Is it better to purchase a Used BMW thru a BMW dealer or CarMax

[AlpineSwift]

I know it's been mentioned but Carmax does not negotiate on their price and not all BMW dealers will negotiate on used vehicles regardless of CPO or not. I have a neighbor friend that's a regional exec for Carmax and he can't pull any strings for me either. 'No Haggle' dealers in general are kind of good and bad from a purchase stand point. On the one hand, everything is there in black and white right from the rip; on the other hand, there's no way to 'sweeten' the deal with them (some big name dealers might give you free floor mats if you're lucky).

All that said, I've had one purchase experience with Carmax in the past and genuinely did not have any issues whatsoever. Car was absolutely perfect and the deal was the best in the area for the mileage and price. I have heard some horror stories with them for vehicles that needed major maintenance or had hidden flaws but these seem to be fairly rare.

[Efthreeoh]

Here's my experience with buying a BMW from CarMax. In short don't. CarMax is nothing more than a well-capitalized slimy used car dealership that sells used cars with access to bank financing for its buyers.

I bought my Z4 from a CarMax. I paid a non-refundable $600 shipping fee to bring the Z4 from Ohio to Virginia. CarMax says they have a 100-point inspection performed by their "industry experts". 100% bullshit. This was December 2014.

On my Z4 they missed:
- crease in the right front fender above the headlight and dent on the door below the passenger mirror - CarMax did pay to get the dents PDR'd
- rattling throw-out bearing
- low coolant
- improper sized battery replacement with no vent tubing (the battery would not lock into the hold down.
- use of an improperly fitting oil filter (and God only knows what engine oil and how much they filled the sump with)
- Mouse nest in the engine airfilter box that took up 1/2 the volume of the airbox.
- Cabin airfilter full of tree leaves and Poplar seeds
- Broken cubby light switch (left the cubby light on when the engine was running)
- Loose B-pillar trim on the passenger side (broken tabs)

I took the Z4 to a BMW dealership near my office (140 miles from the CarMax I bought from) for a PCMPI (Post CarMax Purchase Inspection) and alignment. What BMW dealers do is first ask if you bought the CarMax extended warranty. If you did or the BMW dealer assumes you did (my case - I didn't buy the extended warranty), the dealership will find a laundry list of items that need correction; the dealership uses the extended warranty to create revenue. In my case the dealership said the rattling throw-out bearing was "possibly" the manual transmission input shaft bearing going bad. The recommended the trans be pulled to verify. With the alignment, the dealership said the rear suspension had $2,200 of bent components that would not allow an alignment. The Z4 had only 23,000 miles on it.

I took the Z4 back to CarMax with the list and expected CarMax to honor their 30-day warranty. Nope. They took the Z4 to a different BMW dealership, which was across the street from their store (and coincidentally the BMW dealership I had brought my E90 from in 2006). That dealership found no throw-out bearing noise but said the serpentine belt tensioner was making a noise. The BMW dealership found no issue with the rear suspension and got the car in perfect alignment. 100,000 miles later the throw-out bearing is still making the exact same noise, no worse, input shaft bearing my ass. The serp belt tensioner? I replaced when the Z4 hit 100,000 miles and I replaced the belt 6 years later in 2020. I kept the tensioner as a spare - LOL.

Buy a BMW from CarMax... eh, no.

[azmiller1976]

Thanks thats what I figured too when I caught a read on that issue. I will stick with independent PPI hands down, thank you for the support and input!

[azmiller1976]

This is some great intel, thank you for taking the time to write all this, really helps isolate my train of thought when searching online. I will stick solely with BMW dealerships ONLY and go with that. Thanks again for your support and time!

[christianb5s4]

I've personally had great experiences on two cars bought through Carmax, including my wife's G05 X5. Carmax was just an option and happened to find the right car, right options, right condition, right price versus others at dealers.

It's up to the buyer to do due diligence the car and some are a good deal, some are not. There were two issues that came up with the X5 (brake pads low) and tire wear, and Carmax replaced pads, rotors, and tires at no cost no hassle using a local BMW dealer.

At a minimum, one of the best things about Carmax and similar is that they are a fantastic way to test drive cars with no strings attached and even offer extended 24 hour test drives. Price is what it is (for better or worse) with no haggling, and if you test drive and don't buy, no pestering after which is more than can be said about most dealers.

[Car-Addicted]

Would CarMax run this commercial? I would buy from this BMW dealer!
This is how to sell a car.

https://twitter.com/PecanC8/status/2039364414931882057?s=20

[multisport4me]

I bought two Audi's from Carmax. The first had metal flakes in oil (as tested twice by me at Blackstone) and Carmax bought the car back + some. The cost for them to ship an engine from Germany would have cost them $39k. They were highly motivated to get me out of that car and into a different one. The second Audi was nice but I sold it 8 months later and bought my M8.

