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How much is a CPO worth?

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Old 04-10-2020, 09:25 AM
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Default How much is a CPO worth?

Would you consider buying a F Type S from a Jaguar dealer that is CPO worth $5-6K more than buying one from a non-Jaguar dealer? That is the question I am potentially facing with two very similar cars I am considering.
 
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Old 04-10-2020, 09:50 AM
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Originally Posted by FType4Me
Would you consider buying a F Type S from a Jaguar dealer that is CPO worth $5-6K more than buying one from a non-Jaguar dealer? That is the question I am potentially facing with two very similar cars I am considering.
I negotiated an extra year of CPO as a price offset and the dealer told me they paid Jag $1200 for the extra year. Having a CPO, it is not the same as a factory bumper to bumper as the dealer will imply. It only covers "sudden mechanical or electrical failure." That statement creates more questions than answers.

Probably the biggest ticket item that commonly fails sometimes several times per car are the cats, but those are covered by the 8Y/80K Federal emmissions warranty, not CPO.

​​​​$5-6K is way too much IMO. A CPO used to be valued at around a $3K premium to a non-CPO all else equal car, but that is when older cars fell off the factory warranty in 4 years and overall prices were higher. With 5Y factory warranties a CPO is only valuble on cars with major depreciation, so ~$2K is more reasonable today assuming the car has low enough miles to use it, and you are satisfied that you know what it covers. And if you are able to figure it out, please let the rest of us CPO holders know.

 

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Old 04-10-2020, 10:30 AM
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Originally Posted by RacerX
I negotiated an extra year of CPO as a price offset and the dealer told me they paid Jag $1200 for the extra year. Having a CPO, it is not the same as a factory bumper to bumper as the dealer will imply. It only covers "sudden mechanical or electrical failure." That statement creates more questions than answers.

Probably the biggest ticket item that commonly fails sometimes several times per car are the cats, but those are covered by the 8Y/80K Federal emmissions warranty, not CPO.

​​​​$5-6K is way too much IMO. A CPO used to be valued at around a $3K premium to a non-CPO all else equal car, but that is when older cars fell off the factory warranty in 4 years and overall prices were higher. With 5Y factory warranties a CPO is only valuble on cars with major depreciation, so ~$2K is more reasonable today assuming the car has low enough miles to use it, and you are satisfied that you know what it covers. And if you are able to figure it out, please let the rest of us CPO holders know.

Thank you for the detail. The non-Jaguar dealership is priced very competitively, however I cannot justify paying 5K more for a CPO when virtually all options are the same on both cars, and mileage is 1500 apart.
 
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Old 04-10-2020, 11:19 AM
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Originally Posted by FType4Me
Thank you for the detail. The non-Jaguar dealership is priced very competitively, however I cannot justify paying 5K more for a CPO when virtually all options are the same on both cars, and mileage is 1500 apart.
If either car has documented oil changes around every 3K miles, I would value that above a CPO.

GDI engines put more soot in the oil which wears the timing chain and pistons when using low viscousity oils. The new GF-6 oil standard to be released on May 1, 2020 attempts to correct the poor wear protection of high mpg oils, particulary in GDIs. Now low viscosity oils, defined by the standard as SAE 30 and lower, have to pass 6 engine wear and heat tests before they are considered to provide acceptable wear protection while boosting mpg as much as 1.5%.

So its critical to see very frequent documented oil changes in Jags which have been using these problem oils. Lots of FTs have timing chain and supercharger component wear issues.
 

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Old 04-10-2020, 03:21 PM
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I concur in Racer's analysis and conclusion about the price to be paid for a CPO vehicle. It is really a peace of mind issue. I don't think there is much value added other than the extended warranty. The economics will not justify more than what was mentioned. However good it might be to know the oil records, my experience is that most F-Types in the used market have such low mileage that the oil records are not that important. A very significant percentage of the cars are used on weekends or seasonally and accumulate very little mileage. I expect if someone ran the numbers the mean average is maybe 4,000 miles a year. But the oil for these machines is a recurring issue, cost, availability, specification, fill levels. I expect most owners change their oil annual on general principles which would mean a 4,000 mile interval.
 
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Old 04-10-2020, 03:40 PM
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Originally Posted by Suaro
I concur in Racer's analysis and conclusion about the price to be paid for a CPO vehicle. It is really a peace of mind issue. I don't think there is much value added other than the extended warranty. The economics will not justify more than what was mentioned. However good it might be to know the oil records, my experience is that most F-Types in the used market have such low mileage that the oil records are not that important. A very significant percentage of the cars are used on weekends or seasonally and accumulate very little mileage. I expect if someone ran the numbers the mean average is maybe 4,000 miles a year. But the oil for these machines is a recurring issue, cost, availability, specification, fill levels. I expect most owners change their oil annual on general principles which would mean a 4,000 mile interval.
Agreed. If mileage is low, and it often is, its a non-issue. If the car has no records and enough miles to have wear issues, make sure the seller does not warm it up before your test drive. Look for a stone cold oil temp ball on start, at it should rest on 0 degrees for a minute-ish. Also, feel under the engine cover for hot metal, which lingers for long time on FTs.

