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Is MSRP price equal to final out of door price?

compact_lovercompact_lover Posts: 5
edited May 4 in Hyundai

I plan to buy an 2014 Elantra SE/automatic with $975 preferred package. The window sticker MSRP is $20,450, does that mean it will be most likely my final out of door price? Thank you for your help.

Comments

  • steverstever Viva Las CrucesPosts: 41,312
    edited May 4

    Out the Door (OTD) means the final price of a car you have to pay a dealer when it rolls off the lot. That price includes the car price, any options, any doc or DMV fees, taxes, sometimes an ad fee, and any other fees you decide to pay (like an extended warranty or paint protection). This price may be in cash or an amount that you finance, but it's everything you have to pay the dealer to drive "out the door" in the new Elantra. (You'll have to pony up more for car insurance most likely but that's not usually handled by the dealer).

    It's hard to compare OTD pricing with other buyers since we all have different state (and sometimes city) taxes and different fees.

    So, for a random zip code, the SE with preferred package should sell for $19,048 TMV.

    Assume 6% sales tax and $200 in fees and you are up to around $20390. Pretty close to your estimate in other words. TMV is like an average price so if you want to grind a bit and shop around you may be able to beat it. Or get a Price Promise certificate and see how that comes out.

    Moderator
    Minivan fan. Feel free to message or email me - stever@edmunds.com.

  • compact_lovercompact_lover Posts: 5

    Thank you Steve, that answeres my question, so the document fee and sales tax total almost equals the negotiation room from MSRP to the dealer final selling price, that has been my 5-time Toyota new car purchase experience, I guess that rule applies to Hyundai too!

  • steverstever Viva Las CrucesPosts: 41,312

    Interesting rule of thumb - you may just be on to something.

    Enjoy the new ride!

    Moderator
    Minivan fan. Feel free to message or email me - stever@edmunds.com.

  • Got the Elantra SE with preferred package plus mud guard & first aid box, $20K even out of door so they sold me at $18111, very happy camper, thank you for your tip again, Steve!

  • steverstever Viva Las CrucesPosts: 41,312

    Congrats!

    Moderator
    Minivan fan. Feel free to message or email me - stever@edmunds.com.

  • elantra_joeelantra_joe Posts: 1

    I live down in Texas (Houston area), and just recently purchased a 2014 Elantra. This is the 3rd Hyundai that I have bought; the brand has ALWAYS been good to us.

    I was able to get my Elantra (it took ALOT of haggling) for $17,250, drive out. I got the SE model with the backup camera package. I think that they were able to work with me because of my previous history with them. I absolutely love my car. But back to your point. I have always tried to negotiate the OTD price; after all, that's the bottom line; what am I responsible for when the bill comes due.

    I read a good article just a few weeks ago that stated that we, as consumers, make the mistake of starting with the MSRP and negotiating down the price. We should start from the deal cost and work our way up. The problem is finding out what the deal cost is. There is a lot of information out there on the internet and it can be time-consuming to find what you're looking for , but ultimately, I think it's worth the time.

  • sjones1980sjones1980 Posts: 3

    @elantra_joe said: I read a good article just a few weeks ago that stated that we, as consumers, make the mistake of starting with the MSRP and negotiating down the price. We should start from the deal cost and work our way up. The problem is finding out what the deal cost is. There is a lot of information out there on the internet and it can be time-consuming to find what you're looking for , but ultimately, I think it's worth the time.

    Hi Joe, where were you able to find dealer cost? I'm looking to buy a 2014 Elantra and Versa and it would be great to know what invoice is so that I can negotiate as you suggest. Thanks in advance. -- Steve

  • steverstever Viva Las CrucesPosts: 41,312

    Dealer cost and invoice are two different numbers. Invoice is easy - just drill down under Make/Model above and pick your trim and we'll show you MSRP and invoice.

    No one really knows what the dealer cost it - the dealer probably doesn't even know until they close the books at the end of the month or end of the quarter. There's all kinds of rebates and bonuses that the manufacturers give the dealers that vary by dealer or region.

    Surprising tips for car shopping in Internet age (usatoday.com)

    Moderator
    Minivan fan. Feel free to message or email me - stever@edmunds.com.

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