I don't know if I have a question but I thought I'd tell a little story about a used Element I've seen in the Auto Trader and around London.

I've been off and on again interested in getting an Element. Actually bought an RSX-S a couple of years ago but could see myself in an SUV within 2 years.

Here's the story.... There's a used one being sold in my neighborhood with 3400KM. I ran into the guy at the local mall and talked to him for a bit. He said he is selling it because his wife can no longer get her legs into the vehicle due to recent surgery.

The Element has plastic wheel covers with a 5-speed so I'm thinking it's a base and nothing else. According to Honda's web site, MSRP is $24200

Due to the situation, he took it back to the dealership at 3100km to see what he could get for it. The local dealership offered $20000. He was insulted. When I talked to him, he called the dealership "crooked". I don't think he understands that the dealer invoice was probably about $22300 and no dealership is going to take a $1700 loss on it (he wants to get $24k). They won't offer more than invoice and with 3100KM, I thought $20000 was a high offer from a dealership but they were being nice due to the situation.

Another lady came to him (before I talked to him) and offered $20000 and he scoffed at that too.

I'd be interested in it but obviously his asking price of $24000 is completely unreasonable! I don't think I'd be willing to pay more than $21k. What would be a reasonable price for practically a new base Element with 3400 KM? Is $21k reasonable? I mean, I'm sure there are people here who got their Elements at invoice or just over invoice.

Also, in a private sale, what taxes do you have to pay? Is it just PST and not GST?

Hey


Why don't you look at these two, 2003 at the Dundas Honda Dealer(Mississauga) and a 2003 at the Toyota deal on walkers line(Burlington) and see what they are offering.

Have you check the auto-trader to see what other E's are going for?

Justin

I have a 04/5 speed with 34k/Ypackage and I'm willing to sell.

Drop me a line at ian.mccallum@rogers.com

Hey


Why don't you look at these two, 2003 at the Dundas Honda Dealer(Mississauga) and a 2003 at the Toyota deal on walkers line(Burlington) and see what they are offering.

Have you check the auto-trader to see what other E's are going for?

Justin

And get gouged by a stealership :) I'm trying to avoid dealing with a dealer.

If you look on autotrader.ca E's are still getting top dollar.

The e holds it value. If you buy a used e at the dealership you may get it for 18 or 19 buy you get to buy into a 6 year warranty.

GO E GO!!!!!!!!

I don't know if I have a question but I thought I'd tell a little story about a used Element I've seen in the Auto Trader and around London.

I've been off and on again interested in getting an Element. Actually bought an RSX-S a couple of years ago but could see myself in an SUV within 2 years.

Here's the story.... There's a used one being sold in my neighborhood with 3400KM. I ran into the guy at the local mall and talked to him for a bit. He said he is selling it because his wife can no longer get her legs into the vehicle due to recent surgery.

The Element has plastic wheel covers with a 5-speed so I'm thinking it's a base and nothing else. According to Honda's web site, MSRP is $24200

Due to the situation, he took it back to the dealership at 3100km to see what he could get for it. The local dealership offered $20000. He was insulted. When I talked to him, he called the dealership "crooked". I don't think he understands that the dealer invoice was probably about $22300 and no dealership is going to take a $1700 loss on it (he wants to get $24k). They won't offer more than invoice and with 3100KM, I thought $20000 was a high offer from a dealership but they were being nice due to the situation.

Another lady came to him (before I talked to him) and offered $20000 and he scoffed at that too.

I'd be interested in it but obviously his asking price of $24000 is completely unreasonable! I don't think I'd be willing to pay more than $21k. What would be a reasonable price for practically a new base Element with 3400 KM? Is $21k reasonable? I mean, I'm sure there are people here who got their Elements at invoice or just over invoice.

Also, in a private sale, what taxes do you have to pay? Is it just PST and not GST?

Here's my suggestion.

