Any tips on how much to offer below asking at a dealer? (say on a 3 year old car) 10%?
How much to offer below asking price?
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Open www.Edmunds.com and find out what the vehicle is worth in that condition. I'd offer Trade in price to start and go up from there but, never to dealer retail. Ed
JTK
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Research the asking price for the same make/model online to use as a guide. Demand for the vehicle and the amount of time it's sat on the lot will control what they'll accept as an offer as well.
There are so many things that go into what a dealer will take.
If it's a buy here/pay here place, they are selling financing, not cars. I doubt they would move much on price as they are looking for big fish to hook into a hefty credit contract.
If it's a more traditional/reputable (I know...) dealer, they may be more about dealing.
It also depends on condition, demand, and a host of other factors that are hard to determine from a web post.
But the general advice to look up the range the car sells and make an offer that you could live with. My time is worth something, so if we are within a couple benjamins on price, it may be time to say yes, and then make sure no extra fees get tagged on.
No matter what you offer, make sure it's an OUT THE DOOR price. I always negotiate OTD numbers so there are no extra fee add ons. It's not hard to find the tax, title and tag fees where you live, so figure them into the price.
IIRC, our tax is 6.5% on new cars and it's $193 for title and tags. So my offer is (what I want to pay, x 1.065) +$193 rounded to the nearest $50.
So, for example, if someone is advertising a car for $11k that I want to pay $10k for the car, I'll offer $10,850 OTD, making it clear that includes any fees and other add-ons. I'm writing a check for $10,850 and taking the car with tags, title, all taxes paid up, etc.
That way, if they have some $250 documentation fee, it's clear that it must be part of the $10,850 and not added to that figure.
You eliminate some of the games if you can do math and offer OTD figures.
Well, I might offer $10,350 or even $10k out the door the first go around, but I have that $10,850 as the limit I've set that I must be convinced by some fact not previously considered to exceed.
If it's a buy here/pay here place, they are selling financing, not cars. I doubt they would move much on price as they are looking for big fish to hook into a hefty credit contract.
If it's a more traditional/reputable (I know...) dealer, they may be more about dealing.
It also depends on condition, demand, and a host of other factors that are hard to determine from a web post.
But the general advice to look up the range the car sells and make an offer that you could live with. My time is worth something, so if we are within a couple benjamins on price, it may be time to say yes, and then make sure no extra fees get tagged on.
No matter what you offer, make sure it's an OUT THE DOOR price. I always negotiate OTD numbers so there are no extra fee add ons. It's not hard to find the tax, title and tag fees where you live, so figure them into the price.
IIRC, our tax is 6.5% on new cars and it's $193 for title and tags. So my offer is (what I want to pay, x 1.065) +$193 rounded to the nearest $50.
So, for example, if someone is advertising a car for $11k that I want to pay $10k for the car, I'll offer $10,850 OTD, making it clear that includes any fees and other add-ons. I'm writing a check for $10,850 and taking the car with tags, title, all taxes paid up, etc.
That way, if they have some $250 documentation fee, it's clear that it must be part of the $10,850 and not added to that figure.
You eliminate some of the games if you can do math and offer OTD figures.
Well, I might offer $10,350 or even $10k out the door the first go around, but I have that $10,850 as the limit I've set that I must be convinced by some fact not previously considered to exceed.
Dealers usually give YOU well below blue book trade value, so I'd start at wholsale. on a commodity car. Specialty vehicles are something else. And I ODONt mean C class Mercs or Beemers, they are a dime a 12 these days too - lower than Honda resale!
In Illinois, cars are taxed at the address you register the car, not where you purchase it. They are many different tax rates in the Chicagoland and collar counties.
Originally Posted By: Eddie
Open www.Edmunds.com and find out what the vehicle is worth in that condition. I'd offer Trade in price to start and go up from there but, never to dealer retail. Ed
That's about where I would start also. If it is a popular model in high demand, don't expect too much give. Also, if a dealer has a shot of handling the financing, he can sell for a little less. Either he makes money on the car or the financing. Also depends on if there is a trade involved.
