FIVE THINGS TO REMEMBER WHEN PURCHASING A LUXURY VEHICLE
By: Serge Levkovich
So, you’ve scrimped and saved for that sports car or limited edition European sedan you’ve wanted for years, and now it’s finally time to pull the trigger. But perhaps it’s your first such purchase and you’re a little confused as to how to go forward. What questions should be asked in order to ensure you get a good deal?
To be sure, shopping around for an exotic or rare automobile is a little different than looking for a reliable car to get you from point A to point B. There are considerations that should be made for a Ferrari or a Lamborghini that wouldn’t be applicable to a Ford Explorer or a Honda Civic, for example.
How do I know all this? It happens to be my area of professional expertise. From 2003 to 2021, I was the general manager of Caliber Automobiles Ltd., one of the premiere luxury vehicle dealerships in the Greater Toronto Area. In 2022, I became an entrepreneur in the same line of business; an independent agent who helps clients interested in exotic cars locate and obtain them for the best value possible.
Over the years, I’ve learned a great deal. I also understand that if you’re buying a luxury vehicle for the first time, it might be difficult to figure out where to find the answers you seek or even what questions to ask in the first place.
Here are five of the most useful things I’ve learned about buying luxury cars.
Know Your Financing Options
Before committing to a final purchase, it pays to explore the various financing options available to you. You might find better rates through specialized lenders or even your bank. Even if you’re already wealthy and money is no object when it comes to this passion purchase, it never hurts to save wherever possible. After all, the best way to guard your wealth is to spend as little of it as possible.
Check the Vehicle's History
This tip only applies to those considering a pre-owned luxury car. Before getting too far into negotiations, it’s crucial to review the vehicle’s history. Get a detailed report from the seller to see if the car has been in any accidents, has had multiple owners, or has any outstanding recalls from the manufacturer. This information will help you make an educated decision about whether or not to pursue the vehicle, and if you do end up buying it, to avoid a bevy of potential problems down the road.
Understand the Total Cost of Ownership
Luxury cars often come with higher maintenance, insurance, and repair fees. Make sure you budget not just for the purchase price but also for these ongoing expenses. Depending on the make and model (and especially, whether or not they are still being manufactured), the costs of replacement parts and specialist mechanic labour can add up extremely fast. Having some idea of the full cost associated with a given vehicle will help you make a more informed decision.
Consider the Resale Value
Some luxury cars hold their value better than others. It’s always a good idea to research whether the vehicle you’re interested in has solid resale value. Not only is this an indication about the automobile’s quality and longevity, strong resale value means you’ll be able to recover a larger portion of your initial investment should you ever choose to sell it in the future.
Test Drive and Inspect Thoroughly
Never skip the test drive, as it’s your main chance to see how the car handles and if it meets your expectations. After spending some time behind the wheel and evaluating the car’s performance for yourself, it never hurts to have a trusted mechanic inspect it to ensure there are no hidden issues. I cannot underscore enough how vital this step is to ensure that you’re getting a quality vehicle.
By keeping these five handy tips in mind, you’ll be well on your way to making a smart (and stylish) luxury vehicle purchase. Happy hunting!
