Don't Be Tricked Into Buying A Former Rental Car - Lehto's Law Ep. 2.28

Many rental cars turn up in the stream of commerce after they have been dumped at auction by the rental car companies. While you may be able to get a good deal on one, many dealers will try to sell them without disclosing to the buyer the true history of the car. Here, I discuss how to avoid being tricked into buying one - with a few real examples from my legal practice. There is a podcast of this video: / dont-be-tricked-into-b...
www.lehtoslaw.com
@stevelehto

[@bb89670]

I thought rental cars are good to buy because they maintain them and they make sure the cars they rent out has to be in good perfect condition, it's their responsibility or else they can get sued by customers, plus customers would not want to drive them recklessly.

[@stevelehto]

No. They are so bent on renting the cars they won't even take them in for recalls.

[@heavy_haul_n_fool]

Steve Lehto little extreme ? I got a 2017 grand caravan gt love it save a bunch runs great still has a warranty, dealership was Honest provided a car fax and was able obtain records from the previous rental company so do your research. My van has everything every option, navigation, no they are not built to lesser standards what a cook. DO YOUR RESEARCH if your just a idiot that lives like a sheep you should bring a friend that knows something about cars I was out there with my ecu scanner and stethoscope.

[@stevelehto]

I love your reasoning. You bought one car and it is great. Therefore, "they are not built to lesser standard." 1) You did not say whether your van was built to the same standards as non-rentals (I wasn't just talking options) and 2) You did not say why we should extrapolate your one (1) example into the full population of rental cars I was talking about. This kind of flawed reasoning is common in the internet though. And that was not just extrapolated from your single comment.

[@heavy_haul_n_fool]

Steve Lehto I get it people get duped but the common person aka “ sheep” should not go alone to buy cars. I am particular and methodical I have always picked good cars. The old lady that goes to a dealership of course they will take advantage of her she’s a cash cow. Not saying it’s right. Majority of people are lucky to remember how to breathe. I don’t send my wife with our car to the mechanic shop because chances are they will dupe her because cars and the internal workings are not her thing. People get pumped up when try realize they can buy a car in the moment.

[@jeremysandoval3507]

@@heavy_haul_n_fool steve is actually right. My mom unfortunately bought a chevy spark that was a rental. The car was a nightmare. On top of that yes for the most part any history of the car will be reported but that also has a downside. All the things reported for that chevy spark she bought was terrible. Yea it showed they fixed it and maintained the vehicle. But almost all the things done to the car was from people beating the car and abusing it and the rental company making insurance claims to fix it.

[@woodlandwonders6887]

I bought a new car that had damage that was repaired and not disclosed. About 5 years after purchase the drivers door devloped a lot of rust along the lower portion. When I went to repair it, I discovered the body filler from the repair. I talked to a friend who is a car salesman and he informed me of the Michigan law you mentioned. They may be able to legally do this but I let them know they lost any future business from me.

[@neilopfer5687]

Thanks as always for the great content!! One really has to look at rental cars closely. My favorite experience has been times with knowledgeable friends going on a lot where they are selling off their rental cars and asking to check the oil. On at least a few occasions, pop the hood to check the oil and it is way low and in one case out of 6 quarts only 2 quarts were there. Or how about the rental car driver who drives a couple hundred miles with the "check engine" light on?? You can also get the branch-rental-car manager who decides to cut corners and not change the oil at 3,000 or 5,000 miles or other intervals. That branch manager is saying to themselves "all we need is to get to 'X' mileage and then we blow the car out of our inventory anyway." The rental-car mantra is minimal maintenance, the least they can get away with the better. About the only real "program" car I would buy is one where my friend was neighbors with a dealer's sales manager who would drive a car (Lincoln Town Car in this case) for two years and then get a new one. The sales manager took great care of the Town Car and my friend therefore bought it almost before they could basically put it out on the lot. But an experience/situation like that is rare.

[@jimbrady7946]

I had a coworker tell me one time that, as far as he was concerned, "All rental vehicles are 4-wheel drive". Think about that.

[@wb5mgr]

Whenever I rent a vehicle, The first thing I do before i’ll leave the lot is make the sign of the cross and say “Lord Jesus please forgive me for what I’m about to do to this vehicle” 🤣🤣🤣

[@KevinSterns]

I've owned two former rental cars, but walked into it eyes open. Bought them direct from the rental car company because they were cheap. No frills, no problems, no regrets. But would be pissed if I got conned into one on a dealer lot. Carfax is your friend.

[@NikoBellaKhouf]

Don't rely on Carfax. They only show you what's reported. If the car was crashed without being reported or the title was washed, they won't know. I bought one that was totally damaged and supposed to have a salvaged title but was skipped across four states with a clean title and Carfax said it was good.

[@eddiebrown687]

I've been on the internet searching for a used Dodge Challenger. I've discovered many "one owner" cars, according to the dealer ads, that are actually rentals when I looked them up on Carfax. I guess technically they are "only owned once" by a rental company, so that's how they get away with using the term "one owner". Glad we have Carfax to help catch these tricks dealers use.

[@dominicktaylor6898]

I'm just really curious as to who thumbs down these vids and why? They are great resources I'm glad I stumbled upon this channel. Thanks and keep up the good work!

[@stevelehto]

+Dominick Taylor the internet is full of disgruntled people. They're everywhere!

[@stevelehto]

Many of the thumbs down on my videos come from car sellers and RV dealers. I know because they are also the ones who write me hate email and also negative comments (where they often admit they sell what I am talking about) on my internet posts.