So here is my takeaway. Cars like ours that end up at auctions - where Carmax buys in volume - have a significantly higher risk of having "hidden issues" because Carmax has no idea what they are buying at auction. Point being - tuned car that was beat on gets traded to dealer and dealer dumps it to auction and Carmax buys it with no idea or even an attempt to understand the service records (beyond carfax) on the car.

That said, they had a nice 15 day (used to be 30) guarantee and you can take car back for full refund. If you buy a car from them, I'd immediately take it to a mechanic, get oil sample to send to Blackstone, change oil and get a complete assessment from that shop. But only on "normal cars" - I don't think I'd buy an M8 from Carmax. Very risky IMO.

[azmiller1976]

Interesting and would make sense anymore, seems like the internet has really perpetuated the ability to make a quick buck at the expense of others not being able to track the condition of the vehicle. They know the score, they know more than likely you are not going to get into a plane flyg out and check the car out, I would be a lot of people don't even hire a PPI remotely but rely on the dealership to say, "yes we did our 1million point inspection you are good to go" dialog. Thank you for the write up I appreciate it!

[azmiller1976]

Oh man thats great, now thats being creative, scaring off Mercedes like that, classic!

[azmiller1976]

Now that I would like, lengthier test drive and no hassle. My only concern would be finding that unicorn X5, they have it, but it is priced higher than market demand, and you cant do anything about it. Right now, there is not 1 2023 X5 Black Sapphire Metallic with a 4 zone climate control, M Sport with Black Sensafin or Cognac interior with a trailer hitch, with anything less than 22 inch wheels going on 3 months now. Guess i will wait it out until the 2024 models hit the big wave in late May and hold off on having to worry about having to walnut blast the engine intakes on a 2023 X5, LOL! Thank you for your insight I do appreciate it!

[Phillies8008]

One thing to keep in mind with both CarMax and Carvana's return policies: if you trade-in a car and end up returning the one you've purchased you will not get your trade-in back. They treat them like two separate transactions and are essentially buying your vehicle rather than it being a traditional trade-in.

[azmiller1976]

Good point for sure!

[Efthreeoh]

Originally Posted by multisport4me

I bought two Audi's from Carmax. The first had metal flakes in oil (as tested twice by me at Blackstone) and Carmax bought the car back + some. The cost for them to ship an engine from Germany would have cost them $39k. They were highly motivated to get me out of that car and into a different one. The second Audi was nice but I sold it 8 months later and bought my M8.

So here is my takeaway. Cars like ours that end up at auctions - where Carmax buys in volume - have a significantly higher risk of having "hidden issues" because Carmax has no idea what they are buying at auction. Point being - tuned car that was beat on gets traded to dealer and dealer dumps it to auction and Carmax buys it with no idea or even an attempt to understand the service records (beyond carfax) on the car.

That said, they had a nice 15 day (used to be 30) guarantee and you can take car back for full refund. If you buy a car from them, I'd immediately take it to a mechanic, get oil sample to send to Blackstone, change oil and get a complete assessment from that shop. But only on "normal cars" - I don't think I'd buy an M8 from Carmax. Very risky IMO.

This is exactly my point. CarMax says they have "industry experts" who go over every detail of the car with their 100-point inspection and that is justification for CarMax to charge a higher price for their cars because there is no worry for the buyer to buy a used car from them. Even more so their 100-point due diligence is reason why the price is non-negotiable.

Then they really push the add-on sale of their CarMax extended warranty. The purpose which is just to cover their ass if the buyer finds an issue with the car post sale and past the refund and return dates.

CarMax is bullshit just like every other used car dealer.

[TimmyTurbos]

Never purchase a car from a place that won't allow a PPI by design.

[allinon72]

I think the big auto retail industry is in a race to the bottom with Carvana and the like. Carmax used to carry a somewhat decent reputation on vehicle quality, but now they have to compete with Carvana's bubble gum and popsicle stick reconditioning methods.

[Phillies8008]

Originally Posted by Efthreeoh

This is exactly my point. CarMax says they have "industry experts" who go over every detail of the car with their 100-point inspection and that is justification for CarMax to charge a higher price for their cars because there is no worry for the buyer to buy a used car from them. Even more so their 100-point due diligence is reason why the price is non-negotiable.

Then they really push the add-on sale of their CarMax extended warranty. The purpose which is just to cover their ass if the buyer finds an issue with the car post sale and past the refund and return dates.

CarMax is bullshit just like every other used car dealer.

