Is Mercedes Benz Becoming An “Old Person” Brand Again?

Out of the five prominent German brands, Mercedes Benz could be described as being a “tweener”, where it’s not exactly a manufacturer that attracts younger consumers, but it’s not a brand for retirees either. When looking at VW, Audi, and BMW, there’s a very strong following of millennials who are being introduced to each brand thanks to the Volkswagen GTI, Audi S3/S4, and BMW E36/E46/E92 M3’s. Porsche is in a league of it’s own, as the 911 has always been a sports car that’s pinned to the bedroom walls of car enthusiasts who dream of owning an amazing driver’s car. But where does that leave Mercedes Benz?

Besides the AMG line of performance cars, Mercedes seriously lacks a car that rivals the S3 and S4 in terms of price. Sure, you could purchase a 6-10 year old W204 C63, which personally was my favorite generation of the C-Class, but a newer B8 S4 is a more appealing option thanks to an AWD system and a list of modifications that can be done immediately to personalize the car. On paper the CLA 45 AMG seems like a good option, but ask any car enthusiast and their initial response is, “it’s not a real AMG”. If we’re looking at this purely from a young person’s perspective, there’s very little to choose from to bring in millennials and establish a new generation of Mercedes Benz consumers. But the issue isn’t that simple, and this goes beyond car enthusiasts, performance cars, and AMG.

Starting around the 2014/2015 model year, Mercedes Benz made significant changes to their lineup, slowly making the C-Class, E-Class, and S-Cass resemble each other. Last year I did a review of a 2015 C300 4Matic, and even back then the interior styling was very reminiscent to the S-Class. Prior to the W205 generation, the C-Class had it’s own unique look, and the same could be said for the E-Class. Today, the entire sedan lineup for Mercedes Benz looks outdated despite the minor facelifts each model has received over the last three years, and this is most likely magnified because they almost look identical except for size and some design cues. There’s no denying that we’re experiencing an era of styling redundancy in the automotive industry, but Mercedes Benz is arguably first in line when we talk about similarities across the board for interior and exterior appearances.

Right now younger consumers are gravitating towards VW, Audi, and BMW even if they’re not purchasing S3 and S4’s or M3’s. This may be due to the older cars from these brands that are available to them, and as they start working, they’re trading up to a newer 3 Series or A4. Another indication that Mercedes is becoming an old person brand is that 20-30 year old car enthusiasts are more apt to purchase a BMW 340i over a C43 AMG despite a discrepancy in horsepower and torque figures. Whether this has anything to do with, “it’s not a real AMG” or not, Mercedes Benz just isn’t drawing interest by millennials for their consumer vehicles, and the only enthusiasm young drivers have towards Mercedes is for the C63, E63, and AMG GT which is well out of reach for them financially.

What’s even more alarming is the bloodbath Mercedes is experiencing when it comes to sales. So far this year, they’re down 14% and in the month of August, sales dropped 26% from July. Meanwhile, Audi and BMW are still experiencing gains, further backing up the observations that there’s been a shift in buying behavior, and a lot of that has to do with Mercedes Benz failing to draw in young buyers. This may also be effected by the aging lineup, and as mentioned before, there hasn’t been any significant changes to the appearance of Mercedes Benz models since 2015.

Needless to say, there is a transition period happening right now. The completely redesigned CLS and GLE are set to hit showrooms soon along with the all new A-Class, which should usher in new generations of other models in the near future. The real question is whether these changes will make an impact and reverse the sudden drop in sales, but more importantly attract buyers who are 40 years old or younger.

2018 Volkswagen Passat V6 GT – Is It A Sports Sedan?

Since 2011 the Volkswagen Passat’s design hasn’t changed much, and while some might consider the appearance, both inside and out, a bit outdated, at least VW continues to offer a V6 engine. In a time when turbocharged four cylinder engines dominate the mid-size sedan market, there’s very few that come with a traditional V6. The closest competitor that comes to mind is the Toyota Camry XSE; a car that boasts a 301 hp V6 engine. Despite slightly less horsepower, the Passat GT undercuts the Camry in price by $6k – $9k, giving consumers an affordable option if the four cylinder Passat and Jetta just isn’t enough.