[@rohanbaty3155]

'Drive it like it s a rental! ' said my friend as he handed me the screwdriver / key to the car he just stole. :)

[@rohanbaty3155]

@@stevelehto I like ur channel. I live in Indonesia and wen I start quoting you in reference to the law in the States /Michigan my American friends are agog and or impressed. I m def. not disgruntled! I guess u could say I am very .... gruntled. (? )

[@shannonrundquist]

@@stevelehto I'm disgruntled that you think disgruntled people exist! How dare you! (hope you get the embedded humor here)

[@stevegallagher687]

Great perspective. I actually drive a 2013 Toyota Yaris that I bought in NJ from a Toyota dealer. It was 2 years old and had 35000 miles. They had it on the lot for 6 months and it hadn’t sold. It was sold to me for $10,500. Car fax showed it as a former rental. Dealership sold it as CPO with warranty on drivetrain till 100K miles. I bought extended warranty for $1200 which pretty much covered repairs till 125k miles. It now has 130k and has never needed anything not considered normal maintenance. I figured if it was going to break catastrophically it would do it before it’s next 90K miles. It turned out to be a nice deal on a great little car. The company I work for buys all our work vans from Uhaul with around 25 K on them. Most of our mechanics beat these into the ground and I have seen few big breakdowns. That said passing laws clearly written to screw the consumer should absolutely be stopped. And yes it’s a gamble to buy such a vehicle but if the price is right I think it’s worth as it helps not paying for all the depreciation. I also drive at least 25k a year and don’t trade in. Just my opinion on rentals.

[@allnightkid]

Wow. I've never thought it was a good idea to buy a former rental car, but now you've convinced me to never buy ANY car in the state of Michigan!! Thanks.

[@michaela4370]

I get what you are saying. Anything you buy, you should do your research beforehand. Be informed! I will throw in my thoughts on rentals. My last 4 vehicles have been through my Credit Unions used car service which is made up of primarily rentals and a few repos thrown in. They provide a Carfax report with each vehicle so they are not hiding it. I am fully aware of the risks with buying rentals and so far I have not had a problem. I bought my wife's 2017 Mitsubishi Outlander Sport in 2018 with 3000 miles on it and about $10,000 under sticker price. Still has factory warranty and the car has been great. Same with my 2016 Jeep Patriot Sport. Again, I was aware beforehand that they were rentals and I checked them our accordingly. A quick couple of stories. In the early 90s prior to joining the military, I worked at 2 different local car dealerships. The first one was own by a big time businessman that had dealerships all over the east coast, along with ownership of several banks, etc. He was big money back then. I worked in the detail shop of the dealership and let me tell you, the things I saw go on in there was crazy. Much of what you already described. As young teenagers in the detail shop, we would drive the wheels off of customer cars every chance we got, along with the cars off the lot. I can remember times we had drag races with some of the salesmen with both customer cars and lot cars. Cars would be wrecked doing this and all type of stuff. Everything would be swept under the rug as much as possible and the dealership didn't care. The second dealership was one of the largest in the area but locally owned. Again, I worked in the detail shop before moving to the body shop as a helper to the painters. Pretty much the same stuff happened here but probably not to the same degree. The managers at this dealership kept an eye on us a little better but even then it was still pretty bad. For instance, I recall one time being sent out to the lot to help power wash some of the vehicles and if I recall correctly, two vehicles had their paint stripped off the bumpers from the power washers. They were simply sent back to the paint shop to be repainted and then sold as new. I can also remember a demo car used by one of the salesmen was wrecked. It had somewhat minor body damage on several panels and again was repaired in the body shop and sold as new. Final story. Being a Mopar dealership, we had a Dodge Viper that sat in the showroom for probably close to a year. We were in a small southern town and not many folks could afford a $85,000 car back then so it sat there. People would look at it and over time it needed some paint work done to it. It was yet again taken back to the paint shop and painted before finally being sold to a guy from several states away. I remember the guy got a deal on it because by that time it was a year old Viper but still a "new" car. The salesmen would joke about the fact how they basically ripped this dude off because the car had to be painted and such and they never told him. That and I got to drive it from the showroom back to the detail shop when it was sold. I did a burnout in the back lot with the thing, only minutes before the new owner took possession of it. Granted, I was young and stupid back then and by no means condone the things we used to knowingly do to customer vehicles. We ran the heck out of them and I am sure it still goes on to varying degrees even today. It was fun times for a young 17, 18, 19 year old.

[@stevek7068]

A discount for a vehicle being damaged before delivery...I've had something close happen once. February of 2000, I went to a dealership and said I wanted a brand new conversion van and I wanted it for a very low price ($20K drive out). They took me over to 2 beautiful new nearly identical 1999 high top vans. I asked why the cheaper one had a different rear stereo than the other. They said "Somebody broke the window and stole the original stereo, so we fixed it and installed a better stereo than the original." I don't know if that counts as a damaged vehicle discount, but I always thought that car was a fantastic bargain. (The invoice they showed me was over $30K and the "sticker" was over $50K) I always appreciated that the dealer was being exceptionally honest.

[@gced108]

I bought a 2009 Toyota Rav4 in 2010 with 6k miles on it for low blue book, I didnt know it was a rental until i saw the budget rent a car sticker on the owners manual. I found out it was wrecked the first time I washed the car. The rear driver side door had ripples on it and I could see rust coming out on the inside of the door. It has 104k on it now and still going strong. Hoping for the best.

