How to buy a used car in Canada 2023 | Car Buying Guide
Summary
TLDRIn this video, the host Igor discusses the complexities of buying a car in Canada, particularly in 2023, amidst the microchip shortage and inflated used car market. He shares personal experiences, including a costly mistake with a rolled-back odometer and the importance of checking documents like Carfax. Igor advises viewers on where to buy, how to negotiate, and the necessity of a mechanic's inspection. He also recommends considering new cars due to the current market conditions and emphasizes the need for self-protection in car purchases.
Takeaways
- 🚗 The car market in Canada is experiencing high prices for both new and used cars due to supply chain issues like microchip shortages.
- 💸 Be prepared for the possibility of paying more for a used car than a new one in the current market.
- ⚠️ Beware of scams and deceptive practices when buying a used car; always check the car's history and maintenance records.
- 🔍 Use tools like Carfax or CARPROOF to verify the car's history, including any accidents or odometer discrepancies.
- 🛠️ Take the car to a certified mechanic for a pre-purchase inspection to identify any potential issues.
- 🏢 Be cautious when buying from dealerships; even though they may offer convenience, they can also have high-pressure sales tactics.
- 🏠 Buying privately can offer better negotiation opportunities and potentially better deals, but it requires more due diligence.
- 👮♂️ In case of disputes or scams, don't rely on the police; instead, ensure all agreements are in writing and consider legal advice.
- 💼 The salespeople in car dealerships are motivated by commissions, so be cautious of their recommendations and focus on your own research.
- 🌐 The global logistics situation is starting to improve, which may lead to a decrease in car prices in the future, making it wise to wait if possible.
Q & A
What is the main topic of the video script?
-The main topic of the video script is about how to buy a car in Canada in 2023, including advice on dealing with the current car market situation and avoiding scams.
Why is the car market situation in 2023 considered unusual according to the speaker?
-The car market situation in 2023 is considered unusual because used cars are sometimes more expensive than new ones due to factors like microchip supply shortages, and there are high interest rates for car loans.
What is the speaker's profession and how does it relate to his advice on buying a car?
-The speaker is a realtor with Exp Realty in Calgary, Alberta. His profession as a salesperson gives him insight into sales tactics, which he uses to provide advice on buying a car.
What is the speaker's experience with buying cars?
-The speaker has bought several cars, including a Toyota Echo, Hyundai Santa Fe, Honda Civic, and a Toyota Highlander. He has also helped a friend purchase a used Jeep.
What was the mistake the speaker made when buying a Hyundai Santa Fe?
-The speaker's mistake was not checking the Carfax or CarProof report, which would have revealed that the odometer had been rolled back, indicating the car had more mileage than stated.
Why does the speaker recommend taking a car to a mechanic when buying it used?
-The speaker recommends taking a car to a mechanic to identify any potential issues or problems that may not be immediately apparent, ensuring the buyer is making an informed purchase.
What is the importance of checking the Carfax or CarProof report before buying a used car?
-Checking the Carfax or CarProof report is important because it provides the car's history, including maintenance records, mileage, and any accidents or issues, which can affect the car's value and safety.
What are some of the risks associated with buying a car from a private seller?
-Risks of buying from a private seller include the possibility of undisclosed accidents, rolled-back odometers, and lack of a warranty or return policy. It's also harder to verify the car's history without proper documentation.
Why might buying a new car be a better option in the current market situation according to the speaker?
-The speaker suggests that buying a new car might be better because the used car market is overpriced due to supply shortages, and new cars might retain their value better if the market situation changes.
What advice does the speaker give regarding negotiating the price when buying a car privately?
-The speaker advises to be open-minded and use negotiation skills, especially when dealing with sellers who may be in urgent need of money, to potentially get a better deal on the car.
What is the speaker's opinion on the Canadian police's handling of car fraud cases?
-The speaker believes that the Canadian police are often unresponsive to car fraud cases, treating them as civil matters rather than crimes, and advises people to be proactive and rely on themselves to avoid scams.