For performance, the 2018 Passat GT comes with a 3.6L VR6 engine that gets 280 hp and 258 lb ft of torque, and is paired with a 6 speed dual clutch automatic transmission. A 0-60 time of 5.8 seconds is right in line with the Toyota Camry XSE, Honda Accord Sport 2.0, and Chevy Malibu Premier 2.0. Some of the slight differences compared to the other Passat trims is that the GT is lowered by 0.6 inches and gets 19 inch Tornado design wheels. It also comes with the more aggressive R-Line front and rear bumpers, black roof, black mirror caps, and two-tone leatherette seats with contrast stitching. A GTI-inspired front grille will set the GT apart from other Passats, and when combining that full appearance package with LED front headlights and tail lights, the Passat looks more refined and sporty.

Volkswagen has marketed the V6 GT as an “American-born Sports Sedan”, which has led automotive journalists to test out cornering, straight-line performance, and braking in their reviews of the car. While VW has stiffened the suspension on the GT, it’s not a sports sedan, which is perfectly ok. I think many have misinterpreted or completely missed the point of the V6 GT, and instead of looking at it as a competitor to a Dodge Charger or any other sports sedans on the market today, it’s a step up from the four cylinder Passat, and may even be perceived as a more grownup VW GTI.

From the appearance alone, the GT trim has some design cues from the GTI and I can’t help but feel that Volkswagen is indirectly trying to appeal to the GTI owners who are ready to move on from the hatchback. The GTI is often associated with younger car enthusiasts who most likely don’t have a family of their own yet, but for those who do, it might be time to size up and that’s where the Passat GT comes into play. Let’s be honest, on a Saturday afternoon you most likely aren’t taking a Passat to the track, which is why this car fills the role of being a mid-size sedan you can have some fun in, while also being a good daily driver. On the other hand, Volkswagen has gone all in on the R-Line, which is why it could also be possible that introducing the Passat to a more sporty appearance is part of the plan to provide a whole new look to all models in the VW lineup.

Stepping inside you’re greeted by 8 way power adjustable heated two-toned leatherette seats. You’ll find faux carbon fiber trim on the dashboard, which I personally think is a nice touch. My only complaint, and a lot of this has to do with my time in the redesigned 2019 Volkswagen Jetta SEL Premium, is that there’s no digital information display. But again the GT is only an additional $2k more, so the upgrade in size and horsepower evenly balances out the downgrade in technology available and that’s something I could live with. You’ll get a 6.3 inch touchscreen with Apple Car Play and Android Auto compatibility, and it’s a very straight forward system to use.

Volkswagen Passat V6 GT
Volkswagen Passat V6 GT interior

In the back, passengers will get a lot of legroom as the Passat is one of the leaders in its segment in this category. For rear cargo space you’ll get 16 cubic ft of cargo room.

Some of the safety features that come standard on the Passat GT is a rear backup camera, blindspot monitoring, Forward Collision Warning and Autonomous Emergency Braking.

Overall the Volkswagen Passat V6 GT is a product of it’s time. With Toyota going more sporty with the Camry XSE and Honda having the Accord 2.0 Sport, VW had to respond to the growing trend in sport oriented mid-size sedans. We could debate for a while on whether the GT is the grownup GTI and whether that was even Volkswagen’s intention, but when a brand adds a sports appearance package that’s reminiscent of a popular model in the lineup and combines that with a V6 engine that could certainly grab the attention of maturing car enthusiasts, it’s definitely something worth noting.

Also with an aging design, Volkswagen had to bring something new to the table. Keep in mind, the all new Arteon will be hitting showrooms sometime in the fall, and seeing that VW is pushing the R-Line appearance package on the Passat and Jetta, the GT could be a sign of things to come for all models in the lineup from the German automaker.

5 Reasons Why The Volkswagen GTI is the Perfect Car For Young Enthusiasts

For many car enthusiasts like myself, finding the perfect car can be extremely challenging. You want something cool and fast that will turn heads, but for some, you also have to be practical and live within your means. This is a problem many of us face, as you may have to compromise and try finding a perfect balance where you can have fun but also have a car that can be daily driven year round. Of course, this means cars that were once on your radar have been eliminated, and now it comes down to finding the best option available.

The Volkswagen GTI, whether you’re in the market for a new or used vehicle, is one of the best examples of a car that satisfies the needs of enthusiasts, but is also functional for everyday use. Here’s 5 reasons why the Volkswagen GTI is the perfect car for enthusiasts looking to join a car scene while also having a daily driver.