[@elsydeon666]

Chrysler is great about this because you can run the VIN and get the Sales Codes. The Sales Codes show not only what options the car had (like GM's RPOs), but also who the initial buyer was, and each large fleet customer (rental companies, police forces, insurance companies, etc.) has their own Sales Code. This really should be extended to all fleet vehicles, not just rentals. Cop cars are probably the most "honest" because the spotlight, holes from upfitting, use of specific models, and various accommodations for police upfitting (CVPIs especially) make it impossible to hide that it wasn't a cop car without repairing or swapping the dash that got drilled into, the seats with cutouts for the belts, the plastic rear bench, the spotlight hole, holes for lights, wiring, customized racks. etc. As for replaced parts, look for identifiers. Glass is required to have an identifying mark, called a bug, that identifies who made the glass. OEM glass will have OEM bugs. Aftermarket glass will have the bug of the manufacturer (which isn't the OEM). Radios will be usually be the same, with the manufacturer's markings. It isn't an absolute, but a good start. I have heard of dealers offering sales for hail damage, but only because it was better for them to knock a few bucks off with a loss leader than to actually fix it.

[@jimkelley1000]

I dunno - my last three cars have been rentals. About one year old, high mileage - maybe 20,000. Generally speaking - about 25% under KBB. No complaints at all. Maybe our luck will run out but so far - so good. Great lawyer and fine advice but just sayin'

[@vleo375]

James Kelley I agree. I also bought a rental vehicle and have not had not one ussue, not a one. Was an excellent price way under retail value... just saying also!!

[@vleo375]

James Kelley meant "issue"

[@dongibson8513]

James Kelley I bought a former year rental and it had 13 thousand kilometres on it and I drove it 12 years with no problems other than the normal tires and a battery change which all cars need eventually but no problems with the engine or transmission.

[@TakeDeadAim]

I bought a 2001 Subaru Outback which was a former rental years ago for my daughter. Ran for 300k without many issues...nothing out of the norm. Worked well for me...

[@tellucas]

My family bought a rental and when we had it serviced it was discovered to have front end damage that wasn’t properly repaired The rental company agreed to properly repair the car and we kept it. It’s possible a customer fixed the car and turned it in to avoid the full cost of a proper repair.

[@4321grp]

That's true, a large percent of the late model used cars sold by new car dealers are actually former rental cars. Some rental companies sell their cars only to new car dealerships, not to individuals.

[@pauladkins5438]

we love your station, and books.lots of important information.thanks, paul

[@margaretstoner4701]

Good afternoon Steve. On older vehicles (like trucks) I'd take a magnet with me and run it across the body of a vehicle. I am old school raised by a pack of wolves.Smile.However...i am a lady. May I THANK YOU for your no NONSENSE approach to this subject.Personally I never would of thought of this conversation for the life of i.Thank you Mr.Lehto.Always makes my day.❤

[@search4truth616]

Thanks for sharing your knowledge. I have had good fortune buying rentals and police automobiles. It was always from the rental companies or police departments. They always came with a warranty on the drive train. Never needed the warranty. I did this because I figured it was the only way that I knew what I was getting. I knew that they had bought the cars new and adhered to the manufacturer's maintenance schedule. The warranty protected me against major problems. This was decades ago. No telling how things work now. Now that I'm retired I use Uber cars to get everywhere. Or just have things delivered to me. I've calculated that I am saving a fortune when you add up all the realistic costs in time and money of owning a car. Why own when you can hire?

[@ricardoguzman5014]

Thank you for this invaluable information. I'm in Milwaukee and looking to buy a new vehicle in the next few months or year or so, and now I am absolutely paying my mechanic to come and inspect the one I buy when I am ready to purchase.

[@michaelscott4997]

My girlfriend purchased a 2016 model and had 70 miles on it. The dealer had 5 more identical vehicles. All had the same trim and all had mileage between 5 & 90 miles on the odometer. Each car had been tinted as well. We were told it was unsold stock and had never been sold. The finance dept. tried to get her to sign paperwork stating it was used. He didn't say a word about it, just tried to have her sign it along with all the other paperwork. We balked at the "Used Car" box he was trying to get her to sign. We walked out. I argued with him and said we negotiated for a brand new car, not a used car. A used car has a diminished value compared to a new vehicle. Its BS to represent it as something it's not. He blamed the salesman for a miscommunication, but we bailed. The bottom line was we could not find a better deal for the same car even with 25k miles. She bought it anyways a couple days later as a "demo" (sold as used) with a 10yr extended warranty & no copay. Although it still has a factory warranty, finance guy stated the extended warranty would trump the factory warranty. He also argued it was not a CPO car because it had never been sold. But, it had to be sold as Used? Doesnt make sense! I would love to know the true story behind this and the 5 identical cars.

[@sethroy60]

I worked for a multinational car rental company. Our cars were extensively checked and reconditioned before being sold. We sold on our own lots, and wholesale to other vendors. We had no control over the over a vendor once we sold them a vehicle. None of our hundreds of thousands of vehicles had "special" cheaper paint or parts. Specially made fleet vehicles differed in accessories, not in drivability. The vehicles on our lots were labeled if they had been rentals. All vehicles on our lots were sold with a warranty.

[@stevestalock3200]

Dang, your set has evolved over the years!

[@nodak81]

I bought a '13 Impala that was a former rental car and and I had zero complaints. Wonderful car to drive. I eventually got rid of it due to some issues it had but they were common issues that existed because it was an Impala not because it was a former rental. My mother just bought an ex-Hertz rental car, a '17 Avalon with only 18k miles on the odometer, she paid $19k, it would have cost $35k brand new.

[@Random-rt5ec]

I'd expect underwater cars from Houston to soon be hitting the market

[@4CardsMan]

Flooding in Houston happens a lot. You never buy a car within 90 days after a big flood.