Assuming its cold soaked, start the car with hood up and jump right out to listen for early ticking and any other crappy sounds before the oil warms up and thickens from from its winter weight to the rated SAE. Thats when wear issues are most audible.
 
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Old 04-10-2020, 04:46 PM
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And take a peek at the squirrels for varnish, scoring, etc.

 
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Old 04-10-2020, 06:42 PM
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Originally Posted by FType4Me
Would you consider buying a F Type S from a Jaguar dealer that is CPO worth $5-6K more than buying one from a non-Jaguar dealer? That is the question I am potentially facing with two very similar cars I am considering.
Buy the CPO car. If you ever have a problem you can always contact corporate headquarters. The CPO is backed by Jaguar, an extended warranty is just an insurance policy, Big Difference! You will pay a premium however it has many advantages. Just my 2 cents. You can get CPO to cover up to 7 years/100,000 miles with Roadside Assistance.
 
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Old 04-10-2020, 06:48 PM
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But just to be clear, CPO could be one or two years (sometimes 3 yrs) more. 5-6k for one year extra seems crazy. For 2 it's v expensive. For 3 more reasonable.

I would bias to the CPO if they will move on price. I can't imagine they are selling much at the moment. I'd suggest you decide what delta is fair and be totally straight with them. "I like the car and will pay 3k more than my other option for CPO". If they do it then all good. If not buy the other one and put 3k in a maintenance jar
 
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Old 04-10-2020, 08:03 PM
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Another thing to consider is Jag going under.
 
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Old 04-10-2020, 08:05 PM
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Originally Posted by RacerX
Having a CPO, it is not the same as a factory bumper to bumper as the dealer will imply. It only covers "sudden mechanical or electrical failure."
Can you please expand on this a bit?

What I read on the Jaguar CPO site seems to indicate that it is simply extending the new car warranty.

I’d appreciate any insight.

 
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Old 04-10-2020, 08:42 PM
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Originally Posted by Quickstep192
Can you please expand on this a bit?

What I read on the Jaguar CPO site seems to indicate that it is simply extending the new car warranty.

I’d appreciate any insight.
Sure. When you buy a CPO car, this is what Jag gives you in writing. It looks like it explains what is warranted but it doesn't. Basically, it amounts to an expiration date.

They do check-off that they verbally breifed you, and you sign on the left that they did so.

They brief you these two paragraphs:


So one might think the list of 165 inspection points is the detailed explanation of the warranted items. Its not. They are "certifying" those 165 things were considered acceptable at the time of purchase. That's it.

I found that out the hard way when I had the usual paint chipping issue on the tight rocker panel seam behind the driver door. I looked at the list of CPO inspection points and saw #79 and #80.

So they told me to bring it in, and then they agreed it is an uncovered factory fitment issue. It is uncovered because the initial 4 year warranty had expired. The CPO inspection points are for "certification" of the car for sale, but have nothing to do with the CPO warranty. Certification is simply your assurance that, to the best of their knowledge, the car was in good health at the time of sale.

As explained in the website sceenshot above, the CPO warranty only covers, "sudden and unexpected mechanical and electrical failure." Failure is singular, not failure"s" plural, so I assume they mean the car itself becomes suddenly disabled. E.g. a $2000 headlight might not be an "electrical failure."


IMO the "sudden and unexpected" words are a tricky way of saying, "not attributable to exoected wear and tear." It is unclear exactly what is covered and would happen if push came to shove.

They did replace my battery under CPO, but that is essentially a system-level fail.

Hopefully that helps.
 

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Old 04-10-2020, 08:56 PM
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Originally Posted by RacerX
Sure. When you buy a CPO car, this is what Jag gives you in writing. It looks like it explains what is warranted but it doesn't. Basically, it amounts to an expiration date.

They do check-off that they verbally breifed you, and you sign on the left that they did so.

They brief you these two paragraphs:


So one might think the list of 165 inspection points is the detailed explanation of the warranted items. Its not. They are "certifying" those 165 things were considered acceptable at the time of purchase. That's it.

I found that out the hard way when I had the usual paint chipping issue on the tight rocker panel seam behind the driver door. I looked at the list of CPO inspection points and saw #79 and #80.

So they told me to bring it in, and then they agreed it is an uncovered factory fitment issue. It is uncovered because the initial 4 year warranty had expired. The CPO inspection points are for "certification" of the car for sale, but have nothing to do with the CPO warranty. Certification is simply your assurance that, to the best of their knowledge, the car was in good health at the time of sale.

As explained in the website sceenshot above, the CPO warranty only covers, "sudden and unexpected mechanical and electrical failure." Failure is singular, not failure"s" plural, so I assume they mean the car itself becomes suddenly disabled. E.g. a $2000 headlight might not be an "electrical failure."


IMO the "sudden and unexpected" words are a tricky way of saying, "not attributable to exoected wear and tear." It is unclear exactly what is covered and would happen if push came to shove.