I think CarMax tends to be a little higher than other options because you're paying for convenience, very large inventory, and avoiding the typical dealership BS. In fairness, that's worth something to a lot of people, including me. I am literally happy to pay somewhat of a premium to not have to go into a dealership, which is why I'm 100% going to use a broker the next time I lease. I think the primary reason that they're no-haggle is because they understand how much people hate traditional dealerships and will pay a little more not to deal with their shit.

Anecdotal for sure, but in the seven or eight cars I've bought from CarMax I've never had them aggressively push an extended warranty on me. In my experience they ask, give a quick spiel if you say no, then take no for the answer without pushing it any further. I've always found it to be pretty much 180º from a dealer's F&I guy's super hard sell.

As for the inspection, I'd never trust any dealer's own inspection.

[Efthreeoh]

Originally Posted by Phillies8008

I think CarMax tends to be a little higher than other options because you're paying for convenience, very large inventory, and avoiding the typical dealership BS. In fairness, that's worth something to a lot of people, including me. I am literally happy to pay somewhat of a premium to not have to go into a dealership, which is why I'm 100% going to use a broker the next time I lease. I think the primary reason that they're no-haggle is because they understand how much people hate traditional dealerships and will pay a little more not to deal with their shit.

Anecdotal for sure, but in the seven or eight cars I've bought from CarMax I've never had them aggressively push an extended warranty on me. In my experience they ask, give a quick spiel if you say no, then take no for the answer without pushing it any further. I've always found it to be pretty much 180º from a dealer's F&I guy's super hard sell.

As for the inspection, I'd never trust any dealer's own inspection.

Agree. It's good you've had positive experiences with CarMax.

I know my experience is just one of one, but it was a quite bad experience. My previous post that lists the things they missed were basic items that any true 100-point inspection should have caught. I didn't bother to go into a deep inspection upon reviewing the Z4 because I believed the hype, and I had paid $650 to have it shipped to Virginia. The shipping cost was non-refundable unless I found the car "was not as advertised" (good luck with that). The throwout bearing noise only becomes noticeable once the transmission warms up, so I did not catch it on my test drive. I did discover the noise on the drive home because I got caught in traffic (rare where I live) and had the windows open. The crease in the fender was not noticeable in the pics of the car posted on their website and only became noticeable until the sunlight caught it just right, which happened when I parked it at home. I suspect the crease was possibly put in the fender post original pictures considering the battery was replaced and I concluded the car was pushed by hand over the headlight somewhere along the trip from Ohio to Virginia.

The positives were the Z4 had very low miles for its age and the interior was nearly new. The mechanical issues I could easily deal with since I have a full shop at home, so I really wasn't worried that much. It is really the false advertising that I have issue with. It's okay to charge a "premium" for a car if you say you've gone over it with a fine-toothed comb by a 100-point inspection by "industry experts", but they didn't. Charging a premium should mean you be able to trust the dealership. I can't trust CarMax based on my experience. Not to check the coolant level and airfilter(s) condition is just not acceptable. It's not that the just missed these items, they simply just did not check them. The Z4's airbox opens by hand with four (4) clips, no tools are required. The coolant reservoir reports coolant level using a pop-up dipstick, like most newer BMWs do.

Mostly I'm (still) just pissed at myself because being a car guy (and a 30-year vet of BMW ownership at that), I should have checked the obvious stuff like coolant level and airfilter condition. I'm not the typical car dumbass who doesn't know what they are looking at once the hood is opened.

[Phillies8008]

Originally Posted by Efthreeoh

Agree. It's good you've had positive experiences with CarMax.

I know my experience is just one of one, but it was a quite bad experience. My previous post that lists the things they missed were basic items that any true 100-point inspection should have caught. I didn't bother to go into a deep inspection upon reviewing the Z4 because I believed the hype, and I had paid $650 to have it shipped to Virginia. The shipping cost was non-refundable unless I found the car "was not as advertised" (good luck with that). The throwout bearing noise only becomes noticeable once the transmission warms up, so I did not catch it on my test drive. I did discover the noise on the drive home because I got caught in traffic (rare where I live) and had the windows open. The crease in the fender was not noticeable in the pics of the car posted on their website and only became noticeable until the sunlight caught it just right, which happened when I parked it at home. I suspect the crease was possibly put in the fender post original pictures considering the battery was replaced and I concluded the car was pushed by hand over the headlight somewhere along the trip from Ohio to Virginia.

The positives were the Z4 had very low miles for its age and the interior was nearly new. The mechanical issues I could easily deal with since I have a full shop at home, so I really wasn't worried that much. It is really the false advertising that I have issue with. It's okay to charge a "premium" for a car if you say you've gone over it with a fine-toothed comb by a 100-point inspection by "industry experts", but they didn't. Charging a premium should mean you be able to trust the dealership. I can't trust CarMax based on my experience. Not to check the coolant level and airfilter(s) condition is just not acceptable. It's not that the just missed these items, they simply just did not check them. The Z4's airbox opens by hand with four (4) clips, no tools are required. The coolant reservoir reports coolant level using a pop-up dipstick, like most newish BMWs do.