Overall Practicality

If you’re living on a budget, you’re most likely not going to be that guy who has more than one vehicle in his garage, so focusing on sports cars that are great for car season but not the winter certainly isn’t an option. You’ll also probably be looking for something with a decent amount of cargo room and maybe even a car that’s fuel efficient. The Volkswagen GTI checks off all the boxes for practicality, as 25 mpg in the city and 33 mpg on the highway is going to keep you away from the pump when traveling to car events or cruising on the weekends with a group of friends.

For rear cargo space, you’ll initially get 17 cubic ft of cargo room, but your max volume capacity is 54 cubic ft, which is one of advantages of going with a hatchback. When speaking of a daily driver, the GTI functions as a normal compact car and in the winter, a good set of winter tires will get you through even the worst New England snowstorms.

Affordability

The GTI is one of those cars that’s affordable both new or used. For a base model 2018 GTI S you’re looking at a price tag of around $26k-$28k. If you’re like me, you’re probably leaning more towards certified used unless you have every intention of modifying your car that could void your warranty depending on what you have in mind. The sweet spot for used seems to be in the $15k-$19k range.

Gets You Into Car Events

Obviously, one of the points in buying a sports or performance car is to become part of the community. A concern some new members may have is whether their car is unique enough to get in. What’s interesting about the Volkswagen GTI is that even when fully stock, it’s welcomed with open arms, and that’s because of the admiration many enthusiasts have for the hatchback, which is something we’ll get into in a minute. So if you don’t have any initial plans to modify the GTI as soon as you get your hands on one, you’re not going to be rejected when showing up to a local event.

Enthusiastic Group of Owners

When looking for the vehicle that will introduce you to the car scene, one aspect that often gets overlooked is the sub community that is created by a very enthusiastic group of owners for a particular model or brand. Some cars more than others have a great community that helps each other out, offers advice on modifications both esthetically and performance, and also hosts their own events that’s based on the cars they own.

The Volkswagen GTI has some of the most passionate owners I’ve ever met, and what’s great about this hatchback is that there’s a variety of mods that can be done to make your car perform and look better. Having a great group of fellow owners around you or even in a Facebook group page is going to give you ideas on how to make your GTI unique.

Understated Performance

For the 2015 model year, Volkswagen began offering 210 hp and 220 hp turbocharged four cylinder engines that come with an eye opening 258 lb ft of torque which is a significant increase from the MK6 generation. The MK7 also has a lot of potential through modifications, which could make the GTI a sleeper to an unsuspecting driver you pass by on the highway. Even at completely stock, you won’t be get left behind by other cars in your class, unless they have performance upgrades.

Auto Sales Get Decimated In October – A Sign Of Things To Come?

The month of October was not friendly to most car manufacturers, as overall sales in the United States dropped 6%. This sharp drop can be attributed to volume sellers who saw declines that haven’t been posted in quite sometime. Is this a reason for concern moving forward? Is a slowing auto market going to be the new reality that manufacturers will face for at least the short term? New car sales have been slowing over the past few months, but October’s sudden drop in overall sales is nothing that should be taken lightly.

It should be noted that October of 2016 had two fewer selling days than October of 2015, but with some of the percentages that were posted, not even two extra selling days could change the outcome of a bleak new car market.

Fiat-Chrysler Massacre

It has not been a good year for the Fiat-Chrysler group, and October magnifies the downward trend in sales for most of the brands. Chrysler posted a decline of 44.7%, Fiat down 24.3%, Dodge -16.4%, and Jeep -6.6%. Three out of the four brands listed are down on the year for new car sales, while Jeep is still maintaining an increase of 9.7%. With Dodge ending the Dart and Chrysler no longer producing the 200, sales figures being down was to be expected, but for the auto group as a whole, there’s not much excitement for any of the brands, besides Dodge which produces the Challenger and Charger.

BMW, Volkswagen, Volvo and Land Rover Experience Sales Decline

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Volvo and Land Rover, two manufacturers who are both up on the year in new car sales in the United States, saw sharp declines in the month of October. Volvo, a brand that has been revived thanks to the all new S90 and completely redesigned XC90, experienced a 14.6% drop in sales. Land Rover saw a decline of 23.2% in October. Despite the sharp drop in sales in the United States, Volvo and Land Rover are still having a fantastic year overall, and shouldn’t be too concerned about the final quarter of the year, unless lower sales figures overall in the automotive market becomes a trend.