[@J1947W]

six months after the Hurricane, there were fields full of these cars -----they went somewhere

[@illbbback]

Note:This is more about disclosure laws then rentals. Maybe 30% of time about rentals. I am happy w my previous rental vehicle. Can't give this one a thumbs up. I usually do . Keep up the (usually) good work Steve.

[@chrissinclair4442]

I love these clips of the early days of radio.

[@colonelpotter]

My old Cadillac STS was a rental car but 6 months and then a private owner for 5 1/2 years and had only 60K miles when I bought it and it was in good shape and the only odd thing is I had no floor mats and had to buy them. The dealer I bought it from told me right before I signed the papers and made sure I knew and accepted it before letting me sign them. My new Cadillac XTS was a rental too and same circumstances.

[@palinvan4754]

I'm on my third rental car purchase. The last 2 had over 200,000 miles on them before I traded them in and both required very little in repairs. I've bought all 3 with around 75k on them. The only thing I don't like is it takes a little time taking the GPS trackers out of them. But some dealerships put those in the cars they sell anyway. The problem isn't buying a rental, it's when people buy a car and don't know what to look for and don't have a mechanic look at them.

[@PierreaSweedieCat]

The Devvvil, as usual, is in the details. I bought a former rental car. A 2007 Toyota Corolla, with roughly 100K km. It worked out for me. But: 1. I knew what I was getting. 2. The dealer was a reputable Honda dealer, who took it as a trade in. The lady who actually bought it from Enterprise, had it for a year, and, I got it bug free. 3. My own mechanic, a true pro, checked it out very throroughly. So I lucked out. Mind you, here in Ontario, the laws are a bit different than in the Sates.

[@GamingWithUncleJon]

In Kansas dealerships would often have "Hail Damage" sales after a hailstorm. Of course it was a major event that everyone knew happened. But there were discounts because of the damage, regardless of if it had been repaired or not.

[@johnhodgson5313]

Mr. Lehto, I think I found one exception to the rental car video and it is strange enough to tell you. I bought a Chrysler 300 knowing that it was one that Chrysler was distributing from a fleet from Avid. The one I picked had half the mileage of the rest and the accessories struck me as odd. The paint job was an extra cost pearlesence (may be wrong spelling) it was AWD and it had a sunroof but not a GPS. My conclusion is that it was an executive car that was never rented. It has served me well for the last 6 years and 120K kilometers. The odds of me getting a deal like that again are very low. Thanks for the great video, you make law entertaining as well as informative.

[@marks3750]

I'm live in Kentucky and in 2004 I bought a 2002 mustang conv. from a dealer in Evansville Indiana. Went over one night to look at it. They were have some kind of sales event going on. It was raining and all the cars were running with their lights on and hoods up. It was the color I wanted and had 19,000 miles on it. So I told them I wanted it and would be back the next afternoon to buy it. My nephew drove it home and when I got home I found glass from a broken side glass in the passenger side door panel. When I looked closer I could see It had been repaired on the right side fender and door. I had worked in a body shop years before and Could tell they had done a good job so it didn't bother me at all. Some time later I put a power antenna on it to make it easier to put a cover on it. I took the glove box out to get to the wires and found some papers that showed the car was originally a Hertz rental car in Hawaii. All that being said, The car has been a good one with only minor repairs and I've done all those myself. I did a carfax on it later and nothing came up.

[@carbrief6401]

I was tricked into buying a 1966 Shelby Mustang G.T. 350H that came from Hertz. No regrets. Red with gold stripes.

[@Gr8thxAlot]

Another great video from Steve that hits home, this made me laugh! As a kid, my parents purchased a "program car" and explained it as a loaner or executive demo car. (Yeah right!) I later found a free carfax coupon, ran it, and it was of course a former rental. My parents had to have part of the hood repainted shortly after buying it due to some imperfections, which is crazy on a year old car. The only good thing is that it was a base model and incredibly reliable since it lacked all the features of better cars. Even the eight valve "quad 4" was pretty solid without the fancy head. Myself, I'd much rather pay a bit more and get a new car.

[@Whimsey6]

My brother worked his way through college at an airport Avis car rental place. Things were looser back then (the seventies); rental companies didn't care about mileage so much and carried a broader selection of models, including sports cars. My brother's boss really liked him, and let him use rentals for the drive home on weekends. We never knew what he would show up in - could be a Caddy, a Camaro, a Ford Fairmont - but whatever it was, we abused it. I remember competing to see who could lay the longest skid marks in a Dodge Magnum, burying the needle in a 280Z, and doing gravel-spewing donuts in front of the local hedgerow tavern in a Gold Trans-Am. Great memories, but no way in Hell I'd ever buy a rental.

[@Nexfero]

You're right, lobbyists could get injured by the large bundles of money being constantly hurdled at them

[@shannonrundquist]

I'd be happy to work on my catching skills!

