03lan-evo

to bad your not close to me id sell him my 03 VIII with a few nice mods for 18,000. two sets of wheels too good tires...

dgoodhue

iTrader: (1)

Dealers aren't stupid. Your buying an Evo so having a selection of dozen different cars isn't an option like buying a Civic, Camry etc. Some dealers are more price flexible, some price high and are super negatiable or give generous trade in value. I try to value the car I am looking at and what I will pay for it. I don't know why so many people here talk about KBB or Edmunds, both of those book are mathematical estimates and trending. NADA is suposed to base on actual dealer sales. Kbb right now is a good $5k higher than NADA for IX's.

Dealers have a price bottom line that they will sell it for at the current time. (more time it sits, the more that bottom line will drop.) You are typically insulated from the guy making the final deal (this is on purpose).

I personally don't think 'I have cash' works with dealers, money is money to whether its cash or finance.

It's a good idea to have financing and doing your homework before going into a dealer, but having your own financing isn't going to get you the great deal. IMO its a non factor, if anything it might slightly hurt you as dealers make money off using their own financing. I often use my own financing but I don't deal with financing until the price is set. (I do give the dealer a chance to match my credit union.)

The are different stategies to dealing with dealers. I general start lower than I want to pay and work my way up, if I reach my maximum, I walk and leave my phone number. I have had a few of them call me later. If you no where near their bottom dollar, they aren't going to call you back.

McLaren F1 2003

iTrader: (8)

not necessarily, if i finance though the dealer and i default on my loan, or something, they wont get all of their money as they will have to repo the car, and if its all beat to hell when they do repo it, itll be worth less and they will lose money.

if i finance 3rd party, they just get a check for the full amount and the car is not their problem anymore, which is what they want...

abevAWD

The Edmunds TMV thing is the average price people are paying for that specific car in that area, so its basically the same concept as NADA

dgoodhue

iTrader: (1)

I don't think you understand how dealer financing works. A dealer has partnerships with banks. The banks give the dealers a discount rate for loan. The dealers inturn sell the loan to the consumer at a higher rate than bank does (This the dealer cut of the loan and how they make money) When the closes, the dealer gets the full amount of the principal and the bank own the loans. The dealer get a small cut of the interest as payments are made.

If someone defaults, the bank owns the loan, they are responsible for repossesion. The dealer will no longer get their cut of the interest.

dgoodhue

iTrader: (1)

Fair enough, I looked up Edmunds TMV for IX and its pretty close for NADA IX pricing.

rgar

iTrader: (1)

I would suggest having your own financing when you walk in. Like somebody else said above, the dealerships will get a cut of the interest if they finance you usually. This gives them incentive to undercut your interest rate. Last car we were buying we had an interest rate of ~4% from an external bank. We went into the dealership and said we wanted X car for X amount, they said ok. Then when they found out we had our own financing, they dropped the amount they were planning on offering it to us from ~6% to 2%. From their perspective, any interest is better then that money going to someone else.

Mr. Evo IX

iTrader: (5)

Leaving during the negotiations is a very powerful tool for getting the price your seeking. Most people are unable to walk away from the deal and they know this, so basically once they have you in their showroom they think they have you. Best advice I can give is give them a little line, let them know how badly you want the car, let them know what your willing to do and when they come in higher than that just walk away - tell them to call you when they are ready to sell the car - they hate it when you walk out of their showroom - but it's important to do it as it lets them know your in charge. Most of the time they will call you back that day with a better offer.

GRNCT9A

iTrader: (1)

Try looking for an internet price for that vehical. I promise you the internet price will most likely be cheaper then if you just went there and looked on the window. The salesmen won't tell you the internet price unless you bringit up either...

The best way I see it is, just talk to the internet sales manager. He won't give you much info right away, he is going to try to reel you in. Since the internet department doesn't really make money off of 1 car, they make money by selling alot of cars. They are going to want to sell anything at a lower cost.

As for the asking price of 24k and bringing it down to 19k, its not that far away. I bet they bought that car for 16-17k, then vehicle inspection,detailing, new tires, ect. Its always around 2k for that stuff. Which would bring it to 18-19k. Then the "gross" increase where they make money.

Your gonna have to meet the dealer half way most of the time, so start out lower then what you want. Try to be firm about it, then when they budge you budge alil. Shows them your still interested. By the end of the day, I would guesstimate final price out the door would still be around 20-22k.

RockmanX

iTrader: (78)

It really depends how much money they have tied up into the car as well if they have 19k in the car they are not dropping that price. they are not in the business to sell cars at cost to them they have to make some money off the deal. besides the mark up on used cars is insane but dont expect to go in there and muscle them below what they put into fixing anything wrong with it.

GRNCT9A

iTrader: (1)

I wouldn't do this, It would only irritate the salesmen and the managers. They will never give you a deal over the phone. If they do quote you something, its just bubbling you. So if you try to go to another dealership with that quote, they will laugh at you, so you will have to go back to the original dealership that you got the quote from. Then when you think you got it, they raise the price saying "well I said that price if you were going to buy a car that day." or "I just wanted to see if you were a serious buyer."

What I'm trying to get at is, If you leave without even giving them a chance to negotiate, they will just think your pulling their chain and write you off.

Mr. Evo IX

iTrader: (5)

First of all I didnt say leave without negotiating, I said leaving during negotiations is a powerful tool. Most salesman will try to knock your head off on the first visit - and most people won't leave without the car and they know that. Being able to walk away will save you thousands. Your right, If your un-reasonable they will right you off. Recognize that they should make a profit on their sale, just let them know that your not a fool.

Example in late 05 when I bought my IX I went to the dealer and told them I would pay MSRP and not a dollar more, they navigated all around with payment amounts and this and that and I got tired of it. I told them straight up what I was willing to pay MSRP and nothing more (doing the math they wanted 3K over MSRP).

I left and told them when they were ready to sell the car to call me. about a week later they called me and said they would do it - Most dealers were playing the 3-5K markup on IX's as it was a brand new model.

GRNCT9A

iTrader: (1)

Your right. I knew there was more to the story. .

Pretty much get all the info you can. Negotiate the best you can. If your not happy with the numbers that day. You have that option of leaving. No need to be nice or polite. Make sure you portray yourself as a real buyer.

Fittest

I live 3 minutes from South Coast. They are open to price negotiation, both on your trade in and their cars, just like any other car dealership.

Right now, one of their 2006 IXs is priced at $32,000+ with 21,000 miles on it. This same car was selling for $28,000 - $29,000 BRAND NEW just three years ago, when South Coast was moving Evos like hot cakes.

Believe me, you can get their prices down.