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BTW, I was the guy who was complaining about not getting a "fair" deal a couple of weeks ago wanting 5% over CR's wholesale. Thanks to a little poking around and the above mentioned trip, I came in at 3% over cr's wholesale. I have no idea why the dealership made that deal. It was advertised and I didn't even have to be a jerk, though I did have to stand up for myself a time or two.
I once did the same thing with a Corolla. Every week they would run a screamer ad, advertising a Corolla and a stripper truck for a ridiculous price. The Corolla was a bare bones stripper but that's what my in college little brother needed.
I called from a phone booth across the street and the sales guy said it was still available. First hour on the opening day of the ad. Five minutes later I pulled in and asked for the guy I had talked to..." He's off today". When I insisted, lo and behold, they found him.
At that point, he said he "thought" it might have sold and wanted to switch me to another.
Finally, he led me to the back of the lot and there it was, behind the trash bins.
They did their BEST to talk us out of it and into something more expensive...
This is pretty typical, sorry to say, for So. Calif dealers!
Most people, when they read a newspaper ad or hear a TV/radio spot understand "Honda Accord 4-dr, $16,999" or "Toyota Corolla, $12,990". They don't bother to read the fine print that mentions that the Accord is a DX 5-speed or the Corolla is a one year old program car.
If the dealership advertised the Accord LX, for instance, at $100 over invoice, any Honda dealer could beat the price.
Ask yourself - which type of ad generates more business for the dealer? Advertising is meant ONLY to draw business, and that it does.
If Mr. Customer doesn't want the 5-speed DX Accord or program Corolla, they are free to choose from anything else you have. We would sell that strip model Accord or Corolla all day long for the advertised price. Most people don't want a 5-speed. Most want a CD player. Some want a sunroof. Now, you need an EX.
The point is that they are live, breathing and taking up space right on your acreage - your place of business - the ad worked.
Honda folks are different. I worked at Lithia Honda, Medford, OR and I noted that many Honda people are on their 4th, 5th or 6th Honda. In just about every other dealership (besides Honda and some Toyota places), 80% of the customers DON'T know what they want when they hit the lot. Advertising the bottom feeder ride definitely works for those folks.
I wrote advertising for quite a while, at 3 different dealerships. Everything I thought about the way things worked in the car business going into the deal had to be thrown out the window when it came to writing ads.
But yeah, generally, you have to read the fine print on most of the ads. If it gets someone onto the lot, so much the better (for the dealer, that is). Folks should do their due diligence beforehand, I would think.
Speaking of which, for the Toyota sales folks out there, is the 0% financing for Camry's a national program, or regional? I saw an ad here in Denver for it, but my folks live is SoCal and might be in the market for a Camry LE. And, what (roughly) should they expect to pay? TMV is showing something like $300-400 over invoice for their area.
Dunno if the ad guys or the folks who hire them calculate the cost of 'educating' new buyers in skeptism, though.
Typical scenerio......"I want the blue DX 5 speed".....as they are walking to see the car the consumer often will spot something that catches their eye..."but the yellow LX with a spoiler really looks nice, and power windows and A/C would be nice....can I get close to my payment budget on the yellow one??"
Besides, this was a loaded 4Runner w/ a sticker of 39.4 and I had to cull through their online inventory to find it so I don't think it really was a screamer.
Of course, ABC Motors has the zipper LX advertised for $3000 less.
It doesn't take many of these conversations before the dealership starts advertising the zipper LX. Even though they actually sell way more GT's than LX's.
: )
Mackabee
-juice
I have spent as much as $45,000 a month on "double trucks" and radio blasts .. Zues and Audia8q have brought up some great points, most folks don't know what they Really want. They may have all the printouts from every site in the world, but they are shopping everything .. I have had customers come in and say ~ "we want a light color Windstar, we want the rear air, quad seats and don't want to spend more than X .. then 3 hrs later they go home in a Miata or Camry, it happens everyday ..
About 5 years ago the largest paper in my area got bought out and the new corp. raised their ad prices by 20% .. I immediately said we were not going to be "held up" and moved the ad's to TV, and doubled the radio, floor traffic dropped 25% .. 3 wks later, the paper and I came to an agreement and everything was put back into place (thank goodness) and the floor traffic was back in the swing -- do the Ad's work, yes they do .. it's "how" it's handled at each store that makes the difference to the consumer.
Terry.
-juice
Back to the topic.
TB
; )
Mackabee
I haven't shopped Mini Coopers, though, so I don't know how much negotiating they're doing on them...
kyfdx
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: )
Mackabee
How long is the wait?
How soon can you get here?
thought that was interesting.
kyfdx
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I guess they want to have a few cars to show to potential customers.
-juice
I have a 95 Honda Civic EX that was rear ended and needs a new rear bumper. Am I better off fixing it before trading it in or applying the money for the repair to the down payment. I know that selling it outright would be better but I may not have the time.
Thanks for any answer.
