Cost/value of CPO
12-30-17, 09:20 PM
#1
Driver School Candidate
Thread Starter
Cost/value of CPO
I've been looking for a 2015 LX and had been focused on non-CPO cars. However, I came across a CPO that looks interesting but is priced a good bit more than comparable non-CPO / non-Lexus dealer vehicles. I know that's the norm but was trying to quantify the actual financial value of the CPO warranty.
I've purchased a CPO GS 350 in the past but the CPO warranty has changed since then. When I bought my GS I seem to recall the CPO warranty being a cost of around $1600. (this was what the dealer would have knocked off the price is they sold without the CPO warranty).
Now that the warranty includes up to 4 service intervals it seems like you could potentially justify some of the cost since it would be like pre-paying for maintenence. The 2015 CPO LX has 45k miles. Does anyone have a ballpark cost for the next 4 service intervals? Or a dealer cost for a CPO warranty?
I've purchased a CPO GS 350 in the past but the CPO warranty has changed since then. When I bought my GS I seem to recall the CPO warranty being a cost of around $1600. (this was what the dealer would have knocked off the price is they sold without the CPO warranty).
Now that the warranty includes up to 4 service intervals it seems like you could potentially justify some of the cost since it would be like pre-paying for maintenence. The 2015 CPO LX has 45k miles. Does anyone have a ballpark cost for the next 4 service intervals? Or a dealer cost for a CPO warranty?
12-30-17, 11:30 PM
#2
Pole Position
Now that the warranty includes up to 4 service intervals it seems like you could potentially justify some of the cost since it would be like pre-paying for maintenence. The 2015 CPO LX has 45k miles. Does anyone have a ballpark cost for the next 4 service intervals? Or a dealer cost for a CPO warranty?
12-31-17, 06:24 AM
#3
Driver School Candidate
Thread Starter
After reviewing the service schedule on the Lexus owners site it looks llike 3 of the 4 service intervals are basically oil changes and tire rotation. Based on my past Lexus ownership experience I'm assuming this is probably a $150-$175 cost per visit. The 60k service looks more comprehensive. Anyone have a ballpark of the cost of your regular 60k LX service from the dealer?
12-31-17, 06:36 AM
#4
Driver School Candidate
The 60k service is listed at $650 at my dealer. Cost of cpo for the lx is about 2500. I think a cpo 2015 with 45k miles is the best deal around especially if it includes new tires and brakes. You're getting 3-4 years of warranty and 2 years of service.
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ntx (12-31-17)
12-31-17, 07:12 AM
#5
Driver School Candidate
Thread Starter
Thanks. That's what caught my attention. I've found a few 2015 non-CPO cars with close to comparable miles for around $53k, so if I could get the CPO around $55.5 or so it looks attractive. (Not sure if it's realistic but worth a shot) It was also sold and serviced by the same dealer which is appealing. Interestingly I'm finding a lot of Toyota dealers selling used LXs that I think they must be getting from lease return auctions.
12-31-17, 08:07 AM
#6
Intermediate
5000 miles/6 month services are typically oil change and tire rotation and cost in Las Vegas $75, as for 60K service which is considered major will cost around $750 if no major issues are found. $55K for CPO 15 LX570 is good price, I would buy if I had been looking for one.
12-31-17, 08:37 AM
#7
I went CPO for peace of mind. If the price difference is no more than $3k, I think it's worth it. Maintenance and extended warranty benefits sold the car for me.
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12-31-17, 11:12 AM
#9
For my purposes, I'd rather keep the CPO $ in my pocket when it comes to the higher-end Lexus vehicles. Here's the complete list of EVERYTHING, aside from routine maintenance (which I do myself) that has gone wrong with my LEXUS vehicles prior to 100K miles:
GX 470: two burned out fog light bulbs
2003 LS 430: remote control mirror switch got balky, dealer either repaired it or replaced it (not sure which) under warranty
2005 LS 430: Rear door weatherstripping developed a small separation at the hinge point. I'm not sure if it was a defect, or if someone accidentally tore it (the latter is certainly possible/likely). Either way, the dealer replaced it at no charge.