Mostly I'm (still) just pissed at myself because being a car guy (and a 30-year vet of BMW ownership at that), I should have checked the obvious stuff like coolant level and airfilter condition. I'm not the typical car dumbass who doesn't know what they are looking at once the hood is opened.

Yeah, I don't blame you at all for being pissed – that's a shitty and unacceptable experience. You really can't trust anyone anymore, unfortunately.

I definitely should've added the caveat that I haven't purchased from CarMax for at least five years, so the experience could be very different now, especially post-COVID.

[azmiller1976]

Great insight, thank you for sharing that. I have found in the 3.5 months of looking for this 2023 X5 Unicorn (i.e., Black Sapphire Metallic, Black Sensafin, Comfort Climate, TRAILER HITCH), and the ones I compromised on 2 to purchases, higher miles than wanted, 22 inch wheels, neither dealers budged on price even a $1,500 they went with asking price of buzz off. So, with that taking place what would be the difference than going with Carmax, if the price was reasonable other than the CPO portion, which to me can be a game changer. Thank you again for your input and time, really appreciate it!

[Vin0770]

Originally Posted by azmiller1976

Great insight, thank you for sharing that. I have found in the 3.5 months of looking for this 2023 X5 Unicorn (i.e., Black Sapphire Metallic, Black Sensafin, Comfort Climate, TRAILER HITCH), and the ones I compromised on 2 to purchases, higher miles than wanted, 22 inch wheels, neither dealers budged on price even a $1,500 they went with asking price of buzz off. So, with that taking place what would be the difference than going with Carmax, if the price was reasonable other than the CPO portion, which to me can be a game changer. Thank you again for your input and time, really appreciate it!

FWIW I bought a CPO a couple weeks ago. 2025 M440i xDrive GC, 8,000 miles. One owner had it for nine months and assembled in Munich 3/25 so it had to be near the end of that batch. I saw the work order for the CPO work $3,885 which included four new Pirelli AS run flats.

I asked tongue in cheek how many miles at the track did this guy do. New tires after 8,000 miles? First time using this dealership and got some history that the family that owned this dealership since 1934 and has internal policy doing CPO work including putting new tires on if it’s anywhere close to half…I appreciate that and will pay a bit more if I feel they’re sincerely taking care of me.

I’m 60 miles away from the dealership and out of state and halfway through the paperwork realized these folks are really sharp to work with. Found the very unique vehicle online Cars.com and went to their website and read for hours. I asked the young but sharp salesman I was working with over the phone, I assume the internet price is what they call “No hassle” and he said yes. I told him I call it “take it or leave it” pricing and that’s too bad as I enjoy negotiating and told him thanks but no thanks.

He contacted me the next day and said his sales manager was interested in my offer. I told him $2000 off their internet price and they agreed. It was $74,075 msrp when new so nice goodies vs. everything else under $69,000 online same mileage. So while they weren’t the absolute lowest, I new what they did in their CPO work including curb rash on the wheels. It really still has a new car feel to it. Knew I was looking at something fairly rare online even nationwide searches.

I’ve never bought a used car and thought CPO was another way to say, hopeful. I have also never bought extended warranty. I got the remainder of the 36,000 miles free maintenance, and factory warranty and then bought two more warranty’s including one for the wheels and tires unlimited miles that got me to seven years.

My one other BMW experience was not good and surprisingly I’m trying another four years later. 2022 M430i xDrive coupe that I bailed on after seven months of non ending electrical gremlins, lost my ass. So I know at $200 an hour for labor how expensive BMW’s can be. I also learned the hard way how easy it is to curb rash these wheels. The tire warranty gets me up to eight new AS run flats no questions asked wheel replacement if broken and since you can’t patch a run flat tire, I purchased it. It’s not cheap even after they showed me their net mark up, but I’m done working this year and need something to last. Seven years is about right and I get the prorated balance if I sell the car early.

Don’t think I’d be getting this care and customer treatment at CarMax.

[azmiller1976]

Wow that is quite an experience, thank you for taking the time to post that. I guess you just never know about a car and how the dealings of purchasing might lean on your benefit at the end of the day. Thanks again!

[Phillies8008]

Originally Posted by Vin0770

Don’t think I’d be getting this care and customer treatment at CarMax.

Definitely not. Think of CarMax kind of like BestBuy – you don't go there for the experience, you go there for the convenience, selection, and the no-haggle policy (obviously not a BB thing).