DrCue'sProtege said:
Doesn't matter. You could grow up next to me and if you're buying what I'm selling, I'm getting you for what I can. It's human nature.
Off Topic.........2007 Toyota Yaris
- Thread starter DrCue'sProtege
- Start date
Doesn't matter. You could grow up next to me and if you're buying what I'm selling, I'm getting you for what I can. It's human nature.
DrCue'sProtege said:
Jimmy-leggs is shooting straight with you. I haven't sold cars for years now, but I have kept tabs on market values, ratings, invoices etc. The Yaris is the base model Toyota and there is very little mark-up on a new one. One misconception people have is that new cars have lots of room for negotiation. In actuality, used cars usually have much more markup than new ones. Our local Toyota dealer is advertising the Yaris at only $100 less than sticker. Don't worry DCP, nobody would be getting rich off of you with that deal.
Yes,and IS your friendship with your neibhor worth $100 savings on a brand new car.If you shop around with that price and tell the next dealer the price you are getting from your neibhor,of course they will beat it by 50-100bucks,anyone would.jingle said:
What you should have done is shop your price first ,then go see him with your best price.then there would be no hard feelings.One big misconception is that car dealers make huge profits on NEW CARS.Not true,dealerships make most of thier profits on UESD VEHICLE sales and the number 1 profit maker "SERVICE DEPARTMENT".
yea well i know if you keep hardballing salesmen the price comes down. Whether it's from them inflating your trade-in value of your car or bringing the car price down. I went from a dealer offering 4300 on my car and asking 23,000 for a new fully loaded tiburon to 6 grand on my car (paying it off completely) and 19,400 out the door after tax tag inspection and title. So finally the price on the car came down and they paid my car off clean slate.
If you go in with the mindset of not caring if you get a car or not.. you'll get one at a great deal.
If you go in with the mindset of not caring if you get a car or not.. you'll get one at a great deal.
Alot of people don't like shopping for a car because they think its so stressfull as to whether they are getting a good deal or not......Well ,perception is reality and you bring it upon yourselves.
Shopping for a car should be FUN and if you don't have fun with it ,IT'S YOUR OWN FAULT.
Shopping for a car should be FUN and if you don't have fun with it ,IT'S YOUR OWN FAULT.
I got $4000/40% more for driving my trade-in 70 miles down the road to the next toyota dealership about a year ago. I would have driven it a helluva lot further for that kind of scratch.
Jude Rosenstock said:
lmaooooo, hilarious
im pretty sure the sticker price of a new car has built into it like a 8 to 10% profit for the dealer, then they mark up the msrp on top. So even if they sell it to you for sticker on a 14k car they should still be makin close to 1400.
jimmy-leggs said:
Yes it's true. I was the one talking to the salesperson. That $6,000 difference came from a lower interest rate. I know that's true because we ended up buying a corolla, and it's almost the same deal. They started with $400 per month (5 yrs 3k down) and ended up at $315 (5yrs 3k down)
Edit Additional: I've asked 3 different people (working for 3 different realtor) doing real estate (yeah not car salesman) and I found out that the interest % they quote you usually goes like this. They'll call the bank and run your credit to find out what your interest would be for the purchase. If for example the bank tells them 6%, they'll go on and tell you the bank is giving you 6.99% (or something else they come up with). If you haggle with them for a lower monthly payment, they'll tell you "okay let me check with the bank again". They'll come back to you and say "I was able to lower the interest to 6.5%". Remember, in reality the bank approved you for 6%. Guess where the 0.5% extra goes to. Yup, it goes to the realtor. NOT SURE IF THIS IS THE SAME WITH CAR SALES, but I wouldn't be surprised if it is.
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sky.. said:
omg, what kind of interest rate did you get? With the new deal you are still paying almost 22K during the life of the loan for a car that msrp's 15K. In the original structure you would have been paying over 27K! At a retail price of 15K with 3000 down and a 10% rate(high), your payments should be $254.96 . The nearest I can tell unless they got you for a ridiculous back end extended warranty then you are paying over 19%. I will personally finance your car for you next time for less if your credit is good.
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sky.. said:
For future reference, negotiating based upon downpayment & monthly payments is THE worst way to buy a car (and the easiest way to get a bad deal). If you have a trade-in, you should always negotiate the "difference". If no trade-in, then just negotiate the outright purchase price.
sky.. said:We didn't have anything to trade in at that time, as we've sold the previous car to someone straight.What do you mean negotiate the outright purchase price? Is purchae price= out the door price?
he means by selling you the car based on what you can afford a monthly payment on, they will jack up the price/interest rate and you wont even realise what you are ultimately paying for the car. Its better to pull up an amortization program and see what the payment is on $x at x interest rate for x years....and then get the car for that much money or less.
There is no catch. Base model cars have minimal markup.DrCue'sProtege said:
Now, does the dealer have a couple percent holdback on the car? Probably. Have they paid interest on it for the last 6 months? Probably. Was that what holdback was set up for? Certainly.
Is there year end mont from Toyota because it's a leftover? Maybe.
It never hurts to check out your options on pricing, but let me give you a tip. Once you get down to a couple hundred bucks difference on a $15K purchase I would be way more concerned about who and where I bought it from than a tiny price difference.
The bottom line is that a dealer who makes $0.02 per $1.00 of sales is running at an extremely high level of efficiency. It truly is done in volume. Many new car departments run in the red month in and month out just to make sure there is a steady stream of svc business and decent used cars. In the industry the new car has become the $4.99 fridgepack of Coke that costs the store $5.00 to inventory plus labor. It gets people in the door.
LWW
haven't seen it mentioned here, so, it's true that the markup may be low on these types of cars....where the dealer makes money is on your trade-in. After he gives you $500 for it, it'll go thru a "whatever point inspection" (at very minimal cost to the dealship), and be out on the lot for sale for $2500 (of course, being just below KBB's suggested "retail" price for the car) I squeezed every penny I could outta my trade-in last time (an 04 F-150 w/30ishK miles), by getting the difference prices from multiple dealers....finally settled at $18000 trade-in value. Two days later it was on the lot for $21,900....not sure what they got for it, but it was gone 5 days after I got my new truck. Just type in your vehicle in KBB's site at look at the difference between "trade-in value" and "retail value".
I squeezed every penny I could outta my trade-in last time (an 04 F-150 w/30ishK miles), by getting the difference prices from multiple dealers....finally settled at $18000 trade-in value. Two days later it was on the lot for $21,900....not sure what they got for it, but it was gone 5 days after I got my new truck. Just type in your vehicle in KBB's site at look at the difference between "trade-in value" and "retail value".sky.. said:Ah. I've thought about that too (Purchase prices + tax + interest divided by # of monthly payments) but, I don't know. I didn't follow my instinct.
I found this free download, although I haven't tried it.
http://www.topshareware.com/Loan-Calculator-download-19252.htm
Steve