The Difference between a Car Dealer and Car Broker

What the main differences are between a Car Dealer and Car Broker :

The car broker works for themselves and not one particular dealership or group.

The car broker works to save you the most time and money.

The car broker works off either a flat fee or by charging a commission, whether it be directly to you, or including it in your payment directly.

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STUDIO
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[msmith]

So, the dealer WILL try to screw you and a broker MAY try to screw you… The joys of car buying!

[chucknorris]

Nice! I can already tell which type of broker you are. I’ll be calling when the time is right.

[urmantaqi]

He is a National Treasure- thank you sir for helping neophytes like me and also experts in this field . You are Te Best

[jimbobduggar]

Let's be honest, if you're talking new cars, (excluding very high end luxury brands) most dealers have a great price on them. Typically new cars are actually losers for the company and they just make profits from the bank/F&I.

[stevegreenberg]

Hi Ari. Can you do a short video talking about membership auto buying service, such as Costco or BJs?

[manuelcosta]

In working with a company called vantage auto group in New Jersey then claim to be in busy 40year do you know anything about them are they good or bad thanks

[mskinetik]

Question for you Ari. I am getting in to the paintless dent repair business. My personal goal is to eventually buy newer model, low mileage hail damaged cars from auto auctions, repair them and resell them directly to the public. I live in CO and this is hail country. We have so much hail damage here that many newer cars are totaled due to hail each year, yet have very low mileage. Some insurance companies total virtually new cars to due hail.
I want to own my own business, repair the cars and sell directly to people. I could either have my own very small used car dealership, or would it be better to be a broker and essentially do the same thing?
Does it sound like it would be better for me to go the dealer route or broker route as far as licensing goes?

In the state of CO, I am limited to selling no more than 3 cars per year without a dealer / broker license.
Thanks for your videos and I appreciate any feedback you might have.

[Dronardinio]

YOU CAN DO SAME BUT THE TIMING TURN…. 😂😂 REMEMBER PEOPLE IF YOU CALL BROKER FIRST YOU LOSE YOUR BEST PRICE…

[seyed]

Do you get dealer plates as a car broker too ?

[richardgnyc]

Franchising licensing laws of a dealership or a car dealer or a car auto broker are not meant to favor the manufacturer or the consumer...they talk about working for you and negotiating for you but in reality, they just care about acting like a buyer agent if they get volume and a flat fee or as a seller agent to upsell their commission or split with the dealership.

plus, auto brokers often work for dealerships, look at True Car...or other similar websites, they list and give your numbers directly to car dealers, they are really just advertisements in disguise

also, the fleet manager buys in bulk from the manufacturer below MSRP and can sell at MSRP to the consumer but why would he? He tries to upsell through a salesperson through the dealership for a seller commission and then tries to become a flat rate negotiating buyer agent so he can get double fees like a real estate agent...franchising licensing laws don't allow direct selling from the manufacturer often brings the cost overall higher for the consumer and manufacturer. The exception is Tesla or private sellers in the used car market.

[joemooskie]

Hi Ari, I just ran across your channel just subscribed . Great channel . Next year I plan to buy the new f250 7.3 gas . I will give about $5000 down . I know that's not enough for a truck that will be in the 40k to 60k range, and I dont want a $800 payment . I was planning on leasing and keeping the truck refinance it later . Will this keep my payments down . Cosco has an auto buying program is this like a broker program ? Can I be my own broker ? In other words what's the best way to purchase this truck without getting screwed .

[bickysingh]

A car broker who works for himself doesn’t need any lincenses right?

[herbieherb]

I live in Virginia and I’m looking into getting Yukon Denali for my wife. Can you be my broker?

[efavuzza]

Happy labor day bro. I have cabin fever because of this hurricane supposed hit last week and after everything nothing.

[edwardflores]

I need your help Ari. I need a civic asap

[allenpaul]

Hi Ari huge fan of your work and videos. I have a question maybe you can do a video about. In January of 2017 I leased a 2016 Infiniti Q50 red sport 400. MSRP 50k 1k down 12k/yr $350/mo including CA tax. The car sales price was discounted to 39k with residual value at lease turn in of 26k I’m now shopping for a replacement. And everyone says this deal is impossible to recreate. Any ideas why?

[dlessard]

Wrong! A car dealer new or use buys sell retail or wholesale with money out of their pocket and own DEALER TAGS where they can go to dealers auto actions to buy wholesale only. A person that works for a dealership in any state is known as a Sales Person NOT a DEALER. Some state require a car sales person take a test to see if they fully understand the state laws. I have seen people fail this test over and over again and not able to sell vehicles at any dealers lot in that state. A car broker is a middle man that tries to sell vehicles without putting any money out of pocket some states outlaw these people because it is considered a acting consignor. So a DEALER OWENS THEIR VEHICLES, A BROKER Owens nothing no money out of his/hers pocket just a middle man trying to make a fast buck.

[TheNextTorres]

Is it necessary to have been a car dealer to become a car broker?

[davidmilton]

I have subscribed and I have interest in the business!