[@pcmactek]

Steve - I thoroughly enjoy what you do here, and have seen many of your wonderful clips. Your insight and help is so very valuable! Please keep up your important work. After seeing your video, we all understand there are different situations for a different situation. In this case, I believe the premise instilled here is program/demo perhaps single user VS rental beat-on like mule. I get that. Here's my take on it. I bought my wife a same model year as purchase year 2014 Ford Fusion Titanium. I went to 2 Ford dealers and looked at other ad's as well. If I bought that car NEW from dealer at that trim level, it would have been about 31000.00 at that time. I saw the AVIS Sales (program). Avis gives you the car for a 2 day test drive. I had the car checked out by a mechanic friend. Bought the car with 18k miles on it. It is a LIKE-NEW car. It had one tiny scratch in the front bumper. Bottom line is, we're approaching the 1.5 year mark, car is 100% smooth and beautiful. The way I see it, as long as the car CHECKS OUT on all parameters, which it has, I could have paid over $31k for this car new, but with the slightest wear and tear and a few miles, I SAVED over $10,000.00, final price under $21,000. That $10,000.00 I didn't spend on outright depreciation goes to much better uses. I understand people need to know what they are looking at mechanically, and not every rental car has a smooth life. Maybe I was lucky, but a 2 day test drive with a mechanic to go over the finer points....well.....my next purchase will follow the same path. Thank you again! More Vids!

[@stevelehto]

+Bill Eaton Yes, my real point is there is nothing wrong with it so long as you know what you are getting yourself into (and pay accordingly). If you are happy with a former rental and pay an appropriate price, then you're all set.

[@brentfrancis9187]

There was a dealer in Maine selling hail-damaged cars a few years ago. They were advertising that the dealership got insurance money to fix them but instead of fixing them they were "passing the savings on to the buyer". I fully believe that, even with the full disclosure, they should have been investigated because of potential fraud.

[@georgejones3526]

In 2016 I knowingly bought a former rental 2015 Ford Edge. It’s never given me a minute’s trouble and I still love driving it.

[@tomkehl9632]

Love this Program Steve

[@amarmot3635]

We bought a 2011 Camry which had 45,000 rental miles. It is in excellent condition and runs and drives like a new car. After a dealer inspection, no problems were found.

[@macuss87]

+A Marmot Congratulations on finding a real life unicorn, call Ripley's!

[@DanielRuizVideos]

A Marmot no one wants to do burn outs in a Camry, I believe this mostly applies to sport/muscle cars

[@superflyingyoshidude]

My father bought a 2012 Camry and 2012 Elantra a few years ago and they both run just fine. The only problem is that the Elantra has a lose metal plate that rattles, but that's just helps to get the attention of the phone zombies at my community collage.

[@BossRoss045]

In most states. a vehicle is considered NEW if it has never been titled/owned. The true conditions of the vehicle or its parts are not considered. Hence why one should always inspect anything thing purchased for damage.

[@stevefiorito5379]

All vehicles are inspected by the dealer upon intake. Any damage is noted before they are taken in and added to their inventory. The vehicle belongs to the manufacturer until they are accepted by the dealer after the initial inspection. Some vehicles are too damaged during transit to repair. These may be donated to Auto Repair Programs at public schools and colleges.

[@moi01887]

The "do not need to disclose" things... does that apply if you ask? Like when buying a used car and you ask verbatim, "is this a former rental car"?

[@makingtechsense126]

Several years ago I bought a rental car from a local dealer. It was STEEPLY discounted and was actually in great condition. I knew it was a rental because the warranty mileage had been reached and it was a fleet only vehicle. The blue book value was $24k and I got it for $14. I drove it for many years and ended up selling it back to a dealer for $10k. When I bought the car I definitely looked it over carefully since it was a rental. I got really lucky and found a gem.

[@equatebond2809]

Thanks. My parents bought a 2006 Sienna in 2012, from a little dealer. It had 2 keys, ice-cold air conditioner (important in desert Cali.), floor mats and an alarm--it was great. In 2014 they bought a 2013 Sienna from a Toyota dealer (1st Sienna was totalled in an accident.). Dad can't stand that dealer: 1 key, average A/C, no floor mats and dirty, no alarm, middle headrest in the 2nd row seat is slightly damaged. I think they paid too much ~$27k, and it probably was a rental...But Mom wanted a Sienna ASAP after she recovered from her injuries. They charged too much for parts (for both vans), so Dad and my mechanic uncle bought them online and at AutoZone, then fixed it. On the other hand, my sister-in-law's 20-year-old Honda CR-V or Toyota RAV4 (can't remember which one), which she bought new, runs like a champ.

[@1SnarfyDude]

As long as you know what you're getting into it can be a good deal. I bought a rental Charger which no doubt had been "enjoyed" by a few people lol But we went through and other than some front end work it was in good shape. So $5K plus about $2,500 on work and I had a Charger that should have sold for about double that. I've had 80,000 trouble free miles since. It all comes down to a thorough inspection and a little work. If you're not willing to do your due diligence any used car is a gamble.

[@TheBigwheels11]

I have a good friend who works for Enterprise. They sell select cars they rented on lots. The others go to auction. They have a luxury rental operation here in Miami. I bought one of these. 33k miles, Range Rover. All the options. Ive had it 13 months so far so good. I worked myself at Enterprise when i got out if college and we changed the oil every 3,000 miles. If you can find the right car, get all the info you can on it. Test drive it, take it to a mechanic...and here is the kicker. Enterprise will let you drive it for 10 days. If you find an issue you can return it no questions asked. You can find some great cars for a great price at quality rental companies. With Enterprise you know the car was maintained. They have maintenance records. But...Steve is right, i would be very picky if i was buying a rental.

[@kd5inm]

I bought one and they told me it was a ex-rental before I even saw it. I got a good deal on it. It had 85,000 miles and its been a GREAT car. It was almost perfect. I love it and it's now got 160,000 miles and I've maintained it with Toyota products, it's a Prius. Great car!

[@brianshissler3263]

I have worked for a couple rental agencies over the years, only good thing about buying a rental is thst at least you know the oil was changed regularly and its been vacuumed a lot. 🤷‍♂️

[@int53185]

I bought a rental Impala. I have owned it for 5 years and have had very little trouble with it. Best car I have owned.