The guy wants to get $24,000 for his Element. That means he needs to get $20,870 on a trade in because he gets the tax credit. So, $20,870 + 15% tax is $24,000. Now, the dealer only wants to offer him $20,000. What you can do is this; go to the dealer with the guy, the guy trades the Element and the dealer gives him what he wants, $20,870. The dealer gives him what he wants because they're going to turn around and do you what's called a 'courtesy' sale. You pay the $20,870 + tax. The guy selling the Element gets what he wants ($24,000), the dealer gets what they want (sale of a new car to the guy), and you get what you want (practically a new Element for $24,000 on the road).:)

Here's my suggestion.

The guy wants to get $24,000 for his Element. That means he needs to get $20,870 on a trade in because he gets the tax credit. So, $20,870 + 15% tax is $24,000. Now, the dealer only wants to offer him $20,000. What you can do is this; go to the dealer with the guy, the guy trades the Element and the dealer gives him what he wants, $20,870. The dealer gives him what he wants because they're going to turn around and do you what's called a 'courtesy' sale. You pay the $20,870 + tax. The guy selling the Element gets what he wants ($24,000), the dealer gets what they want (sale of a new car to the guy), and you get what you want (practically a new Element for $24,000 on the road).:)

Why does he get a tax credit?

Why does he get a tax credit?

It's not really a tax credit...but a tax savings.

When you buy a new car and trade in your old car you only pay the difference in taxes on the total
after trade in.

It's not really a tax credit...but a tax savings.

When you buy a new car and trade in your old car you only pay the difference in taxes on the total
after trade in.

So I'd have to pay both GST and PST since it involves the dealer?

How does the dealer handle the paperwork?

He sells me the old Element at $20869.57 + PST and GST and he signs the ownership to me. I get my Element for $24000+licencing.

The cheque goes to the dealership in trust. The proceeds of the cheque are then applied to the other guys new vehicle which reduce his cost of his new car thus saving him $3600 in taxes (since .15 * 24000=3600). They sell the other guy his new vehicle.

This sounds workable but is this legal? In a way, to me, it sounds almost fraudulent. I don't know. It makes sense; just something doesn't add up.

You still have to pay gst...thats only exempt on private sales.Its prob legal.....but most dealers may not want to do it.....more paperwork than needed.


So I'd have to pay both GST and PST since it involves the dealer?

How does the dealer handle the paperwork?

He sells me the old Element at $20869.57 + PST and GST and he signs the ownership to me. I get my Element for $24000+licencing.

The cheque goes to the dealership in trust. The proceeds of the cheque are then applied to the other guys new vehicle which reduce his cost of his new car thus saving him $3600 in taxes (since .15 * 24000=3600). They sell the other guy his new vehicle.

This sounds workable but is this legal? In a way, to me, it sounds almost fraudulent. I don't know. It makes sense; just something doesn't add up.

Assuming the man with the E wants to purchase another vehicle, the "courtesy sale" scenario makes sense. I don't see why it wouldn't be legal and I don't understand why there would be additional paperwork. If the man, who owns the E, makes a satisfactory deal and trades it in, the dealer will sell the E to someone. Why not you? I don't see a problem.

I have done this type of transaction. It works well.

I have done this type of transaction. It works well.


When I go into the dealership, whom do I make the cheque payable to?

I think I'll drop by the dealership sometime this week to see if they do this kind of thing.

When I go into the dealership, whom do I make the cheque payable to?

I think I'll drop by the dealership sometime this week to see if they do this kind of thing.
You first must talk to the owner of the Element that you wish to buy. Is he going to buy another car? If so, then show him how this, he trades in/you buy scenario works. Then you both go to the dealer he is going to buy the new car from and work it out.

First question I have is... 2005 or 2006 Element? If 2005, then see what you can work out for a 2006 or even a 2005 on your own.

I realize this one only has 3,400km, but it is still used.

As for the scenario of seller and you walking into a dealer and having them basically take care of the paperwork, it is very common. Dealer washes a car through their system and doesn't have to sit on a vehicle losing money on it. Plus they sell a new vehicle. Get you as a customer and retain/gain the seller.

Yes, these 'courtesy sales' are done all the time and are quite legit and legal. The only cost to you may be some sort of administration charge from the dealer for doing the paperwork. This will run less than $100. You're buying the car from the dealer so you wright the cheque out to them. You don't technically have to deal with the person you're getting the car from at all, except for the part where you communicate to make sure the the price is right. Good luck.