Volvo S40 Prices Paid and Buying Experience

ac249 · March 2005

Hi. Thanks to everyone for very useful info. Here's my story, I hope it helps you. I just bought a 2005 S40 2.4i with the following:
- Auto trans
- Premium pkg
- Audio pkg
- Climate pkg
- Silver mettalic

$25,500 + tax. This included $1,500 dealer cash and destination fees. The deal started out thru emails to a few dealers (thanks edmunds!) and was originally quoted via email $25,350 for a S40 with only auto trans, select pkg and climate. But then while at dealer, and after a little discussion, we eventually came to the options and price I mentioned above.

We also used the new college graduate discount from Volvo for an extra $500 down payment, so in reality, the final price was $25,000 + tax. All they ask for is to see your diploma showing you graduated within the last 2 years.

Also, I asked for and received a coupon for FREE season lift tickets to Heavenly/Vail/etc ski resorts. Its advertised on the volvo site but i had to ask for it

Overall I had a very good experience. Not very much pressure at all from Volvo dealer! Very happy with the S40 and couldnt find anything comparable for the same price!!

So, did I get a pretty good deal?

divewreck · March 2005

Just did it. Didn't like the interior beige so dealer placed an order - S40, manual, with premium & convenience pkg- 23,450-they were so accomodating,even apologizing for the car to take up to 8 weeks. I also looked at Mazda 6 but felt it was cheap, would have looked harder at the camry solara but it's only a 2 door. I have a 00 jetta & also thought about a new one before the model change, which, btw, looks so bland & mediocre that I think will be VW's demise

dandg · March 2005

Hi Divewreck
was that 23540 with the 1500 taken off or did you take the 1.9 financeing?
Thanks

divewreck · March 2005

According to bons, my deal was 2850 off msrp, or close to the $3000, so I assume it was included. The deal was also 1442 below invoice, so I was happy. Can anyone explain these incentives? I always thought that you had to negotiate to get deals, like this one, yet when I walked in the showroom there were S40's (basic) going for 20,992

robr2 · March 2005

Currently there is a $1500 incentive on the S40/V50. This series is supposed to be Volvo's volume leader. As such, most dealers have plenty on hand and want to move cars. If I were you, I would be thankful for the easy dealing at your dealership.

bob__ · March 2005

I've just closed a deal in Philadelphia area for the new 2005 Volvo S40 2.4i, with manual trans., premium package and climate package. MSRP: $27,175.
Using "magic number" from this forum, I try to negotiate price with two dealers to MSRP -10% -$1,500 = $22,957. Both of them agreed on $23,000.
But when one of the dealer could not get car with my colors, he offered me metallic paint for the same price! It means that there is still some room for negotiation ($385 ?)

Anyway, I bought car with the colors I wanted for
$23,000 - $500 (trade hardly worth 500) - $500 (Grad. Discount) =
Total: $22.000 + $1,320 tax + $118 tags.

Everybody, thanks for the tip!

bob__ · March 2005

Always work with more then 1 dealer, better 3-4, call them with other's offers and make them compete! They will sell for MSRP-10%-(all incentives) or even less!
Incentives I've got were:
$1500 dealer cash and
$500 graduate cash.

Edmunds.com does not show all incentives for March, there are a lot more.

sandman46 · March 2005

The wife would like this car in the basic form with just the automatic tranny.
What do y'all think would be a reasonable otd price to pay? Color is really of no concern.
Thanks all!

The Sandman :-)

bons · March 2005

Bob Deal Recap:
MSRP - 10% - Incentives = Magic Number
27,175 - 2717 - 2000 (1500 Dealer Cash + 500 Grad) = $22,458

WOW! Excellent Deal, congrat on a great deal using the Magic Formula

Normally dealers are more motivated to sell what they have in stock, or a particular unit because it has been on the lot for a long time.
I don't know what your trade is or what your financing terms are, but your car might worth $1200 wholesale, and the dealer could pick up another $500 in financing. Even if they sell the S40 at cost or below they pick up $700 in your trade and $500 in financing. I just throw these number for information and discussion purposes only. So with your deal, assuming the numbers above, there is about $1200 to work with. Hey keep in mind dealerships are in the car business to make money somewhere, somehow :-)

You should be able to buy your Volvo within +/- 2% of the Magic Number (depending on your deal and area) I'll be following the board for others who get deal using this simple formula. Good luck!!!

bob__ · March 2005

No financing.

My car - '97 Chevy Venture, 86k, no transmission and also electrical problem with power locks - nobody would give me more then $500. Dealer encouraged me to sell it to somebody else.

)

I think I overpaid ~ $50 vs. the "magic number", but whole process was so nice - it worth it. In general, Volvo dealers were as nice as Volvo itself.

)

blerner2 · March 2005

All,

I'm ready to make an offer tomorrow on the following vehicle:

S40i
Premium Package
Auto
Metallic Paint

According to Edmunds the MSRP (incl. Dest) is $28,225. The invoice is $26,525.

According to the "Magic" formula. I should offer MSRP-10%. That would be $25,402.