[@richardrice3137]

I worked for new car dealer that sold rental car and leased vehicles. Many of these vehicles had over 15K miles on them and had NO services done. New vehicles have different oil filters on them that are never sold over the counter. They lack retail markings to identify them as sold to public. many vehicles, rental/leased still have these new vehicle filters on them when sent to service dept for inspection and servicing. I purchased one rental return vehicle many years ago and had tons of problems due to lack of servicing.

[@PAHighlander24]

I bought a one year used rental car that had low mileage for a very good price as a certified used vehicle. I received a carfax report verifying its history. Certified used gave me 2 additional manufacturer warranty years on top of the 2 remaining years of original warranty. Price was 2/3 of an identical brand new one, and I kept it 5 years and put another 150k miles on it as my daily commuter. No problems with it.

[@mikec1341]

Guess this applies to Illinois as well. After I bought my car from a "reputable" dealer, I found out not only was it a former rental car, but that it had been in two separate accidents. The only reason it had been "low miles" was because it had been unavailable (for repairs) for so long. Slapped myself for a long time after that purchase that cost as much for this "used" car as I would have for a brand new one.

[@ksuitter3513]

Second car I bought was a “demo” and the transmission needed adjustments. After two times it could not be adjusted anymore. So as soon as I could I traded it to another dealer in a different state. Got a good trade-in value. But that vehicle experience and what you’re saying now all makes sense. I figure this must have been a rental that had abused by renters. 😤 15 years later my husband and I bought a used van with 20,000 miles and found the Enterprise rental contract in the glove box. We put 180,000 on it. Good deal that time. 😀

[@JeffGoldSr]

I remember a dealership that a bunch of their cars got hail damaged. The insurance company paid for the damage then they sold them all “discounted “ due to hail damage. They made more than msrp on every one of those vehicles.

[@patharris3197]

i had a terrible rental car experience and immediately thought of you buddy. I needed a vehicle for a week. anything will work. i reserved a rental cargo van online for a week for a great price. $20 a day! that should have been a red flag. this is the only rental agency in town and it is located inside the only dealership in this small town. i reserve it online, pay for it with my card, call two days ahead to confirm, and arrive ready to rent. they claim that van is not available, but they do have cars available to rent for $79 dollars a day. why do they not have to offer me a different vehicle for the same price? how is this not bait and switch? i've heard you say many times, "you can sue, but it will cost me $400 dollars an hour to get my $50 back."

[@joerogers4227]

I did buy a formal rental and we loved it. Drove it for almost 10 years until replaced.

[@hollywoodguido5556]

A few years ago I was shocked to find out, a large number of new cars are damaged in transit, Manufacturer to Dealer. Sometimes on the lot getting shuffled around, in the shop and even on test drives. The dealers NEVER disclose anything and always sell as new or a demo model.

[@kennethwilson4316]

Love your commentary about these unbelievable acts of larceny and the things people try to get away with .

[@alecgrolimond1678]

I am watching this video so if you state this sorry. If you rent a car then yes you do not care. However I had a rental and was keeping 6 weeks and driving many miles. The Oil change was due in less than 100 miles as they left the oil change ticket in the car. I drove the car over 4,000 miles and the rental company did not care. I had told them at a day after of the rental and said I could do it at an oil change place and I even offered to bring the car back and switch the car so they could do the oil change but they said no no it is fine. They do not respect factory recommended intervals for maintaining the cars and that there are many many drivers would never purchase a rental car. Oh and the rental company was a major rental company.

[@charleswieand4445]

When Michigan dropped the front license plate reflective paint sales for 3m were cut in half. You got to have 2 plates so we keep making money, no but we will require all slow moving farm equipment to have a big reflective triangle on them

[@aipo86t]

I’ve bought two rental cars and had a good experience with both. A 2003 Ford Taurus is still on the road with about 375,000 miles. Sold it to a friend and we are still friends! That being said my son is a mechanic and where he works they do fleet maintenance on some rental cars. He has a hard time getting them to do the required maintenance. Always have a mechanic check any car you are thinking of buying.

[@stevelehto]

And that is both sides of the coin. Thanks for the comment!

[@darrellw.peters626]

In Corbin Kentucky I actually remember a dealership that had a fire and they had a Fire Sale due to some smoke and fire Damage to some Vehicles. They Advertised "Fire Sale" Discount on Vehicles due to Fire.

[@wmluna381]

I can appreciate the honesty. 😊

[@PhilLesh69]

If you buy directly from the rental company's auto sales division that's one thing. If they auctioned it off to wholesalers and someone else is selling it, there was something major wrong with it that the rental company didn't want to deal with. I bought a chevette from hertz in honolulu, from a hertz sales lot, that I drove for ten years before it finally rusted out on me. But any car you own in Hawaii eventually rusts out, salty sea air and what not.

[@agenericaccount3935]

100 percent foolproof way: buy a manual. They don't rent those out here, generally.

[@finris1]

Part 1: buy manual car. Part 2: Try to learn how to drive manual car. Part 3: If unable to complete part 2, cry in frustration.

[@DS-wo8wr]

Bought a stick shift car. Dealer tried to sell me an anti-theft system.... Told him the car already has one....