BMW may be the biggest surprise for lower volumes in sales, not only for October, but for the year of 2016. Down 18.4% last month, and down 9% for the year, BMW is the only brand out of the big three luxury manufacturers in Germany that has experienced declines. Mercedes Benz and Audi are still strong, and while sales were flat in October, the loss of two sales days could be a contributing factor. Volkswagen on the other hand has not recovered from Diesel Gate, and with a loss of 13.5% on the year and another double-digit loss last month, it just continues to get worse for the German auto brand.

Bentley, Jaguar, Maserati, and Porsche Have Strong October

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Not everyone is reeling from the October blues, there are car brands that had a fantastic month with Bentley, Jaguar, Maserati, and Porsche having double and even triple digit increases in sales. The British are leading the way and Jaguar’s 226% sales increase can be attributed to the F-Pace and XE, which have both taken their respective markets by storm. The F-Pace is Jaguar’s first attempt at making an SUV, and so far it has been a great success, while the XE, which is the British’s answer to the BMW 3 Series, is seeing strong sales since it’s arrival to the market earlier this year.

Bentley’s impressive gain of 158% in sales last month is all thanks to the Benteyga, which is Bentley’s first ever SUV. In October, the Benteyga contributed more than 33% of sales for the Bentley brand. While the British luxury car maker is down on the year by 6.8%, the entrance into the luxury SUV market has yielded strong sales figures, with the Benteyga making up about 50% of Bentley’s sales in the US since it’s debut on the market in August.

Maserati, much like Bentley and Jaguar, has seen strong sales numbers since entering the SUV market as well. The Levante, which also brought in about 33% of sales in October for Maserati, has received raved reviewed by journalists and consumers. Maserati has hit a home run with their luxury SUV, and that is starting to trickle down to other cars in the lineup. The Ghibli had a strong month alongside the Levante, leading to Maserati’s 11.8% increase in sales for the month of October.

Porsche had the best month out of all German brands in October, with luxury SUV’s again being the main contributor for strong sale. Up 10.7% in October and 3.2% for the year of 2016, Porsche has seen tremendous sales figures and it’s the Cayenne and Macan that is carrying the once sports car dominated lineup.

Strong sales across the board for luxury brands could be a good sign, despite the slowing of overall sales in the market. While Fiat-Chrysler, BMW, Volvo, and many others struggled in October, there’s no reason to panic just yet. If the fourth quarter of 2016 continues a downward trend and that transitions into the new year, then there would be a legitimate reason for concern. As for right now, we can only hope that October isn’t the start of a trend, and that the holiday season and the incentives that come with it could motivate consumers to buy in November and December.

Will The Ford Focus RS Bring Performance Packages To Cheaper Vehicles?

The Ford Focus RS is no doubt a game changer in the auto industry. For the first time, Ford is bringing their performance packaged Focus RS to the United States, which has also raised the question of whether we’ll see an RS version of the Fiesta. By doing this however, Ford would be awakening some sleeping giants in the auto world who are waiting for their moment to break free and start offering performance vehicles to the average consumer. This could also have an impact on Subaru’s turf as the WRX STI hasn’t had many challengers, if any since the Mitsubishi Lancer’s steep decent into irrelevancy. This may also eventually reach Volkswagen’s stake in the hatchback market if other car companies start following suit.

Toyota is already mulling over the idea of unleashing the TRD performance packages for the Camry, and one could then speculate on whether the Toyota Corolla will get the same treatment. For the past few years Ford has been going at it with Toyota and Honda to become the top dog in annual sales, and with the RS line, it’s very possible that consumers may start looking to performance. Toyota already realizes this, and are at least looking into getting in on the action.

Prior to the Focus RS’s unveiling, the Subaru WRX STI and the Volkswagen GTI were sitting comfortably in their respective markets. The GTI has always been the favorite for hatchbacks and are extremely popular, even with the Focus ST being priced in the same neighborhood. Now with an AWD Focus, Ford has some leverage to entice consumers to look at other options besides the GTI. The Subaru WRX STI on the other hand will be harder to dethrone, as car manufactures who’ve tried to compete with Subaru ultimately failed, and it will take some time for Ford to convince consumers in that market to make the switch.