Outlines
🚗 Navigating the 2023 Canadian Car Market
The speaker discusses the challenges of the 2023 car market in Canada, particularly for first-time buyers. They mention the inflated prices on platforms like Kijiji and Facebook Marketplace due to the microchip shortage affecting new car availability. The speaker, Igor, introduces himself as a realtor and shares his experience with car sales, warning viewers about the tactics used by car salespeople. He also talks about his own car purchase experience, including the delay in getting a new Toyota RAV4 due to supply chain issues. The paragraph emphasizes the importance of being cautious and well-informed when buying a car in the current market.
📈 Lessons from Past Car Purchases
Igor recounts his history with car purchases, starting with a Toyota Echo and moving through various other vehicles, including a Hyundai Santa Fe with a rolled-back odometer which led to a financial loss. He discusses the importance of checking documents like Carfax and Car Proof, and the value of having a third-party mechanic inspect the car before purchase. Igor also shares his personal challenges with people-pleasing tendencies and how it affected his decision-making in car purchases. The paragraph serves as a cautionary tale, advising viewers to be thorough and objective when evaluating used cars.
🛠️ The Importance of Pre-Purchase Inspections
The speaker provides detailed advice on buying used cars in Canada, emphasizing the necessity of checking the car's history through documents, taking it for a test drive, and getting a professional mechanic's inspection. Igor shares a story of helping a friend purchase a used Jeep, which involved taking the car to a mechanic at a different dealership for an unbiased inspection. He stresses the importance of not rushing into a purchase and being willing to walk away if something seems off, as there's always another car available.
🏢 Dealerships vs. Private Sales: Weighing the Options
Igor explores the pros and cons of buying cars from dealerships versus private sellers. He discusses the high prices and commissions associated with dealerships, the challenges salespeople face with payment delays due to long wait times for new cars, and the benefits of negotiating with private sellers who may be in urgent need of money. He also mentions auction houses as another option for finding used cars, with the caveat that it comes with higher risk. Igor's advice is to consider the current market conditions and personal circumstances when deciding where to buy a car.
⚠️ Buyer Beware: Police and Legal Considerations
In the final paragraph, Igor warns about the potential lack of support from Canadian police in cases of car buying fraud, describing an incident where he had to argue that a rolled-back odometer was a criminal matter. He advises viewers to be proactive, ensure all agreements are in writing, and not to rely on the police or courts to resolve issues. The speaker's experience suggests that buyers need to be vigilant and protect themselves in the car buying process.
Mindmap
Keywords
💡Kijiji
💡Facebook Marketplace
💡Used Car
💡Car Market
💡Scam
💡Salespeople
💡Microchip Supply Shortages
💡Carfax
💡Interest Rates
💡Private Sale
💡Certified Mechanic
Highlights
The car market in 2023 is experiencing high prices and potential for scams, especially for first-time buyers in Canada.
Salespeople in car dealerships are focused on making fast commissions and may not have the buyer's best interest in mind.
The difference between real estate and car sales is the emphasis on relationship building versus quick sales in car dealerships.
The speaker's personal experience with car purchases includes a mix of new and used vehicles, with lessons learned from each.
A significant delay in new car deliveries due to microchip shortages is affecting the market.
Used cars are currently more expensive than new ones in some cases, which is unusual and not advised for buyers.
High interest rates for car loans are impacting both new and used car purchases.
The importance of checking a car's history through Carfax or similar services to avoid purchasing a vehicle with rolled-back mileage or accidents.
Taking a potential purchase to a mechanic for inspection is crucial to avoid costly repairs later on.
Private sales can offer better negotiation opportunities and deals, especially when sellers are in urgent need of money.
Dealerships have a wide range of used cars and can provide maintenance records, but prices are currently inflated.
Action houses and auction sales can be risky but offer opportunities for those skilled in car repair and restoration.
The recommendation to buy a new car if possible, due to the current overpricing of used cars and potential future market changes.
The importance of having a contract for all car purchases to protect the buyer's interests in case of disputes.
The lack of police interest in car fraud cases in Canada, emphasizing the need for buyers to be proactive and cautious.
The advice to always have a backup plan and not rely solely on one car purchase option.
The impact of global logistics on car prices and the potential for prices to decrease as supply chains normalize.