Open www.Edmunds.com and find out what the vehicle is worth in that condition. I'd offer Trade in price to start and go up from there but, never to dealer retail. Ed
That's about where I would start also. If it is a popular model in high demand, don't expect too much give. Also, if a dealer has a shot of handling the financing, he can sell for a little less. Either he makes money on the car or the financing. Also depends on if there is a trade involved.
Last time I did this the dealer in particular wouldn't budge much. It was the type of thing where they set the price, and the longer the vehicle sat, the lower the price got. If you wanted it cheaper, you can just wait and see if it's still available at a cheaper price later. Maybe, maybe not! Also, I know a guy who sells cars, and he said that used cars are more profitable because you can't go to the next dealer and get the exact same thing.
Don't know if times have changed but when I first met my wife 17 years ago, I was looking at a used car and took her with me. She told me she is a very good haggler and her ex was a car salesman so she knows all their tricks and has utter contempt for them all (she can hold a grudge). Went to a used car lot. Sticker price was $6200 on a used Mazda. Salesman asked me what I wanted to pay. I was going to write down $5500. Future wife shook her head and told me $3500. I thought they were going to ask us to leave with such a low-ball offer. They didn't even blink. They came back with $4000. We countered with $3550 final. They said $3600 so they could give the salesman $50. Future wife said, "You're going to let us walk for $50?!" They said they needed the extra $50 and asked us if we were going to walk for $50. Future wife said, "Watch us." And off we went. They chased us out to our car and said they'd do the deal for $3550. Had to tell them that once we walk, we're done.
Originally Posted By: Leo99
Don't know if times have changed but when I first met my wife 17 years ago, I was looking at a used car and took her with me. She told me she is a very good haggler and her ex was a car salesman so she knows all their tricks and has utter contempt for them all (she can hold a grudge). Went to a used car lot. Sticker price was $6200 on a used Mazda. Salesman asked me what I wanted to pay. I was going to write down $5500. Future wife shook her head and told me $3500. I thought they were going to ask us to leave with such a low-ball offer. They didn't even blink. They came back with $4000. We countered with $3550 final. They said $3600 so they could give the salesman $50. Future wife said, "You're going to let us walk for $50?!" They said they needed the extra $50 and asked us if we were going to walk for $50. Future wife said, "Watch us." And off we went. They chased us out to our car and said they'd do the deal for $3550. Had to tell them that once we walk, we're done.
Great story!
Man I wish my wife was as much of a haggler as yours!
Don't know if times have changed but when I first met my wife 17 years ago, I was looking at a used car and took her with me. She told me she is a very good haggler and her ex was a car salesman so she knows all their tricks and has utter contempt for them all (she can hold a grudge). Went to a used car lot. Sticker price was $6200 on a used Mazda. Salesman asked me what I wanted to pay. I was going to write down $5500. Future wife shook her head and told me $3500. I thought they were going to ask us to leave with such a low-ball offer. They didn't even blink. They came back with $4000. We countered with $3550 final. They said $3600 so they could give the salesman $50. Future wife said, "You're going to let us walk for $50?!" They said they needed the extra $50 and asked us if we were going to walk for $50. Future wife said, "Watch us." And off we went. They chased us out to our car and said they'd do the deal for $3550. Had to tell them that once we walk, we're done.
Great story!
Man I wish my wife was as much of a haggler as yours!
Originally Posted By: Eddie
Open www.Edmunds.com and find out what the vehicle is worth in that condition. I'd offer Trade in price to start and go up from there but, never to dealer retail. Ed
this
Open www.Edmunds.com and find out what the vehicle is worth in that condition. I'd offer Trade in price to start and go up from there but, never to dealer retail. Ed
this
Biggest thing is, don't fall in love with a certain car-there's always more on the next lot!
Thanks for the replies so far.
Thinking late spring-summer next year looking for a deal on a 2015 Cruze LT1 RS Auto. One that wasnt a rental or lease.
Originally Posted By: Leo99
Went to a used car lot. Sticker price was $6200 on a used Mazda. Salesman asked me what I wanted to pay. I was going to write down $5500. Future wife shook her head and told me $3500. I thought they were going to ask us to leave with such a low-ball offer. They didn't even blink. They came back with $4000. We countered with $3550 final. They said $3600 so they could give the salesman $50. Future wife said, "You're going to let us walk for $50?!" They said they needed the extra $50 and asked us if we were going to walk for $50. Future wife said, "Watch us." And off we went. They chased us out to our car and said they'd do the deal for $3550. Had to tell them that once we walk, we're done.
