Latest vehicle purchase incentives

[dave1251]

Originally Posted by sloinker
Originally Posted by ryster
Originally Posted by dave1251
Originally Posted by mk378
The zero APR often means you'll forego a substantial rebate that otherwise everyone gets. So the actual street price of the truck and the resale value reflects the rebate not what you're going to finance. The sticker price on GM has always been greatly inflated.

No it doesn't. It zero APR and 10-12K in rebates. The car market is in the deep end bad.


Must be regional, then, because out here the dealers state it is one or the other. 0% or the rebate. They are not combining them.

That might change in a month or two when we are still shut down.



You can go to the manufacturers website's and see that most rebate versus finance deals cannot be combined. I'm not saying the price isn't negotiable but the dealer will not get both offers from the factory....either/or is what I see. Show me proof that you can get both and I may be in the market myself soon.

Sign up at true car. You will get $10K offers off and 0% APR for Silverado's. F-150 with similar rebates up to 0% and Ford will make the first 3 months of payments. Not to mention in Wyoming on XLT F150's on 2019 models over 10K MSRP is offered before you even contact the dealership.

 

[ryster]

Originally Posted by JeffKeryk
Guys, do the math.
If everything else is equal, separate out the payment method.

If your choices are paying cash vs. 0% loan, put the cash in a money market and take the loan.
It nets to a negative percent loan.


Money market rates are very low. Local credit union is 0.1%. Put $30,000 in there for 7 years, and then use that to account make the payment, and you will end up with $100 after 7 years. You could possibly put it in an online high interest Money Market account and get 1%. That would get you about $1,000 after the 7 years. Definitely something to think about.

 

[sloinker]

The zero APR often means you'll forego a substantial rebate that otherwise everyone gets. So the actual street price of the truck and the resale value reflects the rebate not what you're going to finance. The sticker price on GM has always been greatly inflated.

No it doesn't. It zero APR and 10-12K in rebates. The car market is in the deep end bad.

Must be regional, then, because out here the dealers state it is one or the other. 0% or the rebate. They are not combining them.

That might change in a month or two when we are still shut down.


You can go to the manufacturers website's and see that most rebate versus finance deals cannot be combined. I'm not saying the price isn't negotiable but the dealer will not get both offers from the factory....either/or is what I see. Show me proof that you can get both and I may be in the market myself soon.[/quote]
Sign up at true car. You will get $10K offers off and 0% APR for Silverado's. F-150 with similar rebates up to 0% and Ford will make the first 3 months of payments. Not to mention in Wyoming on XLT F150's on 2019 models over 10K MSRP is offered before you even contact the dealership. [/quote]

Maybe the dealership is offering a discount up to $10k independently of the manufacturer but I just went to Ford and Chevrolet websites and they both prohibit a combination of cash rebate/discount and zero interest loan offers. Not saying it won't happen eventually but right now it isn't available from the manufacturers under their incentives. Another thing, anybody not getting at least 20% off of MSRP on American trucks is getting taken for a ride.

 

[macarose]

There are two purchases that a non-enthusiast will spend too much money on.

One is guns and the other is cars.

Spending $30,000 on a car is exactly that. You are spending $30,000 on transportation. Maybe a little luxury. Maybe a little speed. But in the end you're divesting a huge sum of money for what will amount to a mountain of depreciation.

On one extreme, the best deals that can be had this time of year will be those older vehicles that just had their A/C systems give out. I just bought a 2007 Ford Focus SE for just $400, a 2006 Nissan Altima 3.5 SE w/ 149k for $600, and a 2003 Saturn VUE with the V6 for $300.

Biggest issue? A/C work. The Altima and Saturn just needed a can of freon. The Focus I'm taking to my shop right now.

If you live in a non-rust area and don't care that much about cars... don't even bother with a new car. A well kept four year old car with less than 60k miles will usually sell for around 50% of its purchase cost on average. Less popular vehicles are even less money, and the car already has more than two-thirds of its life.

I think the sweet spot for the non-enthusiast is buying a 7 to 11 year old car that has been conservatively driven and has an excellent maintenance history. Get it inspected by an experienced mechanic, and that's it.

You can keep that type of well kept $4k to $7k car for about five to seven years. Sell it for $2000 to $3500 during tax season and repeat the cycle.

$2000 to $3500 every 5 to 7 years beats the [censored] out of a $30,000 loss over 84 months.


____________________________
I sell cars because I can't eat them!
https://www.facebook.com/48-Hours-And-A-Used-Car-327864380887174/
http://www.dashboard-light.com/

 

[Ram02]

I wonder if there's any wiggle room on a 2020 Chevy blazer RS

 

[GZRider]

I've decided to stop looking and love the lack of a car note. Another year or two when I can swing it without a payment I'll pick up a low mile 14-15 Lexus GS350 or GX460, just not sure which yet. It depends on what's left of civilization by then.

 

[macarose]

If you get bored go here. Even if you don't like the car I try to make it entertaining.

https://www.facebook.com/48-Hours-And-A-Used-Car-327864380887174/

 

[CKN]

Originally Posted by thooks
Originally Posted by ryster
These 0% deals are great [and kind of scary]. Great as long as you pay it off in no more than 5 years even though it is "free money". Scary in that this is what the state of the market is right now, and also scary going out more than 5 years on a quickly depreciating asset like this. If you go in planning to keep the vehicle forever, then it is a great way to get a new vehicle and pay no interest.

The deferral is just a bad deal. Hopefully no one does that. If you can't afford to start paying the monthly payment right away, you shouldn't be buying the car. Now, if you use the deferral period to save the equivalent of 6 payments, and then send that in with your first "real" payment that would be a wise use of the deferral period and help knock down the principal.