Transcripts
it's 2023 and you are scrolling
searching for a car you're on a Kijiji
Autos or you are in Facebook Marketplace
looking at this prices and you're like
what is going on with the car market I'm
new to Canada let's say I want to buy a
car and it's my first car so I need an
advice on how to purchase a used car so
guys I'm here today to make a video on
how to buy a car in Canada in 2023. why
I'm saying 2023 because it's end of 2022
and this video is going to be more
relevant for the next year than this one
this year now guys okay what's up and
welcome back to this YouTube channel
it's your guy Igor here today we are
going to cover how do I use car in
Canada and it's pretty damn simple to
lose a lot of money so if you're buying
a used car be prepared that there's
going to be a lot of scam guys there's a
lot of sales guys and I'm telling you
guys sales guys especially in car
dealerships they are not your friends
they're there to make fast commissions
they're not like us real I'm also sales
guy I'm a realtor with exp reality here
in Calgary Alberta licensed so if you
need a house you give me a call my
contacts and description of this video
now I'll tell you some tricks and
everything about the sales of the car
sales people because well luckily in my
occupations these guys are for some
reason considering me as a sales guy as
well so they open up their secrets on
how to buy a used car as if we do the
same thing the difference between real
estate and buying cars is that in real
estate you are buying a very expensive
product and it's more about relationship
building whereas car sales people when
somebody's in your dealership before
they left they have to push you to buy
it but you have to protect yourself from
that so guys if you are currently with
myself I'm buying a car I'm buying a car
I purchased in a spring and it's still
not here because of this microchip
supply shortages
it's still here I paid a deposit in
spring for a new Toyota RAV4 for 2023
model so I ordered 2023 model because
they said I'm going to be getting it in
December now guys I'm shooting this
video in November and I came to the
dealership I asked them and they said
most likely I might be able to get it by
the end of next summer on 2023 so what
the hell is going on with the market
first of all guys you must be crazy if
you are buying a used car right now and
you must be crazy if you're buying a new
car here's why if you're buying a new
car right now let's say you're like me
you are going for a hybrid version of
limited 2023 Toyota RAV4
and you want to buy it and they quoted
me roughly 51 000 for it so guys now you
have to wait for it for one or two years
to get it right now so it's pretty crazy
to you still need a car if you need a
car in Canada and you have to wait now
if you go let's say to Kijiji outers and
you search for the RAV4 that has 50 000
kilometers that's three years old
it is still more expensive than the new
Toyota RAV4 that I purchased for the
same model so I spoke to the sales guy
there and guys I'm going to cover in
this video before I tell you more
details we're going to cover you how to
choose a car what you can do my
experience of buying cars but I just
want to give you the realities of 2022
right now so what the guy told me and he
said since you are in sales as well
since you're a realtor I'll tell you
what's going on he told me that they
purchased a bunch of cars from
guys
they're one of those rental companies
and they said that they purchased those
cars that are two or three years old at
a price that they sold it to them knew
so rental companies right now buying
rental cars from dealerships that are
new they rent them out they put the
kilometers they use it abuse it they get
back to a dealership and make the same
kind of money so the guy told me put a
ticket in buy a new car right now and
drive it for two three years we'll take
it back probably at the same price if
the market doesn't change so that's why
I'm going for a new car but if you're
buying an old car here's the tips for
you guys first of all you're going to be
paying probably for an old car more than
you would be paying for a new car right
now I'm not joking this is craziest
Market has never been like that now also
keep in mind that the interest rates
right now are high not only for housing
but for cars as well and I was told that
if you're buying from a dealership you
are looking at for a new one closer to
seven percent interest and if you're
buying a used one you're looking closer
to nine or twelve percent interest which
is
mind-blowing now guys here you go if you
are new to Canada I'll I want to tell
you how many cars I have purchased so
far well my first car was Toyota Echo
then I had Hyundai Santa Fe which a good
light the odometer was rolled back I
lost money on that Hyundai Santa Fe so
first car I purchased was Toyota Echo I
believe it was 2000 I don't remember the
year 2003 year six or something like
that and anyways I purchased it for
three thousand dollars I drove it for
two years I sold for three thousand two
hundred dollars crazy right it's amazing
and I gave the guy a 50 discount as well
so it's a win-win situation especially
for me and I changed oil at an Indian
place in northeast of Calgary they
changed oil for the Lesser price than
the oil itself so I don't even know it
actually changed it but anyways it was
