I heard back from B a couple days ago on the car shopping. He was upset that the ideal Ford Edge I'd found him was no longer available. I'm assuming it got sold as it's no longer listed on the website. Realizing that B liked the Edge, even more than the Jeep Cherokee that came with a powertrain warranty, I went ahead and found him a couple more Edges and sent him the results.
B came back asking me about the Jeep Cherokee, which through me for a loop. If he liked that former Edge, why not these other ones. Sure, they weren't as good of a deal, they had more miles on them and some had less options, but they were close. But it's not my decision, I just get the information and let them make the call. As we were talking about the Jeep... it sold too. Gone.
B then shared why it was such a big deal and why that one selling in particular really pissed him off. It seems his credit union is putting some limitations on his car loan. He can only get a loan on a car if the loan is not less than 90% the value of the car (per the credit union). Basically the credit union valued that particular Cherokee at $19,900 and the price it was on sale for plus tax would be $22,000. All of the Ford Edges, minus the one that B liked, were valued FAR less, so even if he got the dealership to take the sticker price out the door, he couldn't get financed for it.
You see, I'd forgotten that while B had gained a lot of his credit back, he still had several bad marks on it, including car repossession. It'll be another two or three years before that falls off of his credit. And his credit union is fully aware that B got a home mortgage just a few years ago AND just got a similarly valued car last year. They're probably worried about him being over extended since they have proof he has done that in the past. Hence, them demanding to NOT over pay for a vehicle according to whatever value they assign the vehicle.
I've always been a proponent that a car's value is whatever someone will pay for it. I believe my Tatiana is well worth her $70,000 sticker price but I couldn't pay that much for her. I think people paying over sticker price for a well desired car is fine. I like Fords and believe they have a great set of options and run great. The industry as a whole just doesn't associate that with the value of the cars. Fusions vs Malibus and Edges vs Equinoxes.
That puts B in a pickle as he has to basically find a car that the credit union wants instead of one that he and his wife wants.
So I offered him my signature again. He treated me right last time and I know my brother will go to bat for me over his own credit, so I'm willing to cosign a car loan for him. The interest will still take a hit as his name will be on the financing, but while I'm technically over extended with a new car loan myself, I should be able to get approved for just about any car loan I want (within reason and B is only looking at cars within reason).
B, like me, is a proud man and of course doesn't like the idea of having to rely on family for help. But I think he quickly realized this solves all of his problems. By this time I've found him 17 cars that match M's selected criteria. Eight of them are Ford Edges. Seven Titaniums and a fully loaded SEL. A few of the Titaniums are fully loaded with WAY more features than M is used to (cooled seats, heated rear seats, panoramic sun roof, navigation, adaptive cruise). Yeah, 'the industry' doesn't value these Edges as much as the Equinox with barely any bells and whistles, but both B and I believe they're worth the asking price.
One, a loaded Titanium in a pretty red, is for sale at the same dealership I got Tatiana at, though she has over 70,000 miles. There's a nice grey one just one town over that's well equipped and has only 51,000 miles. Another one in the other direction but still relatively close by, is loaded minus the adaptive cruise, with 60,000 miles.
Basically, it's down to B and M. I think any of them would be a good buy. The lower mile one is at a Ford dealership so they can sell the Ford extended warranties, and it's available with a bumper to bumper five year 75,000 mile warranty. Sure, it's almost $4,000 itself, but that's piece of mind you just can't get otherwise. Even if they get the powertrain warranty for a couple grand, they could get a GREAT car for a good price and peace of mind that it will keep running while they're paying for it.
It may be a little selfish, but by offering to be a co-signer, I also get to go car shopping with them! Hopefully that's today and I'll be able to make a post about which one we they got.
No comments:
Post a Comment