2- 2019 Cadillacs that a dealer apparently couldn't sell new ... now 'used'.

Dec 8, 2006
I'm confused on this one. Local dealer has 2 - 2019 Cadillacs that they've completely failed at selling. They just sit... on the lot.... waiting.

One is an XT4, one is an XT5. Even with the crazy town way that things have been for the past year and a half, they've sat.

So, I noticed that the dealer finally moved them to the *used* side of the lot. Huh? They're new...

From the looks of the CarFax report, they "leased" both of them on the same day in July, put a few miles on them, and now they're being sold as "used".

Why would a dealer go through all of this, instead of just selling them as new... at a price that would finally get them off the lot? What is the advantage of selling them as used with a handful of miles? So they can be certified pre-owned? But why isn't new better?
Maybe they want to get rid of the new car warranty? Or maybe there is some advantage to moving them from the new car accounting books to the used car books.
I'd say warranty too. Those are now at least 2 years old, they probably don't want to cover them full term.
I wonder if there was something small inherently wrong with them, that would cause someone to pass.
the manufacturer pays for the warranty, not the dealer, the dealer wants a factory warranty on their inventory. Maybe it's just a way to market them to a different audience..one who may look at used but not new. A 'picky' new buyer may not be interested in a 2 yr old new car with lot rot...but a savvy used buyer may feel they've found the buy of a lifetime.
Buying one as new, the customer knows he or she is buying one nobody wanted - for 2 years running.

Buying one used, they are getting a very low mileage vehicle in virtually showroom condition.

Of course, it doesn't mean they are getting a better deal though.
Maybe corporate has a policy to move it over to the used section at the two year mark. Since it doesn’t look good when the car is in the new section as a two year old vehicle.
Covid Cadillac. I’ve purchased a new car that sat over the winter and was cleared out in the spring. I have no problem with it. The dealers want them gone. I wonder what those manufacturing dates were on the Caddies.
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How many people would buy a "new" car that's sat for 2+ years on a car lot ?
I thought about it when Saab was going under ten years ago and also considered a Suzuki kizashi with a huge markdown but ultimately walked away and glad i did
With the way used car prices are - perhaps they are able to sell it for more used then with any new car incentives - which are virtually nothing right now.

Any incentives on those cars have more than likely played out.
My WAG is that their best shot at minimizing the loss that they will take on those cars is to transition them to the used side where they can do the full "Dance" on any potential customers (financing, etc.)
What happens if a dealer say keeps one of those rare Buick Cascada convertibles unsold as a display in their showroom and decides to sell it in 2030? Rare parts may no longer be available if needed..