A “car buying pro” has documented how difficult it is for car resellers to make a profit on Toyotas. The TikTok video, posted by Alexander Saliba (@alexanderjsaliba), had more than 87,000 views as of Saturday.
In it, he shows how bids for an 11-year-old, out-of-warranty RAV4 can rise quickly in an online auction.
Saliba continues to say he is astonished by the number of potential buyers eager to buy everything Toyota.
No Agreement
“Want to see all these people desperate to buy a cheap Toyota? I’m going to buy one at auction and sell it,” he said, snapping his fingers. “Like this. Check it out.”
Saliba’s video cuts to him looking at used Toyotas at auction. He finds a white 2013 RAV4 with 144,000 miles. After checking the national market price for the car, he realizes he can easily double his profit.
After narrowing his search to buyers within a 100-mile radius, he thinks he can easily make a few thousand dollars selling the car. But as the bidding begins, the car’s price starts to exceed $7,000. So Saliba places his mouse cursor over the “Bid” dialog box.
“I don’t want it anymore, so don’t bother, it’s too expensive… No, I’m not going to buy it,” he says. “I would buy it if it was $6,000.”
But something on the screen immediately caught his eye: “Not for sale!” he yelled, and turned the camera to show the bids.
He couldn’t believe that the sale didn’t go through during the auction, which could only mean one thing: the reserve price for the car wasn’t met and whoever was selling it set the price to have it repaired and resold by a dealer.
“That means the seller wanted more money. They think it’s worth more too! Over $1,000 more than the MMR,” he said, highlighting the Manheim Market Report price of $6,075.
@alexanderjsaliba Everyone comes into the dealership wanting this brand of car, they literally don’t care about the year or mileage. Can someone tell me why they love these cars so much? #cartok #cartiktok #carguy #carcommunity #cargirl #carspotting #CapCut ♬ original sound – Alexander Saliba
Popularity of Used Toyotas
Saliba went on to talk about RAV4 owners not wanting to surrender their vehicles.
“He didn’t sell it and I’m going to get it for $6,000. You can’t get a cheap Toyota,” he asserts.
“People come in all the time looking for a Toyota RAV4 for $6,000, and I just laugh,” he says. “Hey, you do realize that it’s a 2012 model with like 200,000 miles on it, right? Is that OK?”
He said people claim they don’t care about mileage because they’re “running forever.”
Toyota’s reliability as an automobile brand has been around for decades. The internet is filled with lists analyzing which models the manufacturer offers are the most reliable. Even when it comes to new models, there is only one other brand that can beat Toyota. To be exact, that brand is the luxury Toyota, Lexus.
Some car resellers aren’t fans
The Daily Dot previously reported on used car dealers who say Toyotas and Lexus often sit abandoned in dealership parking lots because resellers don’t have high profit margins on these cars. It seems they’re constantly facing the exact same problem Saliba mentioned in his video: Toyotas generally hold their value much better than other cars, making it hard to get used car prices down.
These high prices may scare off used car buyers who would rather opt for a lower upfront solution, but many believe the higher upfront cost is worth it in the end, with many Toyota owners valuing the manufacturer’s reliability as well as resale value.
A TikTok user explains
In the video’s caption, Saliba wonders why people are so obsessed with buying used Toyotas. He writes: “People come into dealerships wanting this brand of car and don’t really care about the age or mileage. Can someone tell me why they love these cars so much?”
People were quick to answer his question, with one TikTok user commenting, “Thanks to Toyota I won’t have to come back to buy a car again.”
“The Toyota is a car that will run forever,” said another.
Others spoke about Toyota’s durability: “Toyotas are extremely reliable. I have a 2010 Corolla with 371,000 miles on it. I spent very little money on it and it’s easy to maintain.”
But others thought people were crazy to pay that much for an old car: “There’s no way someone could be that delusional to buy an 11-year-old Toyota with 166,000 miles on it for $10,000,” said one.
The Daily Dot has reached out to Toyota via email and Saliba via Instagram direct message for further comment.
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