Are offers to buy your car from Vroom legitimate?

[lightrules]

That makes no sense at all. I have no idea why my offer is so high, but I am going to take my chances with them

could be location plays a part. i'm on the west coast if that matters. but i just shake my head at the offers i get from vroom, shift, carvana, carmax, etc.

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[Zuess765]

I have sold two cars to Vroom with no issues whatsoever. They overnight you or your bank the checks almost immediately after their Carrier picks up the car. They are the highest priced offers right now and in my experiences are very reputable.

 

[shogun32]

So far, Vroom is higher by quite a bit on my car. That is what is making me wonder about their offer being legitimate. Their offer is $63,284 on a 2018 car with an MSRP of $61,520. I am not sure how they can stay in business at these prices.

they don't need to "stay in business" they are burning idiot investor cash. Making one cent of profit is none of their concern. Their pricing algorithm is very much off (lagging) IMO. The rest of the guys have backed WAY off on valuation as they know they have a demand problem.

The offer is legit. If you look there are dealers buying these cars at auction prices that are insane and thinking/hoping they'll find an even stupider moron to buy it.

Pricing is highly regional. And Texas is the HQ for Vroom.

 

[Inthehighdesert]

You realize you contradicted yourself in that post. Dealers are buying vehicles at “insane” prices because they have NO inventory and need to move product to survive. Anybody that thinks the bottom is going to fall out with any of this is any time soon is mistaken. It will take YEARS for things to get back to a supply side like we had pre-pandemic.

they don't need to "stay in business" they are burning idiot investor cash. Making one cent of profit is none of their concern. Their pricing algorithm is very much off (lagging) IMO. The rest of the guys have backed WAY off on valuation as they know they have a demand problem.

The offer is legit. If you look there are dealers buying these cars at auction prices that are insane and thinking/hoping they'll find an even stupider moron to buy it.

Pricing is highly regional. And Texas is the HQ for Vroom.

 

[shogun32]

Dealers are buying vehicles at “insane” prices because they have NO inventory and need to move product to survive

Churn only help if you can SELL what you bought. It's all predicated on the greater fool theory if they can wait long enough for that fool to darken their door. When they have to sell ever greater number of their preciously acquired inventory at greater and greater losses, they have a problem.

Granted since they are a business they can write the loss off on their taxes. And they have PPP and other programs to make payroll. In the meantime the service department is keeping them from going bust. Or if they do go bust, they sell out the dealership to the likes of Koons who apparently have a large war chest of profits earned in the fat years. Koons bought out a competitor in Woodbridge VA back in Aug and spent a fortune filling the lot back up whereas Cowles was unable/unwilling to go into massive risk for the sake of inventory. The prices Koons is charging for their GTs is nuts. 8 grand too high for starters, even if the 'quality' is good.

I was at Sheehy Subaru this afternoon. NOT ONE new car on their entire lot. It was a total mishmash of Subi, Nissan, Toyota and a lonely 2020 Challenger Scat with 6MT - the car I went to eyeball. They were asking almost 'new' money for a 18mo old car that they had bought off another of their Sheehy conglomeration. It'll be fun to watch it sit and rot on their lot.

Prices are already coming down. It's just uneven as who/where wants to get rid of their albatrosses before the losses get even higher.

 

[TxGT350-52]

they don't need to "stay in business" they are burning idiot investor cash. Making one cent of profit is none of their concern. Their pricing algorithm is very much off (lagging) IMO. The rest of the guys have backed WAY off on valuation as they know they have a demand problem.

The offer is legit. If you look there are dealers buying these cars at auction prices that are insane and thinking/hoping they'll find an even stupider moron to buy it.

Pricing is highly regional. And Texas is the HQ for Vroom.

All companies need to “stay in business“ to survive even if they have idiot investor cash. The meaning of the term implies a company is still viable regardless of cash on hand. I get what you are trying to say, but I think your quote of my reply came out wrong….

I am aware of Vroom‘s HQ in Texas and I agree that might be the reason for the higher offer. I am taking my car into one of their local stores called Texas Direct Auto tomorrow morning to collect my check. I will report back what happens.

