Buyer Beware: The Canadian Import on Steve’s Blog

At the time of writing this, the US Dollar to Canadian Dollar exchange rate was 1.26. Not too long ago, our dollars were at a 1 to 1 exchange rate. What does that mean to you as a car shopper?

I am seeing a huge influx of both New & Used car dealers stockpiling vehicles imported from Canada. The main reason: that current exchange rate enables them to purchase a $12,650.00 vehicle in Canada for $10,000.00

Granted, the vehicles are approximately identical to US made/sold/born vehicles other than odometers having to be changed & converted from Metric to US (and of course subject to Canadian Winter driving).

What bothers me though, is the lack of transparency with selling these vehicles. Cars imported from Canada have an inherently lower resale value, much like a car that was a RENTAL, but worse. The  detailed “history” of these vehicles rarely transfers over to a Carfax report so if the vehicle spent a year two driving around Quebec, that’s two years of reporting/services/possible accidents that won’t show on a Carfax (amongst the other billions of items Carfax claims to have all answers to but is commonly lacking and only as good as the paper it’s printed on.)

My point being, before you spend your hard earned money on a next to new vehicle (even if it’s from a new car store/franchise that seems like they really care about you), don’t just ask if the Carfax is clean, ASK TO SEE THE CARFAX and where the vehicle came from. When you go to sell or trade your vehicle down the road, a vehicle with Canadian history will be worth LESS. Much LESS. If you don’t believe me, ask a dealer for a trade in price on a car, then tell them the vehicle is from Canada – you’ll see that figure adjust by THOUSANDS.

Be fair to yourself and make sure the vehicle you are BUYING is adjusted as well if it happens to be a CANADIAN IMPORT.

-Steve

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