Sounds like pride got in the way of getting a very good deal. Not sure how smart that decision was.
Went to a used car lot. Sticker price was $6200 on a used Mazda. Salesman asked me what I wanted to pay. I was going to write down $5500. Future wife shook her head and told me $3500. I thought they were going to ask us to leave with such a low-ball offer. They didn't even blink. They came back with $4000. We countered with $3550 final. They said $3600 so they could give the salesman $50. Future wife said, "You're going to let us walk for $50?!" They said they needed the extra $50 and asked us if we were going to walk for $50. Future wife said, "Watch us." And off we went. They chased us out to our car and said they'd do the deal for $3550. Had to tell them that once we walk, we're done.
Sounds like pride got in the way of getting a very good deal. Not sure how smart that decision was.
Patman
Staff member
Originally Posted By: bullwinkle
Biggest thing is, don't fall in love with a certain car-there's always more on the next lot!
I don't have that luxury when buying used Corvettes, I often wait months before seeing a car that meets my specs, so if they aren't willing to deal I am stuck with their bottom line price. But I look at it this way, if the car is in great shape I'm still getting an awesome deal even at their asking price, because used Corvettes are still much cheaper than new ones.
Biggest thing is, don't fall in love with a certain car-there's always more on the next lot!
I don't have that luxury when buying used Corvettes, I often wait months before seeing a car that meets my specs, so if they aren't willing to deal I am stuck with their bottom line price. But I look at it this way, if the car is in great shape I'm still getting an awesome deal even at their asking price, because used Corvettes are still much cheaper than new ones.
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Originally Posted By: Leo99
Don't know if times have changed but when I first met my wife 17 years ago, I was looking at a used car and took her with me. She told me she is a very good haggler and her ex was a car salesman so she knows all their tricks and has utter contempt for them all (she can hold a grudge). Went to a used car lot. Sticker price was $6200 on a used Mazda. Salesman asked me what I wanted to pay. I was going to write down $5500. Future wife shook her head and told me $3500. I thought they were going to ask us to leave with such a low-ball offer. They didn't even blink. They came back with $4000. We countered with $3550 final. They said $3600 so they could give the salesman $50. Future wife said, "You're going to let us walk for $50?!" They said they needed the extra $50 and asked us if we were going to walk for $50. Future wife said, "Watch us." And off we went. They chased us out to our car and said they'd do the deal for $3550. Had to tell them that once we walk, we're done.
Man that was crazy! You got the price you wanted,I would've got out my checkbook right there on the spot! They're in the business to "stay in business". Reminds me of when I bought my 300ZX. They were sticking to their guns and I was sticking to mine. I was there till almost midnight making the deal. I grabbed my keys and headed for the door. The dealership general manager jumped in front of me to block the door and said "I'll take it!". I drove my new car home.
Don't know if times have changed but when I first met my wife 17 years ago, I was looking at a used car and took her with me. She told me she is a very good haggler and her ex was a car salesman so she knows all their tricks and has utter contempt for them all (she can hold a grudge). Went to a used car lot. Sticker price was $6200 on a used Mazda. Salesman asked me what I wanted to pay. I was going to write down $5500. Future wife shook her head and told me $3500. I thought they were going to ask us to leave with such a low-ball offer. They didn't even blink. They came back with $4000. We countered with $3550 final. They said $3600 so they could give the salesman $50. Future wife said, "You're going to let us walk for $50?!" They said they needed the extra $50 and asked us if we were going to walk for $50. Future wife said, "Watch us." And off we went. They chased us out to our car and said they'd do the deal for $3550. Had to tell them that once we walk, we're done.
Man that was crazy! You got the price you wanted,I would've got out my checkbook right there on the spot! They're in the business to "stay in business". Reminds me of when I bought my 300ZX. They were sticking to their guns and I was sticking to mine. I was there till almost midnight making the deal. I grabbed my keys and headed for the door. The dealership general manager jumped in front of me to block the door and said "I'll take it!". I drove my new car home.
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