[@illbbback]

The key is buy a former rental still under FACTORY WARRANTY. And yes, check for the options you want. I am in California and had full disclosure. Needed warranty work 2x in first year, but no cost to me because of 5yr 50000 mile factory warranty and I purchased w 20000 and 1 and 1/2 year old. Factoring in good deal, I am happy. :)

[@jlawrence0181]

When you purchase a car as a dealer OR as a corporate fleet, generally the terms are FOB at the factory. I had a Ram 1500 sustain $5000 in hail damages in transit to Phoenix for delivery to a salesman in the area. We had to eat that. If that wasn't bad enough, we had to take possession at the dealership and sent it to an auto body shop as the dealership had hundreds of hail damaged vehicles that were "in front" of ours. Talk about a PITA. BTW, I have purchased both former corporate and rental fleet cars without any significant issues. In fact, the corporate cars tend to have MORE equipment than most new dealership cars and the rentals, especially GM, often have additional anti-theft devices in stalled by Avis and Hertz. It always ticked my brother off that I could pick 9 out of 10 of the rental "program cars" off of his lot. As for rental cars, agency does matter. Hertz and Avis take care of their cars. Others, not so much.

[@normbograham]

I was so lucky. I got a formal rental, and put on 110,000 more miles before I was thinking my good luck was going to run out. So, I sold it. I sold it at 150,000 miles, and it was only in the shop once. They also told me they bought it at auction, and it was a former rental. So, shockingly, the dealership was being honest.

[@banjocantrell838]

Hi, first off I take your information very serious and enjoy your videos on you tube. I must say for the most part ,I was lucky in buying a Ford Focus, no bells & whistles, I only wanted a regular car. No power windows , just a regular CD player, and the standard AC. I got this car at 21 K, I still have it at 291 K.I have done the standard items as one battery, a fuel pump,one alternator,and since we are Ky. natives, with deer so thick;I have a kill rate of 4 deer,one raccoon, and a huge bobcat one night . I must repeat,I am the lucky one as most never are receiving this service of near 300K. I again say I am glad I ran upon your you tube page by accident. Thank you sir,God Bless to all. .

[@dustinpockets3878]

Banjo Cantrell )

[@huntingtacticalllc6414]

Bought a cobalt from Simmons Rockwell that was at a discount for prior scratch and dent. It was scratched by a wind storm at Chevy. Dealer bought it as part of the lot repainted it and they warranty the paint. Saved a couple grand.

[@pjwlk]

Steve, I worked for one of the BIG 3 manufacturers. My understanding was that the company I worked for only scheduled and built vehicles that are already sold to the dealer. So I guess technically the dealer owns the vehicle while in transit. However if the shiping company is being paid to move the vehicle and it gets damaged, I would thing they would be responsible for covering the cost of repairs.

[@copcuffs9973]

My Credit Union openly worked with a Rental fleet dealer to sell one year old cars. I bought a van from them and sold it for $1,000 more than I paid for it. Saddly they stopped that deal.

[@eiloen]

I rent cars often. Got one without cruise control. The girl at hertz said she would never buy one because she sees what they look like when they come in! Minimum spec, people take most care of things they don't own (often don't take care of things they do own!) and sketchy maintenance. What's not to love? I'll take 2.

[@donaldvelasco657]

I have a used truck in AZ that had been salvaged. The title does not say salvaged did to some legal in Arizona hocus pocus. The suspension was missing some important items I found later that cost me significant money later. Good video.

[@redneckwithajeep5001]

Best vehicle I ever had was a rental car. I personally put 200,000 miles on it before that it was low mileage for a rental but the reason it was so good was because it was a dealerships rental vehicle so it was actually a nice vehicle and the dealership had maintained it

[@HughesEnterprises]

My parents have bought at least three former rentals. Only one that sucked was a Nissan Rogue. But that’s just because it was a POS Rogue with a CVT. Malibu and Expedition lasted quite awhile without issue.

[@selfaware9266]

Back in the '80s my cousin and myself would take Isuzu I-Mark rental cars mud bogging and four wheeling. And yes, we would jump them with air under the tires. He would just take them through the car wash before returning them.

[@jamessimms415]

I have a former Rental, a 2019 Hyundai Santa Fe w/20, 450 miles on it when I purchased it last May. Haven’t had any issues w/it since. May have to replace my 01 Dodge Ram w/138000 on it & may consider a 2016 GMC Canyon. I generally go by what my mechanic says.

[@davidstremler6784]

Liability for shipped product depends on the terms of the purchase agreement. If it is FOB (Free On Board) origin then the buyer is liable for damage during shipment. FOB destination the seller is liable for damage during shipment.

[@thepoliticalstartrek]

I bought a rental and was lucky. Only had a battery issue the first year. It was an Alabama rental. Battery was not designed for northen Indiana weather. I put a 150K on the car. What did it in was a ac compressor that locked up so bad it broke a rod.

[@helltanner3722]

Hi Steve I'm in Australia they have to tell you about taxis but not rentals I was looking for a small low milage car . I found a good selection of one owner at a major dealer but they all looked hard driven...got the service books out of the glove box and the owners name was covered up with a paper sticker. Pealed it off yep rental.

[@jmwlife2k]

Holy crap, this video explains it at 2:45 ish. Lol. I have a 2017 f150 regular cab, and I was thinking about dabbling into the used market for a 2017 f150 with the crew cab. But I noticed the ones I was looking at had this really cheap green display for the trip computer while mine has a 4” colorful display. I was trying to figure out for the longest what prompted those trucks to have the crappy display, and couldn’t find a common denominator. And you can’t even pick the cheap display when custom building one. But what makes them the same is that they were all rentals. So the crew cabs they’re selling at the lowest prices are basically fake XLT models. Interesting

[@jimmeier6468]

I bought a 2005 Ford Focus rental car from ENTERPRISE in 2006. It had about 6000 miles on it. I'm still driving it today and have had no problems with it. I'm due for a new car now and will be calling ENTERPRISE.