In the past year or so, we’ve seen almost every car manufacturer get in on a new, emerging market. BMW and Mercedes Benz are now duking it out with the X6 and GLE in a market that could be gaining some traction. Right now it seems that performance packaged hatchbacks and compact sedans could become the latest trend in the automotive world. What we’re witnessing is an intensity in competition between automakers that really hasn’t been seen since the dawn of the muscle car. In the past, car companies would be unique and try selling based on a feature or design that no one else could offer. Now it appears that to stay alive, auto brands are continuously attempting to improve an existing design.

Up until recently, no one tried to advance on the WRX STI and the GTI’s turf, but with Ford making the bold move to bring a version of the Focus that was being sold outside the United States to America, we may see other car brands do the same. Honda will not be bringing over the Civic Type R until at least 2017, but you can believe that if Toyota starts selling TRD packaged Camry’s and Corolla’s, Honda will start feeling the pressure to sell a quality performance car.

Consumers are going to have variety in almost every market. Now it comes down to personal preference. The diehard GTI and WRX STI fans will be reluctant to switch to a different brand, but for Millennials who are starting to buy cars, they may look to new brands, and etch their own buying habits in stone.

Lower Gas Prices Are Still Not Enough For Consumers To Buy Big SUV’s

Cadillac Escalade SUV
Bruno Rs / Foter / CC BY-NC-ND

The national average for gas is below $3.00 a gallon which has affected different markets in the automotive segment of the economy. Electric and hybrid cars have seen lower sales figures since the recent nose-dive oil has taken the past few months. However, with these lower gas prices, sales figures for large SUV’s still hasn’t improved, and just as the sports car market, the bigger SUV market may never recover.

Ian Robertson, a Sales Chief for BMW said recently that the age of the sports car is coming to a close and that we’ll probably never see that market recover. While he only mentioned two-door coupes, it appears that the recession has also put another segment of the auto industry on life support. Larger SUV’s such as the Cadillac Escalade and the Chevrolet Tahoe are only maintaining a 7% share of the market, which that number has flatlined since 2009. Not even lower gas prices are helping this segment. Since the recession and the days of $3.00 a gallon, car companies have had to adapt to a new economy, one in which the consumer is very careful about spending and expenses.

The crossover SUV’s have taken a bite out of the traditional SUV’s market share which could explain why we’re not seeing improving sales figures. Crossovers and small SUV’s such as the Volkswagen Tiguan, BMW X1 and X3, Mazda CX-5, Audi Q3 and Q5, Ford Escape, Volvo XC60, and Honda CR-V, are all eating away at the sales figures of their bigger siblings. Car companies aren’t just stopping there, they’re continuing to grow the crossover segment as Mazda already has a CX-3 in the works, and seeing the competitiveness of the Germans, who knows what they’ll think of next.

Consumers have also adapted to the new economy that we’ve lived in for the past seven years. They’re learning that they don’t need a huge SUV to get around and that even with a smaller vehicle, they can still carry their groceries, drive their kids to school, and while doing that, saving money at the pump. Smaller SUV’s and crossovers have become the new practical. While Americans won’t admit it, they’ve become more like Europeans since the recession, as Europe has been living with high gas prices way before the economy had it’s downturn.

We live in a new world. The economy may or may not have recovered, or some sectors have while others are still lagging behind. But one thing is for sure, the auto market will not change the direction it’s heading in unless there is a major swing in the markets and on Main Street. In 5-10 years, we may look back on the recession as the killer of the big SUV and sports car markets as we once knew them.

Are Sports Cars Becoming A Thing Of The Past?

Er hat bestimmt eine tolle Klimaanlage.
ingrid eulenfan / Foter / CC BY-NC-SA

As we’re heading into the fifteenth year of the new millennium, the automotive world has changed quite a bit from twenty years ago. Sedans have more powerful engines, which means more horsepower, smaller SUV’s and crossovers can be found in almost every car manufacturer lineup, and technology in both the engine and the interiors of vehicles have now taken precedence over power. When it comes to the traditional sports car, is their time coming to and end? BMW’s Sales Chief Ian Robertson thinks so.