30 oil changes at that time it was also
crazy but anyways so what happened is
guys I still made money on it then I
purchased you nice Santa Fe and here's
the mistake that I made and I don't want
you to make guys
when I purchased that car I found out
that the odometer was rolled back there
was first red flag that I didn't know at
that time because I was new to Canada
and the guy actually well on that car he
wrote the odometer was rolled back they
it wasn't over
a red flag as well one of the worst
neighborhoods in Calgary and I'm telling
you that as a realtor there's a higher
crime rate and lots of nonsense
happening and it's a historically people
told me not to buy cars there anymore so
I purchased a car there they invited me
to a family dinner with their their
mother the father their kids nice
family in Canada everything is good and
they lied to me saying that they're the
first owners they draw weight and that's
why it has been very well maintained and
everything so they write to my face I
just drove the car they didn't have a
number plate so first thing is they said
that you can go to the road you can just
go on a back alley a little bit you know
so I don't drive it for too long so that
I don't find many issues so red flag
number one was never do that if they
don't let you take it on a highway if
they remove the number plate don't buy
it don't make my mistake no second
mistake I made I didn't take this Carfax
car proof whatever you call it guys the
report that shows you the maintenance
the mileage it didn't show me I I didn't
check it so that was my second biggest
mistake it's forty dollars and I was too
broke too cheap and too dumb to purchase
it usually the owners or the car would
even provide it to you but they didn't
so I didn't check that I was like just
whoa I think I found the right car I
love it I'm going to buy it I was
blinded by the car by the one to
purchase that's one of the things guys
in real estate as well why you need a
realtor because as a realtor I don't
really care much about the property like
you do I'm not emotionally attached to
your house so therefore I go in and I
see things that you would not notice
because when you see that you like
something you get blinded by it and it's
always best to have somebody else
represent you and help you so that's a
kind of a buyer's bias that you get and
should be really careful with it and you
know you have to remind yourself and
just act as if you're you know you're
buying it not for yourself but for your
wife let's say and then you'll be able
to see those things that you don't
notice when you buy it so that's my
first advice be open-minded check all
the documents so another tip is
take it to a mechanic now I know I do
have this people pleasing syndrome so I
have that difficulty saying no to people
and I've been struggling since my
childhood with the syndrome and
overcoming it from the years and doing
this at that time it was a little bit
higher than just right now because when
you realize you have it it starts to go
away so here it is I didn't want to
offend people by saying that well I want
to take it to a mechanic well this was
my mistake I want you to have the same
one take it to a mechanic you're not
offending anyone it doesn't matter they
want to sell it if they don't want to
take it to a mechanic don't buy it let
them have the junk for themselves so
here you go guys now you're going to ask
me probably okay Igor but what if I'm
buying from a dealership and I'll tell
you guys I purchased Toyota Toyota Echo
very nice reliable garbage then I had
this nice interfere then I purchased I
actually
got the third car it was brand new Honda
Civic 2015. it was like seven years ago
guys it's an amazing car I love it but
now I can tell that it's an amazing car
because I drove a super impressa in
Winter all will drive for Canada
especially in Alberta
awesome but it's a rough ride it was
burning oil I got that one used from a
dealership so I had basically one new
car and three used cars and now I
purchased for myself just before the
pandemic hit like when the prices were
still good I purchased for myself
Toyota Highlander no that's my love of
my life the best car I had so far guys I
love it Toyotas are great and now I'm
going for another one so uh how many
cars ahead Toyota you know Hyundai then
Honda then Subaru now Toyota and then
buy another sixth car in Canada so I'm
telling you guys from experience and I
just helped one of my clients from Real
Estate and good friend of mine I helped
them purchase a nice car as well they
purchased a used Jeep and I helped them
purchase it because not because I'm a
realtor or anything it's because I'm
into sales and you know he was like hey
girl can you help me like as a friend
not as a realtor as a friend can you
come by and just help me with that car
and I was like yeah it was from a used
car dealership it was a bunch of guys
who owned we talked to the owner and we
agreed to take it to a mechanic so we
actually took that car that jeep to a
Dodge
we took it to a Dodge dealership another
dealership to have it checked by a
mechanic so here's number one thing guys
if you're buying a car used car in
Canada
check the documents okay check the check
the car proof check the registration to
see if it's rebuilt or not on Carfax it
might be written as well so make sure it