They did replace my battery under CPO, but that is essentially a system-level fail.

Hopefully that helps.
You are so wrong about the CPO warranty. I think you should do some research. I can say this having been a Jaguar Service manager for over 30 years & also someone who has CPO on 2 current Jaguars. I will not debate this with you as I have read some of your other posts.
 
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Old 04-10-2020, 09:04 PM
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Originally Posted by JgaXkr
You are so wrong about the CPO warranty. I think you should do some research. I can say this having been a Jaguar Service manager for over 30 years & also someone who has CPO on 2 current Jaguars. I will not debate this with you as I have read some of your other posts.
Too bad you weren't there when my claims were denied.

I will also add that the dealer was a sleeze bag and flat out lied, they never paid for the extra year and its been a finger pointing joke to get Jag to enter the 7 year CPO expiration date in the computer. Yes I elevated to Jag and they agreed the dealer must enter the 7Y date, but the dealer refuses.

I can't wait til they say I don't have coverage because I have the paper work with the 7 year date. That will be a slam dunk law suit IMO including punative damages. Haven't needed it this year, but I might.

If you are really are a service manager you wouldn't let my car go unpainted. Obviously, since I just posted valid paperwork.
 

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Old 04-10-2020, 09:13 PM
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Originally Posted by JgaXkr
You are so wrong about the CPO warranty. I think you should do some research. I can say this having been a Jaguar Service manager for over 30 years.
As a senior Jag rep, please write a legally binding explanation of exactly what is covered, here, with assurance your dealership will cover all said claims. That is not too much too ask.

I'll give you a call about having the panels repainted. They also denied a claim affter I discovered the front bumper was shoddly painted and started chipping with unprimed OEM paint underneath, which they admitted to doing but never disclosed as required, and denied CPO coverage. I will get a receipt from my body shop and send your location the bill.

Thank you so much!
 

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Old 04-10-2020, 09:24 PM
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OP you are in luck! You get a live demo of what the CPO is really worth, with full documentation posted.
 

Last edited by RacerX; 04-10-2020 at 09:26 PM.
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Old 04-11-2020, 04:56 AM
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Originally Posted by RacerX
OP you are in luck! You get a live demo of what the CPO is really worth, with full documentation posted.
Yes - this is quite interesting, and as someone who has had a fair share of issues with another brand (Infiniti) and their CPO, I am curious to see the outcome.
 
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Old 04-11-2020, 05:50 AM
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Originally Posted by FType4Me
Yes - this is quite interesting, and as someone who has had a fair share of issues with another brand (Infiniti) and their CPO, I am curious to see the outcome.
I'm not. It is crystal clear across all manufactures that a CPO inspection has nothing to do with the actual coverage. Years ago, the original CPO programs from dealers were only good faith inspections.

But as you can see from my experience, not only was the Jag inspection not in good faith and the CPO never internally funded in known violation of the written contract, the Jag dealer (San Diego Jaguar) used the CPO process to very shoddily hide known issues which they didn't disclose until long after the sale was complete.

Here is what Edmunds says, just to reiterate what is actually covered, and that Jaguar is no different than any other used car salesman.

"What's a Certified Pre-Owned Vehicle?

A certified pre-owned car is one that has been lightly used, thoroughly inspected (and repaired if necessary) and then covered by a manufacturer-backed extended warranty. Keep in mind that this warranty isn't the same as a new car's "bumper-to-bumper" coverage. It's possible to get that type of coverage, but it will cost extra. ​​​​​​"
 

Last edited by RacerX; 04-11-2020 at 05:56 AM.
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Old 04-11-2020, 09:20 AM
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While shopping for a CPO F-Type, I asked the dealership if the clutch was covered by the CPO warranty and got a quick “yes”, but now I’m curious if the clutch would really be covered or if it would be considered a wear item? I’d appreciate any information about this.
 
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Old 04-11-2020, 09:58 AM
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Originally Posted by Quickstep192
While shopping for a CPO F-Type, I asked the dealership if the clutch was covered by the CPO warranty and got a quick “yes”, but now I’m curious if the clutch would really be covered or if it would be considered a wear item? I’d appreciate any information about this.
The single CPO warranty sentence depends as much on the conditions surrounding the failure as the failure itself.

​​​​So if your clutch failed at 5.5 years and 12,000 miles and you towed the car in, then the Jag dealer might cover it because you experienced a "sudden and unexpected mechanical failure."

If your clutch is wornout at 50,000 miles thats certainly in the window of normal wear and tear, so it is not covered in writing.
​​​​
​​In fairness, even within the factory warranty the clutch is going to be warranted againts defects but not against wear and tear or abuse.

And not in fairness, you don't need a CPO to have a defective, unworn part replaced because the valid period of time for that to make sense is short. And if a replacement part is defective outside of the factory warranty, it has its own parts warranty which effectively defines when defectivess stops and normal wear and tear begins.

The good news is they didn't lie to you. They decieved you.
 

Last edited by RacerX; 04-11-2020 at 10:46 AM.


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