LX 570 at 89K miles: Nothing.
GX 470: two burned out fog light bulbs
2003 LS 430: remote control mirror switch got balky, dealer either repaired it or replaced it (not sure which) under warranty
2005 LS 430: Rear door weatherstripping developed a small separation at the hinge point. I'm not sure if it was a defect, or if someone accidentally tore it (the latter is certainly possible/likely). Either way, the dealer replaced it at no charge.
LX 570 at 89K miles: Nothing.
12-31-17, 11:52 AM
#10
Pole Position
I would do the same and keep the money in my pocket, BUT it all depends on the final NEGOTIATED price.
If the FINAL NEGOTIATED price for the CPO is around $1500 to $2000 more than a comparable LX570, THEN I WILL GO FOR THE CPO. Remember that Lexus CPO program had changed starting January 1st, 2016 to offer UNLIMITED MILEAGE WARRANTY FOR TOTAL OF 6 YEARS from the date of ORIGINAL IN-SERVICE DATE OR 2 more years AFTER OEM LEXUS warranty.
Also IF ALL TIRES/BRAKES are new (bc it's a CPO) AND ALL PRIOR SERVICES ARE UP TO DATE, THEN I think CPO MAYBE the better option given the parameters above.
My prior LX was a 2000 LX470 and we drove it to some 280K+ miles before trading in for another brand new 2013 LX570. BOTH LX's had NO MAJOR problems. On our old 2000 LX470, we had declined ALL optional warranties. But on our new LX570 we opted for the "Lexus extended warranty". We felt the new LX570 HAS A LOT MORE TECH VS THE OLD ONE AND CHANCES OF FAILURES ARE "HIGHER". 20/20 hind sight tells me that most likely we will not have to use the extended warranty, but it's not over until it is over. IT'S there should we need it.
Think of it this way........ THAT LX570 YOU ARE LOOKING AT IS ALREADY "CPOed BY A LEXUS DEALERSHIP", therefore it ALREADY met a certain set of "standards" (Assuming that Lexus DEALERSHIP did the CPO by the "book"), so you might just want to get them to REDUCE THE FINAL PRICE MORE AND GO FOR IT WITHOUT THE CPO DESIGNATION!!! It's all about your comfort level.
If the FINAL NEGOTIATED price for the CPO is around $1500 to $2000 more than a comparable LX570, THEN I WILL GO FOR THE CPO. Remember that Lexus CPO program had changed starting January 1st, 2016 to offer UNLIMITED MILEAGE WARRANTY FOR TOTAL OF 6 YEARS from the date of ORIGINAL IN-SERVICE DATE OR 2 more years AFTER OEM LEXUS warranty.
Also IF ALL TIRES/BRAKES are new (bc it's a CPO) AND ALL PRIOR SERVICES ARE UP TO DATE, THEN I think CPO MAYBE the better option given the parameters above.
My prior LX was a 2000 LX470 and we drove it to some 280K+ miles before trading in for another brand new 2013 LX570. BOTH LX's had NO MAJOR problems. On our old 2000 LX470, we had declined ALL optional warranties. But on our new LX570 we opted for the "Lexus extended warranty". We felt the new LX570 HAS A LOT MORE TECH VS THE OLD ONE AND CHANCES OF FAILURES ARE "HIGHER". 20/20 hind sight tells me that most likely we will not have to use the extended warranty, but it's not over until it is over. IT'S there should we need it.
Think of it this way........ THAT LX570 YOU ARE LOOKING AT IS ALREADY "CPOed BY A LEXUS DEALERSHIP", therefore it ALREADY met a certain set of "standards" (Assuming that Lexus DEALERSHIP did the CPO by the "book"), so you might just want to get them to REDUCE THE FINAL PRICE MORE AND GO FOR IT WITHOUT THE CPO DESIGNATION!!! It's all about your comfort level.