 

[Inthehighdesert]

All that nonsense, and you still contradicted yourself and didn‘t address that. No need to answer that. From your post its obvious you don’t own a business. I get it, its the internet. There’s never a shortage of those that are things knowledgeable but haven‘t actually done anything in actuality.

Churn only help if you can SELL what you bought. It's all predicated on the greater fool theory if they can wait long enough for that fool to darken their door. When they have to sell ever greater number of their preciously acquired inventory at greater and greater losses, they have a problem.

Granted since they are a business they can write the loss off on their taxes. And they have PPP and other programs to make payroll. In the meantime the service department is keeping them from going bust. Or if they do go bust, they sell out the dealership to the likes of Koons who apparently have a large war chest of profits earned in the fat years. Koons bought out a competitor in Woodbridge VA back in Aug and spent a fortune filling the lot back up whereas Cowles was unable/unwilling to go into massive risk for the sake of inventory. The prices Koons is charging for their GTs is nuts. 8 grand too high for starters, even if the 'quality' is good.

I was at Sheehy Subaru this afternoon. NOT ONE new car on their entire lot. It was a total mishmash of Subi, Nissan, Toyota and a lonely 2020 Challenger Scat with 6MT - the car I went to eyeball. They were asking almost 'new' money for a 18mo old car that they had bought off another of their Sheehy conglomeration. It'll be fun to watch it sit and rot on their lot.

Prices are already coming down. It's just uneven as who/where wants to get rid of their albatrosses before the losses get even higher.

 

[09cs]

@Houston Kid sold his GT500 to Vroom I believe

 

[Houston Kid]

@Houston Kid sold his GT500 to Vroom I believe

I sold to Give Me the VIN. No issues.
Vroom purchased Texas Direct Auto some time back. When it was Texas Direct, great service, no issues with selling them 4 cars. I have heard nothing but negative feedback now that Vroom is running the show. I would not sell to them unless you don't mind waiting several weeks even over a month to get all of your money.

Give Me the Vin paid me $8,000 over what I paid for the car, non-ADM purchase, after driving it for 6 months and putting 3,400 miles on it.

 

[TxGT350-52]

I dropped my car off at their Woodlands location (Texas Direct Auto) last night and received my check for the full amount in less than an hour. They inspected my car visually, but did not test drive, open the hood or start the car. The only reason they looked in the trunk was because I opened it to show them the car cover and the Owners Supplemental. (The guy checking it in promised the new owner would get the supplemental)

I signed the paperwork, waited about 30 minutes for the check and was out the door. As others have said, it was a painless process and I made a very good profit on the sale after enjoying the car for almost three years.

On a side note, when they entered my VIN into their database, they had two offers. The first offer was from the original owner three years ago before I bought the car. His was only $48K and I am fortunate he turned them down. I bought the car a couple of weeks later with 1200 miles for $50K, and then sold it with 3150 miles for $63K.

The $15K higher offer from the same dealer almost three years later shows how crazy the market is right now for good quality used cars.

 

[car crazy]

Vroom is totally legit. They are a publicly traded company listed on the Nasdaq (ticker VRM). My neighbor just sold a car to them and my brother sold a car to them. No issues with either transaction. The market for cars is supply and demand driven. There is currently no supply due to the chip shortage so prices are high and will remain high for a while. There is currently no end in sight to the chip shortage. The new car dealers in my area have very few new cars. There is little chance to buy a new car under MSRP (no matter the model). The lack of new cars and the higher "out the door" price for new cars has driven up demand and prices for used cars. This is not changing any time soon.

 

[Dai Uy Ted]

I endorse Vroom.
My experience was not with a GT350, or even a Mustang, but I think my '17 Jag F Pace supercharged V6 is in a comparable category. Two months ago I started considering selling it, as with my wife's death it's no longer being driven. Vroom offered the most $, Caravan about $1k less, and KBB, etc. much less. When I got serious last month and checked again, Vroom and Caravan upped their offers. I was delayed getting a paper title (in Fla they're often "in the cloud" somewhere), Vroom's offer had expired. Their new one was even higher, at $44k, $3k more than Caravan. We did the deal three weeks ago, it was trailered off two days later, and the check was Fed-Exed before the car was even at its destination. They couldn't have even inspected it in that time.

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