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I've going to buy a used M5 in the next month and was wondering if CPO warranty work is honored at dealerships other than the one you've purchased the car at?

Still looking for a silver or anthracite model year 00-03 with less than 25k miles. Any leads?

thanks,
 

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carlsturm said:
I've going to buy a used M5 in the next month and was wondering if CPO warranty work is honored at dealerships other than the one you've purchased the car at?

Still looking for a silver or anthracite model year 00-03 with less than 25k miles. Any leads?

thanks,
If you change your mind and want a LeMans Blue, please check mine in the classified section.
 

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Absolutely.

The benefit of the cpo warranty is that it will be honored by any BMW dealer. Period. (Now some dealers may be easier to deal with, but that is irrespective of the cpo.)

You MAY be able to get a dealer to cpo a private party deal. It takes a lot of finesse, but you have the dealer but the car, cpo it, then sell it to you. They make a few bucks. It is tricky to arrange, but possible. It is surely not a normal practice, nor is it officially condoned. DO NOT TALK TO THE SALES GUYS. The finance guys are the ones to do it....

Ard
 

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Discussion Starter #4 (Edited)
Thx, Ard.

Given (2) cars that are equal in every way except one has CPO and one doesn't - what value does CPO add?


ard said:
Absolutely.

The benefit of the cpo warranty is that it will be honored by any BMW dealer. Period. (Now some dealers may be easier to deal with, but that is irrespective of the cpo.)Ard
 

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CPO is certified pre owned... now car dealers would like for you to believe the stringent 'certification process' ensures you will buy a mechanically sound car... right.

IMHO, the "cpo" label includes the extended warranty- that is the ONLY value the cpo adds to a used car. It covers from 50k to 100k and from year 4 to 6 (ie it extends the warranty to 6 years or 100k, whichever comes first)

That, I suppose, states the obvious... what it the monetary value?

Depends.. will you keep it too 100k... or even 75k?

Here is another intangible: when you try to sell your M with 51k miles... a private party buyer MIGHT pay quite a bit more if it has a 100k warranty.

I paid $1795 for a cpo.. absolutely worth it for ME. Even at $3k- one medium sized warranty claim will pay off.

Ard

PS For a dealership to cpo the car, the tires and brakes must be 50% or greater. Can be a 'nice to have'- that is knowing the tires are only half gone :)
 

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Yes.

It is a really tricky thing to do- primarily since (a) the sales guys have zero interest in helping, and (b) they never do this kind of deal, and (c) they aren't making much $.

I approached the finance manager at five dealerships. Two agreed My pitch was 'I'd like to add a cpo to a car I am buying and I'll pay you $500 for doing the paperwork".. (or something along those lines). They would often say- "can't do that, you need to buy it from us".. To which I said, I will, but it will all be done at one sitting without you having to actually hold the car.

The seller needs to help a bit too.

Here is how it worked for me:

1. Seller drops the car off for inspection. I pay $200 for the cpo inspection (they actually never took the money- but would have if it failed inspection or I pulled out.)
2. Car passes (with the note that it needed new rear tires.)
3. Seller signs over the car to dealer (poor guy actually had to deliver a check too for BMW FS...)
4. Dealer does NOT finalize the purchase of the car.
5. I show up (same time) and deliver check, sign purchase agreement- hand check
6. Dealer Cpos car, new rear tires, gives seller copy of purchase documents, give me the keys.

The trick it to make the dealer feel totally comfortable that there is zero risk they will get stuck, and also to be as easygoing as possible so they can see it is worth $500 to just shuffle the docs.

The added benefit is that the dealer acts as an escrow agent- he paid off the lease and sent me the title.. without the dealer, I am trusting the seller (or BMWFS) to get me the title.

I think any dealer will get a certain 'intangible' benefit as it will look like they sold a used M5 to BMWNA when it comes time to allocate E60s...

Anyway, you can see why the salesmen have no interest- nothing in it for them. You need to talk with the guys that know deals and can see the incremental value of moving a unit.

ard

PS I'd have gone $1000 for this ... but they agreed at $500.
 

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Great deal.

I just know Markel BMW in Omaha would never go for it. They are a bit cutthroat!

Thanks for the info though.
 

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Still looking for a silver or anthracite model year 00-03 with less than 25k miles. Any leads?

I have a 2002 M5 in the charcoal color (is that anthracite in BMW terms?) with the black /wood interior for sale. It has 12,500 miles, never wrecked, never raced, garage kept. It has the subwoofer sound system, the split folding rear seats, the park-distance control system. It does NOT have the sunshades, but the dealer has tinted the windows. The only repairs it has needed are a new subwoofer speaker when I took delivery, and recently one of the cupholders lost its springiness and was replaced under warantee. This car is in the classifieds of this site with a rather high price (and the ad says that it does not have the split folding seats which I had never used and later discovered I do have!) I am now asking a more realistic $54,000.00. As the original owner, I am still eligible to purchase the extended factory warantee and/or the extension to the full maintenance packages. The cost for both is around $5,100.00 as I recall ($3,400 for the warantee and $1,700.00 for the maintenance). I would be willing to purchase either or both of these packages (which the dealer tells me ARE transferrable to a second owner for a fee) for a commensurate increase in the sales price. Your choice. Thanks! Phil [email protected] I do not get to the computer every day, so if you e-mail me back, be patient please.
 

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PBKB72 said:
I am now asking a more realistic $54,000.00. As the original owner, I am still eligible to purchase the extended factory warantee and/or the extension to the full maintenance packages. The cost for both is around $5,100.00 as I recall ($3,400 for the warantee and $1,700.00 for the maintenance). I would be willing to purchase either or both of these packages (which the dealer tells me ARE transferrable to a second owner for a fee) for a commensurate increase in the sales price.
You should note that the warranty you say is transferrable is ONLY transferaable if you buy it at least 90 days BEFORE you sell... otherwise, no. You might check with the dealer....

Unfortunately, 2002s are coming off lease with a residual (buy out) value of $48k...

Good luck

Ard
 

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Thanks for the warrantee information. I was unaware of the 90 day limitation on the warrantee purchase before a sale. My dealer did not mention that "minor" detail! It would appear that I am still priced too high. Unfortunately, I owe what I was asking for it in the last post! Some soul searching is in order!
 

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PBKB72 said:
Unfortunately, I owe what I was asking for it in the last post!
Painful.

WHen I purchased my 03 in October the prior owner (leasee) had to write a sizeable check to BMWNA... not fun for him.

Ard
 
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