For my purposes, I'd rather keep the CPO $ in my pocket when it comes to the higher-end Lexus vehicles. Here's the complete list of EVERYTHING, aside from routine maintenance (which I do myself) that has gone wrong with my LEXUS vehicles prior to 100K miles:
GX 470: two burned out fog light bulbs
2003 LS 430: remote control mirror switch got balky, dealer either repaired it or replaced it (not sure which) under warranty
2005 LS 430: Rear door weatherstripping developed a small separation at the hinge point. I'm not sure if it was a defect, or if someone accidentally tore it (the latter is certainly possible/likely). Either way, the dealer replaced it at no charge.
LX 570 at 89K miles: Nothing.
GX 470: two burned out fog light bulbs
2003 LS 430: remote control mirror switch got balky, dealer either repaired it or replaced it (not sure which) under warranty
2005 LS 430: Rear door weatherstripping developed a small separation at the hinge point. I'm not sure if it was a defect, or if someone accidentally tore it (the latter is certainly possible/likely). Either way, the dealer replaced it at no charge.
LX 570 at 89K miles: Nothing.
12-31-17, 01:05 PM
#11
Driver School Candidate
Thread Starter
I see you are in Texas too. Could you give me a feel for how much (or %) you were able to get off the dealer's asking price? My experience has been that cars seem to be a little higher and dealers less willing to negotiate as much in my area of the state.
12-31-17, 03:10 PM
#12
For my purposes, I'd rather keep the CPO $ in my pocket when it comes to the higher-end Lexus vehicles. Here's the complete list of EVERYTHING, aside from routine maintenance (which I do myself) that has gone wrong with my LEXUS vehicles prior to 100K miles:
GX 470: two burned out fog light bulbs
2003 LS 430: remote control mirror switch got balky, dealer either repaired it or replaced it (not sure which) under warranty
2005 LS 430: Rear door weatherstripping developed a small separation at the hinge point. I'm not sure if it was a defect, or if someone accidentally tore it (the latter is certainly possible/likely). Either way, the dealer replaced it at no charge.
LX 570 at 89K miles: Nothing.
GX 470: two burned out fog light bulbs
2003 LS 430: remote control mirror switch got balky, dealer either repaired it or replaced it (not sure which) under warranty
2005 LS 430: Rear door weatherstripping developed a small separation at the hinge point. I'm not sure if it was a defect, or if someone accidentally tore it (the latter is certainly possible/likely). Either way, the dealer replaced it at no charge.
LX 570 at 89K miles: Nothing.
12-31-17, 03:13 PM
#13
I'd say about 5%. I got a good deal on the vehicle per what KBB was telling me I should pay at the time.
12-31-17, 07:59 PM
#14
Driver School Candidate
Thread Starter
[QUOTE=Pacman9270;10068545]I'd say about 5%. I got a good deal on the vehicle per what KBB was telling me I should pay at the time.[/QUOTE
Thanks. I'd be very happy with 5% off ask. Was the car in their inventory a while? Just curious if this was an extreme case or more of a standard target for a price reduction.
Last edited by ntx; 12-31-17 at 08:04 PM.
01-01-18, 07:28 AM
#15
Pole Position
Usually most dealership use the 30/60/90 days rule.
At least one national chain that I know of will not lower their price until 31/61/91 days mark. At 91 days, you can really make your deal BEFORE they send it to auction. But LX570 /LC will not stay on the lot for that long unless there is really something major wrong with it.
[QUOTE=ntx;10068688]
At least one national chain that I know of will not lower their price until 31/61/91 days mark. At 91 days, you can really make your deal BEFORE they send it to auction. But LX570 /LC will not stay on the lot for that long unless there is really something major wrong with it.
[QUOTE=ntx;10068688]
I'd say about 5%. I got a good deal on the vehicle per what KBB was telling me I should pay at the time.[/QUOTE
Thanks. I'd be very happy with 5% off ask. Was the car in their inventory a while? Just curious if this was an extreme case or more of a standard target for a price reduction.