cars, get rid of some or I will divorce you"
Take to the dealer, and ask for a high price.
Free winter storage, free detail ...... Win/win for the owner.
Also maybe the owner kinda wants to keep the car, but would let it go for the right price.
Both F cars I bought from private owners got sketchy at the point of cash/keys and signing over the title. At this point you can tell they wanted to keep the car ...... wife in the background with "that" look on her face.

 

What car is it you are waiting on? In a rising market, as it is with many older cars, sellers can raise their expectations of what they will accept, on a weekly basis. Recently an Fchat user was selling his car via a good dealer I know. Fchatter eventually posted about what a high price he got for his car. Dealer complained to me about how vendor had kept raising his price, annoying various bidders along the way.

 

I have also consigned cars and have done it as you described with no min price which is ok but you have to talk about all offers .. however at the ferrari dealer we agreed that if I got X the car was sold anything more would be a plus , and I paid him a fee only . He had the right to cut his fee as long as i got my price and I did.