[@Jgreen2794]

I bought a former rental car for my wife, and when I checked it through Carfax, it showed that it had only had 2 oil changes with about 40K miles on the odo. When I asked the seller about this, they said it used synthetic oil which only required that it be changed every 25K miles. Yeah, sure. After about 2 K miles, the transmission went out. The transmission just happened to still be under warranty, so it didn't cost us anything.

[@azthundercloud]

When i worked for a Mitsubishi dealer we used to take the rentals we bought at auction, take the decals off and put right on the lot without doing anything to them. We got full retail on them also. I lasted 4 months before i walked away.

[@IggyStardust1967]

Actually, the last two vehicles we've bought were "former rentals". Both were great cars with low mileage(less than 10k) and were obviously well maintained. We bought both from CarMax, and both had the "former rental" stated up front(which is important to me). Often times, it's the dealer/seller that's being shady by not ensuring the vehicle for sale is up to decent standards. CarMax has never done us wrong, and we are "investigative" buyers.

[@mattrc77]

I think this goes without saying if your buying a low miles rental from hertz or something take it to a solid dealership and get it inspected, Hertz has a 7 day no questions asked return policy.

[@oldflatbeder3218]

I drove a petroleum tanker for a few years, One delivery was to a rental company that starts with H. I delivered a load of 10W-40 to them but the tank had 24" of water in it. I made the call to the shipper and they called the "H" corporate office and I was told to unload the oil in the water. Don't buy a car from them.

[@jiml5837]

I have bought two Daily Rentals in my life - both were great cars. I was fully aware what they were and saved a lot of money on them. A question for you, the last time I bought one, the dealer mentioned that they put a special load of firmware in Rental cars to "Detune" them a bit to avoid some abuse? Do you know if this is true? If so, have you ever run into a case where they simply forget to replace with the "Stock" firmware?

[@shannonhunt7966]

The shady car salesman just got shadier

[@axysdnyd]

Depends on what car you rent. I rented a Chrysler 300C and it was well equipped. Enterprise is a decent place to rent a car and I wouldn't have a problem buying one of their vehicles. Just do as you would buying any used car. Problem solved.

[@tugglemiles2991]

Program Vehicle is also a leased vehicle sometimes to a large Corp. Mom could look over a car and tell if a car was wrecked or changed. She would go over stem to stern Dad stepped back while she got Her price.

[@monteglover4133]

My 06 Ford Club Wagon was a rental I got it with 20K it now has 196K and has had very few problems. From a dealer was not told but it was obvious 20K in 8 months but at 40+% off of list it was deal.

[@rosebarnes9625]

I got a 20% discount on a fridge because it got damaged before (during) delivery. Little dent that we just hid by putting a msgnetic photo over it, but no, never a car... I did get screwed when I was 18 and bought a brand new 85 accord in Dec 84. Paid for ac but it was not in the car so I was to bring it back a month or so later to have the ac installed. They kept telling me it wasn't ready when it was supposed to be and 5 days after I was supposed to pick it up, they finally admitted they wrecked it... a lot attendant slid it sideways into a pole where the door meets the front 1/4 panel on passenger side. Looked fine when I finally got it back, but the glovebox never would close right after that... Also bought a 2006 SantaFe in feb 07, 1 yr old rental (which WAS disclosed at sale) had 14k on it. Didn't have leather or heated seats but it did have the fairly rare high end audio. Turned out to be the most reliable vehicle we ever owned! Needed a new PS pump when we got it, but other than that and a sensor on the tranny at 285k mi, it just got oil changes every 5k and plugs and wires and WP & timing belt every 100k mi, finally sold it to a freind who needed a 3rd vehicle with just under 400k miles.

[@aislingekelloggdegomez4597]

My father, who is by no means lacking intelligence, leased a new minivan years ago, and told the dealer that he wanted the former vehicle money (value $6,000) put toward the new lease written into the contract. Which was great, and they agreed. Well, not too long after, he realised the $6,000 never was put into the cost of the lease. I asked my father, “Did you read the contract before you boughtit it?” He said, “No one ever reads those.” (Yes, I couldn’t believe it, either, how such stupid words could be spoken.) So, I explain to him that people who don’t want to be screwed do read these things. I see that you might struggle with it, but from now on, no matter what, you won’t ever sign a car purchasing or leasing contract without having Luis (my husband) going with you to read it!” He has. For the last two transactions, he brought my husband along to plow through the documents. I understabd fully that many people are offput severely when reading documents of this nature, but he thrives reading them. After that there were no issues that just - oops! - didn’t make it into the contract. And never ever, since then, has my father uttered the ridiculous words! “No one one ever reads those!”

[@craigjorgensen4637]

We have bought two ex rentals. They were just fine!

[@Dan-rm2vu]

Bought a Kia Sorrento from Hertz and love it. No issues and great warranty

[@shelbelee]

Dan Hughes was the Carfax clean? I'm thinking about buying from hertz

[@eddiejacobus]

I have known or know a total of 3 people who have bought rental cars and one who bought a truck. All got high mileage, late model vehicles in excellent condition for a really cheap price. I have rented cars many times and I never treated it like a rented mule. I drove it the same as my own car. My biggest problem as an owner is maintenance. Rentals are tracked and serviced by computer, like any fleet, and maintenance is performed properly by the book. Me? Maybe I change the oil every 16-20k. Filters? Baahahaha..

[@mikelastpass689]

my current vehicle is a former rental car that lived as such for one year. I've had the car going on 3 years with zero problems.

[@etaylor38]

We need more people like you thanks.