“The sports car market is roughly half of what it used to be,” Robertson told Bloomberg. “Post-2008, it just collapsed—I’m not so sure it’ll ever fully recover.”

To keep his comment in context, he’s not referring to the exotic luxury sports car market that includes Ferrari and other premium brands. Two-door coupes in general have been waning, and to take their place, sedans which used to be seen as for the average adult, now have sports packages that certainly would make a consumer question the long term value of buying a coupe.

Two-door coupes really aren’t that practical for families, or young adults who want to drive their friends around town. There’s less carrying capacity for both people and groceries which could definitely be a hassle if you’re moving into a dorm or shop frequently. Looking at how the automotive world has evolved over the past decade there are certainly better options out there for the average consumer.

Hatchbacks and sedans today offer everything the car enthusiast and everyday driver wants from a car. Cargo space, seating capacity, and more importantly stronger engines with more horsepower. While some would say sports car have a better center of gravity and can take turns better, how important is that to people who just want to get from Point A to Point B?

Sports cars have been on the downward trend. However, while the sports car market is slowing down for automakers, Ford, GM, and Dodge have re-introduced the muscle car to the American driver. Ford’s new Mustang that has the body style of the 1960’s, Dodge’s Charger and Challenger Hellcats that pack a whopping 707 horses, and Chevy’s Camaro are all grabbing the attention of sports car drivers. But other than the Americans, many car companies have turned their focus to serving the consumer who wants a four-door.

Even Porsche has slightly strayed from their identity as they’ve come out with to SUV’s and the four-door Panamera. Volkswagen is discontinuing their Eos, Volvo stopped producing the C30 and C70, Mazda has no plans to remake an RX-8, Chrysler is putting more focus on the 200 sedan rather than the coupe which they do offer, BMW is adding a four door to their 4series, and Audi has released sketches of a four-door TT. The trend in the automotive market is moving towards sedans and SUV’s, and whether that has anything to do with the fact that they’re more practical, or manual transmissions (which are usually found on sports cars) are becoming a thing of the past, we can’t lie to ourselves and think that Ian Robertson is wrong.

As I said before, he wasn’t saying anything about the exotic sports car market which is seeing strong sales numbers; he’s referring to the market that BMW is in. Consumers want smaller four-door cars, and that’s what we’re seeing car companies building. While Ian Robertson might be right about the sports car market, the four-door sedans of today have that sports car identity built in them that makes the Dodge Charger, Chrysler 200S, Audi S4, and the Lexus IS-F very popular cars.

More Car Buyers Are Leasing and That’s Good For You

The percentage of Americans leasing cars has boomed to 20% over the past few years. Rough economic times, better leasing offers, and car manufacturers creating better vehicles has helped spur the growing number of consumers leasing instead of buying new. Some car dealers may prefer that most consumers would much rather buy, and that leaves the opportunity for those who buy certified pre-owned vehicles with an endless array of quality cars at reasonable prices. As with most trends in the economy, there is always an opportunity for someone to walk away with a great deal, and right now it’s time to take advantage of the leasing craze that is growing across the country.

Tesla just unveiled a leasing program for their Model S, which will now make monthly payments cheaper for the consumer.

From the Wall Street Journal

With sales of its electric sedan declining in its home market, Tesla Motors Inc. this week launched U.S. incentives that cut its monthly lease price and aim to convince potential customers that buying the car is a safe financial bet.

Tesla Chief Executive Elon Musk said the Silicon Valley car maker is joining with U.S. Bank to cut monthly lease payments by as much as 25%. In a blog post on Saturday, he credited the bank’s lower cost of capital for the lease-rate cut. He also unveiled a “happiness guarantee,” promising to take back cars within the first 90 days of ownership “if you don’t like your car for any reason.” The return policy doesn’t allow a buyer to swap for another vehicle.

While some would say this is because of declining sales, this is happening across the board for most auto manufacturers. Leasing is becoming the new normal, especially with the uncertainty of the long term health of the economy. You might ask, “So where are the opportunities?”. Here are three cars that are under $25,000 and are from luxury brands that can be found on dealership lots. Best of all, they’re certified pre-owned and the mileage is below 31,000.

