Dealers Profit Margin

Porsche 100
Porsche 100 Forum Participant Posts: 32
edited May 2019 in Motorhomes #1

For various personal reasons our motorhome is not going to get the use it needs and we have therefore decided to sell. We prefer to go to a dealer and are prepared to 'take a hit' on value but just how much should we accept? We have established that a dealers price would be £35000 and are prepared to accept £30000 but is this a big enough margin? Do dealers operate on a bigger margin? I appreciate that it depends on condition and extras etc., but it has been well maintained, is  well looked after and has many small extras, so we would be very surprised if a dealer had to spend a significant amount to market it.

Any opinions/comments would be appreciated.

 

 

 

 

Comments

  • Tinwheeler
    Tinwheeler Forum Participant Posts: 23,142 ✭✭✭
    10,000 Likes 1000 Comments Name Dropper
    edited May 2019 #2

    Don’t forget that a dealer has to pay vat so the windscreen price will not all go in his pocket. Also he has to bear the cost of possible warranty issues so will make an allowance for that. 

    I reckon your £30k is optimistic. 

  • MichaelT
    MichaelT Forum Participant Posts: 1,874
    1000 Comments
    edited May 2019 #3

    Dealer may advertise at 35k but likely he will sell it for less.  They have to clean and service it and as TW says VAT, warranty and fixing any problems so I would say you are 2-3k off the mark.

  • EmilysDad
    EmilysDad Forum Participant Posts: 8,973
    1000 Comments
    edited May 2019 #4

    Some dealers will advertise a vehicle on someone else's behalf  ..... 

  • brue
    brue Forum Participant Posts: 21,176 ✭✭✭✭✭
    1000 Comments
    edited May 2019 #5

    Why not go for a brokerage deal, you agree a sale price and the dealer takes a fee. smile

  • SteveL
    SteveL Club Member Posts: 12,303 ✭✭✭
    5,000 Likes 1000 Comments Name Dropper
    edited May 2019 #6

    Trouble is with those there is not enough incentive for the dealer to push it, over selling his own vans on which his margin will be higher. We tried selling the late father in laws van in this manner and ended up selling it to the dealer before we would have needed to reinsure it.

  • brue
    brue Forum Participant Posts: 21,176 ✭✭✭✭✭
    1000 Comments
    edited May 2019 #7

    Yes, much depends on the circumstances, how soon payment is wanted and the reasons for selling etc.

     

  • Oneputt
    Oneputt Club Member Posts: 9,144 ✭✭✭
    2,500 Likes 1000 Comments
    edited May 2019 #8

    You could find a dealer who will act as a broker to sell your van.  I did this with a caravan about 4 years ago.  Paid a fix price which included, valet, display, advertising etc.,  Van sold in a month and I made nearly twice as much as I was offered for part exchange.  Might be worth you exploring

  • Oscarmax
    Oscarmax Club Member Posts: 257 ✭✭✭
    100 Comments
    edited May 2019 #9

    We have been down this path you may be looking at around £12000 - £15000 , we ended up selling it privately.

  • young thomas
    young thomas Forum Participant Posts: 11,356
    1000 Comments
    edited May 2019 #10

    try Motorhomedepot..

  • Fisherman
    Fisherman Forum Participant Posts: 2,367
    1000 Comments
    edited May 2019 #11

    Recently sold our van through Autotrader. Many dealers enquired and their prices was top teens, I took that as an average £18K. Selling privately I was asking £29K and got £27K. It was easy, Autotrader  web site very helpful with tips on preparing your advert. Warnings on Scams. How to take payment etc. Total cost £49.

  • hitchglitch
    hitchglitch Forum Participant Posts: 3,007
    1000 Comments
    edited May 2019 #12

    The VAT paid by the dealer is on the profit element only I have been told.

Categories