Get it fixed at a decent shop, then trade it.
Thanks
Nicole
The only reason a dealer would not honor the original price:
1. The vehicle traded for at another dealer has more equipment/it's a hard to find color, options, etc
2. The dealership they traded with is a long distance away and there is a cost of transporting it to their dealer. For instance, if I'm trading for a vehicle in Minneapolis and my dealership is in Chicago, I would charge the customer X amount of dollars to send a driver to get it. Now, if the dealer is within 50 miles , there is no reason I should charge my customer.
(We're talking about, depending on distance, $50-$150 for transportation)
Also, when we do a "dealer locate" to search for vehicles, we search a seven state area, but we do not typically get cars that are further than 200 miles. It's too costly.
I require a signed buyers order and non-refundable deposit of $500 to get a vehicle from another dealer. This deposit can be used towards the vehicle, down payment or refunded at the time of delivery.
I take a deposit because it ensures that my customer is commited to purchasing a vehicle.
I would tell the dealer that you will put a deposit down on the vehicle once you have agreed to terms. Do not put a deposit down on the vehicle unless you have agreed to a price.
If they say, "well, I can't quote you a price because I don't know how much transportation will cost, or what options the vehicle has on it"--that's untrue.
When you do a dealer locate, you know EXACTLY what options it has on it and even the VIN number.
Aside from that, there is no reason why the price should change dramatically.
I'd like to know what amount gets taxed in the vehicle price. Example:
MSRP: $25,000
Purchase Price: $23,000 (excl rebate)
Rebate: $3,000
Negative trade equity: ($2,000)
What amount does my Wisconsin sales tax get applied to?
Also, if my trade has been in an accident, am I obligated to disclose this? One salesperson told me "If they don't ask, don't tell". On the other hand, is a dealer required to disclose this if I'm buying a used vehicle from them?
Thanks.
About disclosing repairs to your car - I wouldn't sweat it. The dealer will prob pick up on the repair when you drive onto the lot. If you try to conceal OR make a big deal about the repair, it'll just hurt your position as you negotiate the deal. "Yup, I've had some work done. What's the bottom line?" is where I'd go. If you decide to private sell the car (you'll do better that way), I'd point out the repair just to save some kickback later on.
The dealer's obligation to disclose repairs to you as buyer is a very iffy thing, apparently. Some salespeople say with a straight face that they just don't know the repair history of used cars they sell. Given the ease with which repairs can be spotted, that sounds like willful ignorance to me. Me? I'd get a Carfax and also have the used car gone over by someone who knows cars before buying a used car, even from a dealer.
-juice
Having "some work" done on your car, like having and air conditioner compressor, alternator or fuel pump replaced may be no big deal at all - there's no legal recourse if you don't disclose that you replaced your alternator.
Having an accident, then having the damage repaired, depending on its severity, is a legal issue should you not disclose it.
If a dealer doesn't disclose substantial accident damage when selling a used car, you can bet there's going to be a lawsuit.
Many dealers are getting tired of getting screwed over by lying customers who don't disclose major issues with their trade-in vehicles. Many have gone to a formal disclosure sheet that requires the customer to entail whatever damge or major repairs have occured during their ownership. This DOES give the dealer legal recourse against the consumer, and rightly so.
There's no such thing as a free lunch.
The funny thing about this particular question is that a guy who loves the word "hooey" to describe the lyin' cheatin' ways of car dealers is giving suggestions on "how to lie" to help a consumer lie about their trade.
Kinda' takes a shot at the ol' credibility, doesn't it?
-juice
Like I said, "If you try to conceal OR make a big deal about the repair, it'll just hurt your position as you negotiate the deal." LOL, there's always the possibility of pointless argument.
"About disclosing repairs to your car - I wouldn't sweat it. ..... "Yup, I've had some work done. What's the bottom line?" is where I'd go. If you decide to private sell the car (you'll do better that way), I'd point out the repair just to save some kickback later on."
You left the rest of that out. Your sentence, directly above in post #4250, doesn't sound bad by itself. Combined with the rest of that paragraph, it's conspracy to commit fraud. Or "hooey" as you'd say.
You really shouldn't blast anyone for lying when it seems so easy for you to recommend/suggest.
the way it works here in Jersey, you pay tax on the purchase price, minus the money they give you for your trade. So I can't tell you based on the numbers provided because you tell me your negative equity on the trade, but not what they are giving you for your trade. In other words, if your car is worth $10K, but you owe $12K:
Purchase Price: $23,000
minus value of trade: $10,000
$23-$10=$13
so you pay tax on $13K. Then add back in that $12K that you owe on your trade - tax free.
I am not sure, however, about the rebate. I was originally thinking you don't pay tax on that either, but then I remembered that you do pay tax on the money that you get off when you use a coupon at the store or when you have a mail-in rebate. So I confused myself.
'11 GMC Sierra 1500; '98 Alfa 156 2.0TS; '08 Maser QP; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '11 Mini Cooper S