1) Volkswagen GTI/Wolfsburg Edition

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It’s not too uncommon to find Volkswagen Golfs, but to find multiple GTIs spanning from the years of 2011-2013 is very surprising. Even better for the consumer, there are a few Wolfsburg edition GTIs on the market that are under $25,000, one of which has only 5,000 miles on it. These are gems, and with the turbocharged engine that supplies 200 hp, you get performance and cargo room which is always a plus.

2) 2011 Lexus IS 250

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To see these under $25,000 with close to 20,000 miles is certainly an eye opener. A local Lexus dealer outside of Boston has a few of these, and even though they are the base models, they’re still fully equipped and in great condition. Navigation system and backup assist make you feel like you’re getting away with more than what you paid for, but these are the types of deals that are out there. Seeing a Lexus IS on the market in great condition and not overly driven, it makes you question why there are certified pre-owned Toyota Camry’s and Chevrolet Malibu’s in the same price range.

3) 2011 BMW 3 Series

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Just as the Lexus IS, the model year may be the only reason why these luxury cars have depreciated in value. There are BMW 328i X-drives that only have 25,000 – 30,000 miles on them and priced under or at $25,000. Once again, this is a luxury sedan that will make your mouth water because to see a BMW in unbelievable condition at that price was unheard of a few years ago.

When seeing offers and deals like this, it really makes you consider going the certified pre-owned route. The automotive market is evolving, and unlike 10-15 years ago, going used isn’t a bad thing, especially when you have three solid vehicles at reasonable prices. This is only the beginning though. Seeing that there is no reason to believe the leasing trend is going to slow down, there will be more opportunities down the road. Who knows what will be on the market a year or two from now, and maybe there will be better offers than there are right now.

Using CarFax Alone Isn’t Going to Guarantee Finding a Quality Car

Volkswagen Golf 6 2008 26
Janitors / Foter / Creative Commons Attribution 2.0 Generic (CC BY 2.0)

CarFax is a great tool for the 21st Century car buyer who is looking for a Certified Pre-owned or used vehicle that is still in good condition. However, there is still no guarantee that you’ll find the perfect car that has years and thousands of miles left in it’s lifetime. There are multiple factors that come into play, such as the previous owner’s driving habits, the car’s seasonal wear and tear, and more importantly where the vehicle was manufactured. The country(s) in which the car was manufactured can be the difference between buying a quality vehicle and a lemon.

To dig deeper into this, think about your favorite automotive brand, or even the current car you own and drive on a daily basis. Where was the car manufactured? Shockingly, some of your favorite everyday purpose cars may not be built where you think they are, even if it has a reputation of being an American, German, or Japanese car.

Volvo has just announced that their new S60L which is manufactured in China will be sold in the United States. With this story being only a few weeks old, it’s already stirred up controversy as the company’s reputation of being a safe, reliable brand may be thrown to the gutter if Volvo plans to go through with selling a Chinese Volvo in the states, which they have every intention of doing.

Volvo’s are known to last a very long time, in fact people joke saying that they’ll outlive the owner if kept in good condition. Who knows how long the 2015 S60L will last, and there will be many questions raised by consumers when you find it in the pre-owned list on your local Volvo dealer’s website.

Another popular car brand is Volkswagen, and it might surprise some that a majority of their vehicles that are sold in the US aren’t made in Germany. Yes, the same Volkswagen who owns Audi, Porsche, and Bugatti doesn’t manufacturer all their cars in Wolfsburg. The VW Beetle, Jetta, Golf, and soon the Golf GTI are or will be made in Mexico. It wasn’t until 2005, when VW changed the appearance of the Jetta, that they started assembly and production in Mexico. Whether this changes the quality of the vehicle itself, that is still to be determined, but the perception customers have of the car is certainly different.

To make sure you’re getting a top notch used car, do extensive research on where the vehicle was manufactured. Not only is the assembly of the car different, but you’ll find that the electrical components and interiors will be substantially different. Road noise or lack thereof will be noticeable, and even the suspension and how it takes bumps on the road could determine where it really came from.

The badge on the front of the car may say it’s from Germany, Sweden, or America, but there is the possibility that it’s originally from some factory in Mexico, or China if you intend on buying the new Volvo S60L. We have no power to improve the driving habits of drivers so we get a used car in great condition, but we can research and make sure we’re getting a car that was built in a factory that has a reputation of producing quality and long-lasting vehicles.