has no accident it's number one check
the documents number two test drive it
see how it goes drive it around
different speeds check the acceleration
any noise or anything in an engine
number three is take it to a Certified
mechanic I'm going to tell you guys I've
I'm purchasing a sixth car now it also
had one car in Ukraine so it's I changed
seven cars so far in my life so as I'm
telling you right now guys seven cars
from my experience I can open the hood
okay and I can hook I can check the oil
I can check the wind washer fluid okay I
can look under the car and I can see if
there's you know there's any gaps in the
door to see if there was any major
accidents okay yeah I'm as a as a car
owner I know something but I'm not a
mechanic and I'm a mechanic by looking
at the car they wouldn't be able to tell
you without lifting it up checking
everything inside and telling you what's
wrong with it they have to run the
Diagnostics there is nothing wrong about
it and if you're buying from a
dealership you can always ask them to
take it to a mechanic you can put a
deposit take it to a mechanic check it
and if there's something wrong you can
negotiate on the price down check the
documents check everything and then and
then only buy it so that you're not
going to lose 1 000 something dollars I
lost I don't even remember how much I
lost on the car I purchased for I think
for 3500 I sold it for 1200 so it's like
almost two thousand dollars I lost I
think on that Hyundai Santa Fe it was so
many years ago I don't even remember
exactly the numbers but I'll leave a
link for a video that I made where I
remember the numbers and I meant to know
of it so you can watch about buying a
car in Canada so if you're buying your
first car check the Carfax there is a
website where you can check and just
Google it carproof CARFAX as the owner
for it ask them to test drive it if they
don't let you walk away and also if
you're buying it take it to a mechanic
if they don't do it you walk away there
is always another car being into cells
myself in in real estate I found out
that the market is alive there's always
going to be another house there's always
going to be another car it might not be
there on the markets right now it might
be tomorrow it might be in two hours it
might be next week or next month you'll
find your car if they don't want to sell
it let them have it for themselves
especially a red flag because most
likely there's something wrong with it
and you don't want to buy anyways so
where do you buy cars in Canada first
place and I purchased like that and
that's where you get screwed up the most
is well buying privately well I like
buying privately because you can
negotiate on a price you can find people
who are in Urgent money pinch like
interest rates right now are high and
people are doing their refinancing on a
house at a higher interest rate and they
cannot afford another payment for their
mortgage they want to lose their house
they sell their car they need the money
right now if you find somebody like that
you can get a great deal feel because
you are there with cash you can get it
from them like that so there's always
better deals if you buy it privately you
can negotiate better especially if you
know a little bit of sales and they are
an office working that never had met a
salesperson or been in sales themselves
so
yeah you can get a better deal like that
number two please is going to a
dealership you can go to a big
dealership like Toyota Mitsubishi Nissan
whatever you want Hyundai Kia anywhere
you want to go those every dealership
has used cars right now the used car
market is so high those dealerships are
making so much of money in fact I spoke
to a sales guy one of those dealerships
and you know for them it's so difficult
to get paid right now because they get
paid once you get the car and if you
don't get the car they don't get paid
and for example if you're going for
Toyota Sequoia the wait time is four to
five years so if they sign a contract
with you right now they they might get
paid in five years if you don't pull out
your deposit and say you don't want to
buy it by then so that's kind of the
trick about them they're not getting
paid anything right now and only money
is a used car for them and used cars are
so overpriced so in dealerships
privately dealerships and then there's
action houses like in Calgary we have we
legal action house I know a guy who
purchased the car really nice you can
get some good deals there sometimes a
fleet car sometimes drown cars sometimes
broken down cars sometimes garbage cars
there are some people who are
speculating there and making a lot of
money by buying buying those old cars
and they might lose money on maybe on
three or four cars out of ten but
they're gonna make on money on six of
them and cover that expense so there are
people doing that how my friend did is
he would buy an old car there then he
would take you to a junkyard get the
parts for it and well in his own garage
he would fix it up so if you are handy
like that and you can do that I would
highly recommend going to an action
house but if you are like if you're like
me you just don't have time to waste to
fix that car by yourself watching
YouTube videos how to do that I would
say going to a dealership right now I
want to give you a recommendation as a
person who is living in Canada I want to
