Cars

[Garrick]

Any tips on how to negotiate the best trade/purchase scenario from a dealer? I'm in the US, so don't worry about giving away secrets, I won't be using them against you.

*I don't buy cars often, but typically I start with Edmunds to determine reasonable target values, determine the net, and aim for that. IE, if our van was selling at $32,000 and the trade in value was $15,000, I'm looking for anything in the $17,000 net neighborhood. (I don't get too arsed on sales price, MSRP, etc)

Kelly Blue Book normally gives pretty good estimations, if you're honest with yourself about the condition of the car.

A quick and easy rule that I've heard is that a good haggler can get 10%-15% under the sticker price, but that varies a lot depending on new/used/make/model/price of gas.

The best thing you can do for yourself is put yourself in the position that you can walk away if necessary. It's the single best negotiating tool. Not always easy, I know, I was under a time crunch last car I was buying and it worked out alright but she ain't exactly boss by @ijjysmith standards. But if you know your car is getting near the end, start looking sooner rather than later.

I've never actually traded in a vehicle before, because you will always get better money selling it private party. But, I'm self-employed and can give up the time to do that. Not everybody can, unfortunately.

And, if it's a used car and they won't let you take it for a private inspection (within reason), run. Don't walk. Run.

 

[ijjysmith]

Why don't you Americans all drive General Lee's?

 

[SerenityNigh]

Kelly Blue Book normally gives pretty good estimations, if you're honest with yourself about the condition of the car.

A quick and easy rule that I've heard is that a good haggler can get 10%-15% under the sticker price, but that varies a lot depending on new/used/make/model/price of gas.

The best thing you can do for yourself is put yourself in the position that you can walk away if necessary. It's the single best negotiating tool. Not always easy, I know, I was under a time crunch last car I was buying and it worked out alright but she ain't exactly boss by @ijjysmith standards. But if you know your car is getting near the end, start looking sooner rather than later.

I've never actually traded in a vehicle before, because you will always get better money selling it private party. But, I'm self-employed and can give up the time to do that. Not everybody can, unfortunately.

And, if it's a used car and they won't let you take it for a private inspection (within reason), run. Don't walk. Run.

I've never paid remotely near sticker, but they can easily "discount" the sticker $2,000 if they're discounting your trade value the same or greater. Of course, there's much more flexibility to discount new cars compare to used, and the bonus/incentive schemes provided to dealers by manufacturers are pretty wild and complex.

 

[Garrick]

Why don't you Americans all drive General Lee's?

Because we're not ALL racist bellends clinging on to past treasons. Just some of us.

Also 60's and 70's Mopars are insanely expensive to restore, compared to what it costs to bring back a GM or Ford product from the same era.

Also The Frozen North would mean that car for me would be undriveable for 1/4th of the year unless I wanted it destroyed. Let alone the safety concerns about the screaming metal death traps of that time period.

But, if money were no object, I totally would have a restored late 60's/early 70's Challenger or Barracuda. All white. Vanishing Point style.

And an AMC Javelin AMX
And an AMC Eagle
And a Saab 9000 too. I have strange taste.

 

[ijjysmith]

Because we're not ALL racist bellends clinging on to past treasons. Just some of us.

Also 60's and 70's Mopars are insanely expensive to restore, compared to what it costs to bring back a GM or Ford product from the same era.

Also The Frozen North would mean that car for me would be undriveable for 1/4th of the year unless I wanted it destroyed. Let alone the safety concerns about the screaming metal death traps of that time period.

But, if money were no object, I totally would have a restored late 60's/early 70's Challenger or Barracuda. All white. Vanishing Point style.

And an AMC Javelin AMX
And an AMC Eagle
And a Saab 9000 too. I have strange taste.

Boss car. Arsed about the rest.

 

[Garrick]

I've never paid remotely near sticker, but they can easily "discount" the sticker $2,000 if they're discounting your trade value the same or greater. Of course, there's much more flexibility to discount new cars compare to used, and the bonus/incentive schemes provided to dealers by manufacturers are pretty wild and complex.

Yeah, the discounts can get pretty crazy with new models, especially if it's a car destined for a redesign soon.

Not as crazy as they once were with the whole channel dumping and that. Like back in 2007 when gas prices were through the roof and you could buy a fullsize pickup for 5 figures off sticker? Good times.

 

[Deleted member 28206]

Don't hate! My new motor.

 

[Garrick]

Don't hate! My new motor.

I'm too poor to look at this picture.

 

[davids]

I swear I'm not a hairdresser

 

[Foot Long Hot Dog]

Any tips on how to negotiate the best trade/purchase scenario from a dealer? I'm in the US, so don't worry about giving away secrets, I won't be using them against you.

*I don't buy cars often, but typically I start with Edmunds to determine reasonable target values, determine the net, and aim for that. IE, if our van was selling at $32,000 and the trade in value was $15,000, I'm looking for anything in the $17,000 net neighborhood. (I don't get too arsed on sales price, MSRP, etc)

Not sure if they exist in the US but try the discount internet sites. How that model works is dealers who have to shift metal to hit a volume target offer some of their stock via net brokers at virtually net cost to move metal. You end up dealing with the dealer direct anyway as they're merely middle men, you might have to travel a bit to collect though

 

[COYBL25]

Not sure if they exist in the US but try the discount internet sites. How that model works is dealers who have to shift metal to hit a volume target offer some of their stock via net brokers at virtually net cost to move metal. You end up dealing with the dealer direct anyway as they're merely middle men, you might have to travel a bit to collect though

A lot of their cars on the internet sites are " grey imports ". In other words they have been shipped from the country of origin, say Germany to the Republic of Ireland for instance and registered there. They are then bought over here with one on the log book and a big saving a import tax - hence the cheaper widescreen price here. A lot of second hand buyers are put off by the grey import tag when the car is eventually sold on again. ( I have had problems shifting a car due to this )

 

[Foot Long Hot Dog]

A lot of their cars on the internet sites are " grey imports ". In other words they have been shipped from the country of origin, say Germany to the Republic of Ireland for instance and registered there. They are then bought over here with one on the log book and a big saving a import tax - hence the cheaper widescreen price here. A lot of second hand buyers are put off by the grey import tag when the car is eventually sold on again. ( I have had problems shifting a car due to this )

That wasnt the model I was referring to mate. The best UK example is currently Carwow, they're not grey imports, they're cars supplied by franchised dealers

 

[Deleted member 28206]

Don't hate! My new motor.

I have not got it yet.

 

[SerenityNigh]

Not sure if they exist in the US but try the discount internet sites. How that model works is dealers who have to shift metal to hit a volume target offer some of their stock via net brokers at virtually net cost to move metal. You end up dealing with the dealer direct anyway as they're merely middle men, you might have to travel a bit to collect though

Thanks. Cutting out the salesman and putting distant dealers against each other? I'll try that next time. Last time we drove nearly 200m to pick up our van, and ended buying a different one than we'd identified.

 

[Foot Long Hot Dog]

Thanks. Cutting out the salesman and putting distant dealers against each other? I'll try that next time. Last time we drove nearly 200m to pick up our van, and ended buying a different one than we'd identified.

Dealers margins are based on volume targets and there maybe as much as 3% of the list price that relies on them hitting that target. When you consider that the average dealer returns a net 2% return on sales, then missing this volume target isn't an option. Therefore many now choose to offer web brokers cars at full net cost (including this back end margin payment) as a means to an end. So it's not dealer competition that drives the price down, it's unrealistic manufacturer volume targeting. Whether you have to to travel or not will depend on how successful your nearest dealers are!