Yep. That truck in the picture is what, probably stickered at $52k? In 2 years, the actual street value will be somewhere around $30k, at the highest. Don't make any payments for 6 months, finance $46,000 and you're STILL underwater by at least $3,000, if not more.



You don't pay sticker...that's the flaw in your argument. Trucks are fantastic for resale value/trade/in. I bought a 2018 Silverado. Sticker-$54,000.00. Transaction price for $43,000.00 .

Trade in currently lists it at $32,000.00 . The depreciation in the time I have owned it is less than a lease payment.

 

[Mr Nice]

Originally Posted by Ram02
I wonder if there's any wiggle room on a 2020 Chevy blazer RS


Definitely with nobody looking at cars, they are very desperate for any sales.

 

[Wolf359]

Originally Posted by ryster
Originally Posted by dave1251
Originally Posted by mk378
The zero APR often means you'll forego a substantial rebate that otherwise everyone gets. So the actual street price of the truck and the resale value reflects the rebate not what you're going to finance. The sticker price on GM has always been greatly inflated.

No it doesn't. It zero APR and 10-12K in rebates. The car market is in the deep end bad.


Must be regional, then, because out here the dealers state it is one or the other. 0% or the rebate. They are not combining them.

That might change in a month or two when we are still shut down.


Normally you're better off taking the rebate and then getting your own loan. Penfed is 2.14% interest on a 3 year loan and 2.89% on a 5 year loan. There are probably lower rates out there. So a 0% loan probably won't save you that much over 7 years vs a 5 year one at 2.89. But that all depends on the purchase price and how bad your credit is. Who knows how lenient they are with bad credit.

 

[Andrew1972]

Likely the people sitting in Long food lines with newish cars currently are in this hole of payments. At least they sit in nice car with latest tech.....

I see lots of repossessions soon.

 

[Ws6]

Originally Posted by Ram02
I wonder if there's any wiggle room on a 2020 Chevy blazer RS

I checked the specs out and looked at one. I have no clue why on earth they sticker for what they do.

 

[supton]

heh, for fun I was looking at CL this morning, and came across an ad with "FINANCING FOR EVERYONE - LIKE BUY-HERE-PAY-HERE BUT BETTER". How is it better? Reasonable terms and all, but a guy named Vinnie has to move in with you until it's paid off?

 

[ls973800]

Originally Posted by Ws6
Originally Posted by Ram02
I wonder if there's any wiggle room on a 2020 Chevy blazer RS

I checked the specs out and looked at one. I have no clue why on earth they sticker for what they do.


Mexican labor costs to build them!

 

[Ws6]

Originally Posted by ls973800
Originally Posted by Ws6
Originally Posted by Ram02
I wonder if there's any wiggle room on a 2020 Chevy blazer RS

I checked the specs out and looked at one. I have no clue why on earth they sticker for what they do.


Mexican labor costs to build them!

I just dont see the value in the product.

 

[Mr Nice]

Originally Posted by madRiver
Likely the people sitting in Long food lines with newish cars currently are in this hole of payments. At least they sit in nice car with latest tech.....

I see lots of repossessions soon.


Expect repo TV shows to gain popularity.

I still believe it's OK to drive a used $7000 Camry and live within your middle class budget.... than to budget every last penny to drive a fancy vehicle.

 

[JeffKeryk]

Originally Posted by Mr Nice
Originally Posted by madRiver
Likely the people sitting in Long food lines with newish cars currently are in this hole of payments. At least they sit in nice car with latest tech.....

I see lots of repossessions soon.


Expect repo TV shows to gain popularity.

I still believe it's OK to drive a used $7000 Camry and live within your middle class budget.... than to budget every last penny to drive a fancy vehicle.


When people ask me about our Tesla, one question I ask them is, "Are you sure you can afford this car?"
A Civic is a far better buy in so many ways.

One of the Tesla jokes is, when we see a young person with a Model 3 is, "He (or she) had better parents than me..."

 

[dave1251]

Originally Posted by Mr Nice
Originally Posted by madRiver
Likely the people sitting in Long food lines with newish cars currently are in this hole of payments. At least they sit in nice car with latest tech.....

I see lots of repossessions soon.


Expect repo TV shows to gain popularity.

I still believe it's OK to drive a used $7000 Camry and live within your middle class budget.... than to budget every last penny to drive a fancy vehicle.




I don't expect it. It really doesn't make sense to Repo vehicles in the near term. Even lenders know you can't squeeze blood from a turnip.

 

[Ws6]

Originally Posted by JeffKeryk
Originally Posted by Mr Nice
Originally Posted by madRiver
Likely the people sitting in Long food lines with newish cars currently are in this hole of payments. At least they sit in nice car with latest tech.....

I see lots of repossessions soon.


Expect repo TV shows to gain popularity.

I still believe it's OK to drive a used $7000 Camry and live within your middle class budget.... than to budget every last penny to drive a fancy vehicle.


When people ask me about our Tesla, one question I ask them is, "Are you sure you can afford this car?"
A Civic is a far better buy in so many ways.

One of the Tesla jokes is, when we see a young person with a Model 3 is, "He (or she) had better parents than me..."

Weak. Not everyone has made bad life choices, professionally. A model 3 is a whopping $40K at starting MSRP, and maintenance and fuel saved drops that significantly compared to other $40K vehicles, in actual practice.

That said, yes, a Civic is a far better buy, from a purely financial standpoint, but then, the 2012 civic is a far FAR better buy than the 2020 Civic, especially the Si model, which, if I were forced to buy a car, and could only have one, and had to keep it to 300K miles [censored] or high water, I might very well go with a clean 2012 Si.