say that if you can buy if you can get a
quick possession on possession okay I'm
crazy realtor now I'm talking about
houses possession so if you can get a
quick like if you can grab a car that is
new and you can you know you're okay or
you're okay to wait for a new car at
this current market situation I highly
suggest going for a new car rather an
old one
or if you are buying an old car I would
probably recommend you going to a
private deal to a private seller I only
went to a dealership when I was buying
my Toyota for example higher under for
for a couple of reasons number one is I
know that they're doing some crazy
maintenance I know that they're going to
get it done and I even spoke to them
sales guy and I even figured out how
much money he's going to make of the
deal and they told me that because you
know like they're like oh we're in the
same kind of occupation so I was like
yeah they're going to make about one
thousand dollars off me and I was like
you know what okay you know I don't have
time right now to you know to go around
search for a cars waste days or weeks
for that one thousand dollars it was a
peak of real estate season and I needed
to make money instead of going and
shopping for a car I needed to get out
and buy and sell houses for people
rather than spending that time trying to
figure out which car so I went to a
dealership so if you want to get
something quick and easy I would say go
to a dealership even if you're going to
a dealership check all the documents and
get inspected in another dealership not
the same one take it out to a mechanic
have it inspected that's my
recommendation that's one thing I didn't
do for myself on my last car I know guys
I'm telling you how to do that but I
make mistakes just like everybody else
but luckily I was blessed and there was
no issues with that car because the
dealership was so good I actually went
to Canyon Creek Toyota but I don't want
to advertise for them they haven't paid
me at like uh they're just close to my
house it's the only reason why I went
there but anyways now if you guys go to
any dealership make sure you get it
inspected if you are going to an action
house do it at your own risk if you are
buying private sale check see how the
people are see if you can read them see
if you can trust them then check the
documents and again check it get it
inspected you know don't trust anyone
ever this is how you buy a car in Canada
and once again if you are okay to wait I
highly recommend save money and buy
yourself a new car because if you're
going for an older car right now well
you might be missing out and you might
be overpaying and you know what's going
to happen guys the logistics is coming
back to normal I have a friend who is
working right now in ups and they're
saying about the freight going down and
Logistics Global Logistics catching up
I'm telling you guys right now if it
gets back you might buy the old car and
if it go you know if the prices go down
you might lose a ton of money so my
recommendation is buy a new car or if
you're in a pinch and if you're a
realtor like myself and you need to
drive like you you are driving for work
if you don't have a car you are not
making money and go ahead and buy it of
course so this is guys the main tricks
on buying a car in Canada it's not
different on how you would be buying at
home the difference is just the process
it's one paper document the registration
where you can transfer and everything so
make sure that number one you checked
everything you got the money you put
everything in a contract you know you
put everything whatever you need in
writing because in Canada I'll tell you
one thing is even if you get scammed
most police here they don't care
Canadian police is one of the laziest
police services in history where I have
seen so far even in Ukraine where I'm
from originally police you know they
might be not as good people would say
but they cared more in Canadian police
cares for this kind of cases you go to
them you say there was a fraud they say
it's a civil matter take it to civil
claims court and figure it out you know
then they want to deal with it even when
I had my odometer rolled back I came to
the police they said it's a civil matter
and I said no it is not they're like are
you a lawyer I was like no I'm not a
lawyer but it's not a civil matter
because it's a crime and then finally
the surgeon or whoever the supervisor
came out and he's like yeah yeah it's a
crime
I was like oh my God
police doesn't know the law in Canada
they elect training they lack education
they they are lazy you know I even had
someone threatening me not too long ago
and uh what did they do about it nothing
because they don't do anything unless
something happens here so all I'm saying
is guys be proactive never rely on the
police here or courts or anything make
sure you don't get into trouble
first hand so this is my recommendation
guys thank you so much I'll see you next
video bye for now
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How to do Pre Delivery Inspection of Car|कैसे करते है PDI? Car Delivery के बारे में बहुत जरूरी बातें
The Car Market Is In FINANCIAL RUIN
미국 , 예맨 후티, 러시아 때문에 갑자기 1000만원미만 중고차를 구입하기 가장 좋은 시기가 되버렸어요 - 중고차경매장
Why I Quit Driving for UBER in Canada | Calgary | Toronto | Vancouver | Montreal
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