Negotiating a new car?

[Drew99GT]

I'm doing this right now, as we speak!!! The dealer is offering $14,988 for an 05 Corolla CE automatic. He said this is $275 over invoice, and the handling fee will be $299.95 additional.

Edmunds, lists invoice at $13,842, with the handling fee an extra $540! So, there is roughly a $900 difference between this to invoices. We're not even getting into hold back as of now. If he sticks to his guns, I'll throw that at him: He says he's making $275 bucks on the deal, but Edmunds and every other auto journalist website says he'll be making roughly $900 bucks. With holdback, it'll be more like $1400-1500 bucks.

What do you guys think? With cahs back, I can get a new Corolla for less than the used ones I've been looking at.

 

[Bob Woods]

What the h*ll is handling fee? Sounds like a rip off to me.

 

[Drew99GT]

quote:

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Originally posted by Bob Woods:
What the h*ll is handling fee? Sounds like a rip off to me.

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Sorry, Destination/Handling fee; all manufactureres charge it.

 

[Dan4510]

Why buy new and pay notes forever and undergo 50% depreciation right off the lot. There are many, many good used car deals right now.

Dan

 

[Bob Woods]

Shipping or destination charges I can see, but I have run across dealers that try to charge Lot Fees, Handing Fees, Document Fees,etc. I get tired of dealers that add on to the sticker price. When I bought my last truck (2004 Dodge) I had them remove all dealer installed options. They were trying to charge $849 for a bed liner and a bug shield, a week later I was in the parts department and they had bed liners on sale for $99.

[ December 27, 2004, 03:47 PM: Message edited by: Bob Woods ]

 

[williar]

Shipping charges (handling fee?) are set by the manufacturer for cars delivered in a particular zone; all dealers in that zone pay the same amount. I'd check with KBB & NADA and compare data.

 

[pitzel]

Another 'scam' the dealers try and pull is a 'pre-delivery inspection' fee. Sure instills confidence in the manufacturer, especially if they can't build stuff from the factory correctly.

 

[Drew99GT]

quote:

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Originally posted by Dan4510:
Why buy new and pay notes forever and undergo 50% depreciation right off the lot. There are many, many good used car deals right now.

Dan

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Like I said, with cash back right now, it's almost cheaper to buy new. I won't be financing.

 

[andrews]

Tell him you still have other dealers to go to before you decide who has the best price. Tell him you are looking for a dealer that is closer to the info you obtained off the web. Be honest and tell him you want a lower price, don't listen to the "guilt" bull about him "only" making two or three hundred bucks. They would be out of business if that was factual.....he is not telling you the truth. Let him know exactly what price you think is reasonable and tell him you will buy it NOW if he agrees. Be prepared to walk if he won't come close to what you want to pay. Don't worry if he won't deal, he will eventually or another dealer will.

 

[Drew99GT]

He's not pushing the guilt BS on me!!!!!!!!!!!!!!!!! If he did, I'd point out to him that some automotive journalists indicate that roughly 10% of a dealer's net income is derived from new cars sales and that he can be honest and give me the fair price, then shove all the "dealer installed" options down my throat!!!!!!!!!!!! Is the American public really that stupid when it comes to buying a new car? Dealers dramatically change their demeanor towards a buyer that has done their homework! They start out with the assumption that every buyer is an idiot. Then, when you start stating facts like this, their numbers suddenly change and move towards the "public" numbers that are out there for EVERYONE to find for themselves.

 

[Al]

Basically..I look at Edmunds and that is the ultimate max I will pay. I just call dealers and make an offer over the phone and make sure they know I am calling other dealers. Just use Yahoo or whatever and find all say Nissan Dealers within whereever you are willing to travel.

I really am not into negotiating..they can take it or leave it.

If you can shed the "new car bug" this is the way to go.

Tell the dealer what you will pay and don't bother calling if he is not going to meet your price.

 

[The_Jeff]

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Tell the dealer what you will pay and don't bother calling if he is not going to meet your price.

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Right on Al!

I set myself up to only wind up with half the vehicles I "bid" on. They've actually said yes more than 60% of the time. Now I've got 4 vehicles....

I can read you're not in the right state of mind; ie you WANT this car-- you DONT want this car!

These dealers are crooks; if they were (more) honest they'd just say corollas are in demand now and that price over invoice is the best you can get there or anywhere.

 

[Al]

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Originally posted by eljefino:

quote:

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Tell the dealer what you will pay and don't bother calling if he is not going to meet your price.

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Right on Al!

I set myself up to only wind up with half the vehicles I "bid" on. They've actually said yes more than 60% of the time. Now I've got 4 vehicles....

I can read you're not in the right state of mind; ie you WANT this car-- you DONT want this car!

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I always snicker when folks talk about their "Negotiating Skills"

If you are "Negotiating" you lost

 

[Drew99GT]

quote:

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Originally posted by Al:

quote:

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Originally posted by eljefino:

quote:

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Tell the dealer what you will pay and don't bother calling if he is not going to meet your price.

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Right on Al!

I set myself up to only wind up with half the vehicles I "bid" on. They've actually said yes more than 60% of the time. Now I've got 4 vehicles....

I can read you're not in the right state of mind; ie you WANT this car-- you DONT want this car!

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I always snicker when folks talk about their "Negotiating Skills"

If you are "Negotiating" you lost

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I'm doing pretty well. I have him at $14,400 without their stupid 299.95 handling fee. So with cash back, it'd be 13,400. A dealer 40 miles south of here is going to beat this offer (or so he said) this morning, and that in turn will get me 300 off of the 13,400 because of a 300 offer beater offered by the other dealer.

 

[Drew99GT]

I must say, doing a car deal over the internet is the way to go!!!!!!!! I recieved quotes from every dealer in the state (Toyota), and half of them have the "will meet another's deal by $300-500 bucks". I've really taken advantage of that. Whe you give quotes from 6-7 other dealers that are well below another's offer, everyone's numbers go lower!!

 

[Schmoe]

Yeah, I ditto that. Call other dealers and tell them the price you currently have for the EXACT same vehicle. Don't let them try and talk you into a "higher" end model. Make sure they are fully aware that you want this vehicle, and Dealership X said Y price. Can you beat it? If they can't move on. My wife did this and saved us over 5K off the sticker price and even got the OEM spoiler on the back for free. I let her do the car buying from now on. I am VERY HAPPY to step down from that procedure.

 

[The_Jeff]

You get megaprops for surfing BITOG at the dealer. Was this a kiosk? Should set it as their homepage.

Should punch up the dealership across town's website and start pointing stuff out to your salesperson. If they don't kick you out I say you've found your dealer.

 

[Stewart Fan]

quote:

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Originally posted by Drew99GT:
I must say, doing a car deal over the internet is the way to go!!!!!!!!

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I agree,the last three new cars I've purchased,I never even set foot in the dealership until it was time to sign the papers. I call and talk to the fleet manager,and they always have better prices than the salesperson. When dealing with the Fleet manager,you don't have to endure the "I'll have to talk to my manager" BS. They make the decision as to how much they'll sell the car for.