The global pandemic has caused a lot of issues from the obvious health related ones to supply chain problems. As a result, it affected everything from computer chip shortages to limitations on the supply of cars.
New car prices have climbed almost eight per cent over last year and with factory shutdowns new car inventory is down 25%. A recent J.D. Power survey showed that people are also choosing more trucks and SUV’s with both higher price tags and higher trim levels. SUVs and pickup trucks make up about 80 per cent of all sales now. Some of that can be attributed to the desire of people to stay closer to home and tow a boat or a trailer and in other cases the new car market has both limited supply and limited incentives. Other consumers, realizing that travel may be limited for a while are looking to change vehicles or get that car they have always been thinking about.
As a result many Canadians are turning towards the used car market and the need for consumers to get a Pre Purchase Inspection has become more and more important. We specialize in repair and maintenance on Porsche, Mercedes, BMW and exotics like Ferrari and Lamborghini and we are seeing more and more people getting caught up in the bidding wars to get their ‘dream’ car and skipping the PPI. The housing market is a similar but much larger example of it. We have had a few cases where the consumer came to us after buying a used vehicle as they have discovered significant and expensive issues that would have been found had they invested the time in a PPI.
With COVID lockdowns many cars are being sold online and although there may be a huge number of pictures associated with the car being considered they really do not tell a full story. We’ve seen Ferrari’s with subframe issues, Bentleys with ECU issues, other brands with hidden oil leaks etc. that were only discovered after the used car was purchased. We aren’t suggesting that everyone selling a used car is hiding issues, but we are seeing much more people getting caught up in the ‘moment’ of buying the car and not getting the full potential out of it because they were missing that crucial step.
We get it – you’ve made your decision to buy the car of your dreams and its right there…in front of you, promising a summer of fun (whatever that looks like during the next few months) or a replacement for your current vehicle. You’ve seen a hundred online bids on the car and the low supply within the market and you make the purchase. That crucial missed step of the PPI can not only save you headaches but also money. The leverage you can get to negotiate a better price can be enormous with the assistance of any evidence gleaned out of a good PPI.
So what makes a good PPI?
First off let’s talk about what it is. A PPI is a vehicle inspection performed by a licensed technician who will give the vehicle a thorough review to determine its overall external, mechanical and safety condition. The technician will pinpoint any existing conditions and highlight potential issues that could arise in the future, and will investigate to make sure any previous damage has been properly repaired. By learning more about what’s happening before you buy, you could end up more confident that you’re buying the right car. Conversely, you can decide that it’s not the right one for you, or uncover some details to leverage in your price negotiations.
The choice is yours - but with low supplies and high demands for used cars, protect your potential purchase with a PPI. Ours start at $250 for a 43 point inspection and we can tailor that to even higher levels of detail depending on what the customer is looking for, like a much deeper dive into the vehicle and its systems.