My question is: The 10% reduction is below Invoice (by some $1,100). Why would that offer even be considered by the dealer? It is before the $1,500 cash to dealer incentive.

If I then add in the $1,500 incentive, my offer would be $23,902.

Is this a reasonable offer. I have purchased/leased many cars over the past 10 years, but never offered much below Edmunds invoice. How can they be dealing so far below invoice (before the $1,500 incentive).

dandg · March 2005

Not sure what the "holdback" is on these but even at 1% they still make some money and move the unit,most of the deals I have done on cars they are very reluctant to get in to the holback $. Very interestd as well to see if others have been able to go that much below invoice with this MSRP-10% formula and had sucess.

bob__ · March 2005

I do not know what is the trick and how they make money, but I've just got my car for price much below Edmunds' invoice. Above I listed all numbers for my deal.
There was a small "catch" when I came to pick up my car - real sticker price was $300 below the official sticker price for March, i.e. my calculation for "magic number" was at least $300 off.
My car was delivered from another dealership, ~60 miles away, so when I got it, it slightly over 100 miles on odometer - my dealer lowered price by $100.

allwheeldriv3 · March 2005

S40 T5 AWD
-Barent's Blue Metallic
-17" Saggita wheels
-Premium Package
-Audio Package
-Climate Package
-Bi-Xenon Headlamps
*Dynamic Trim Package

Price: $28,208(including $1,850 factory incentive) - $500(recent college grad) - $500 (AAA membership)

Final Price(before taxes): $27,208

Volvo of Princeton
Rt. 1 Lawrenceville, NJ

*Dynamic Trim Package(for some unknown reason) cannot be factory ordered in Barent's Blue Metallic. So i had to tell the dealer to order the parts, paint, and put on the extra parts. I am not sure how much this costs totally because i didn't want the rear spoiler only the ground effects. The dealer quoted me $850 for this. A little steep in my opinion, but it makes the car look a lot cooler IMHO.

slammie · March 2005

Ok, this can't be right...magic number, several thousand below msrp? What? Very interested in an S40 and after reading some of these postings on great deals, I'm truly salvating!

So, I've priced the S40 I want on the Volvo US site. It's loaded with msrp at $35673. To get magic # I take 10% off of that which = $32105. Then take off another 2k for grad/dealer incentive? I'm sitting at 30k, which wouldn't include my trade in.

And, can I then use the 1.9% for 36 mos.??

bjp4 · March 2005

okay,

I am going to buy a new s40 . I have done a ton of research, browsed message boards, visited edmunds kbb, and whole host of other sites. How do I approach the salesman at a dealership initially. Should I tell him that I have been doing a bunch of research and I already know what people are paying? Can I show him a post detailing how much someone else paid? Or am I just going to have to sit down with salesman for a few hours and go back and forth? Actually I have narrowed my car search down to two cars, S40 is one of them, and basically which car I get depends on what price I am offered. what to do?

bons · March 2005

Most Volvo dealerships are very nice and you'll find it to be a pleasant experience. They know their clientele are educated, well-informed and intelligent, otherwise they wouldn't consider a Volvo. So just find the car you want to buy, test drive it, and tell them the price you want to pay. And they will be frank and upfront with you, either yes or no. If need to, let them know you're serious and be persistent with your number and you will get the "magic number" you want . . . no need to worry, it is that easy buying a Volvo. Visit a Volvo dealership and tell us about your experience later. Good luck!

allwheeldriv3 · March 2005

while in the end my dealer was nice and helpfull, in the begining he tried to take me for a ride because i'm 24 and look like i'm 18-19....this is my experience(i'm the guy who posted the sick deal a couple messages up)....

First encounter: i went into the dealership and with out even test driving(i had driven one before) and told the dealer i wanted one....we went to his office and he asked me the features i wanted. He quoted me $31,900 and i told him this was way out of my price range but i'd be back more towards the spring months.....this was around late jan/early feb.

Second encounter: a week and a half ago, i went back to the same dealer. this time i was armed with a printout of the exact customized s40 quote from www.carsdirect.com( a little over $29,000). i test drove the car and returned to his office to talk #'s again. to my suprise, he quoted me about $2,000 less then he had quoted me a month and a half earlier, but i knew i could get better. once i felt he would not go any lower, i busted out the carsdirect.com printout and told him if he couldn't beat it i'd have to order it over the internet. he hops on the phone to make a [non-permissible content removed] call to his boss and when he gets off, he gives me the price of $28,208. After that point, i pulled the 2 aces out of my sleeves and I TOLD HIM about the recent college grad and AAA discounts(he was still holdong out on me). but it's not over yet...

Background info: this second encounter occurred on saturday, march 12 at 4:30....the dealership closed at 5 and i was still there so i was being rushed out....on top of that, i just turned 24 and this is the first new car i am buying with the exception of the minivan(which i currently drive and i bought from my parents for dirt cheap) so i was nervous as hell and the dealer read me like a book...after leaving the dealer extatic i drove home on cloud9, however, upon reviewing my receipt, i quickly felt that i was freefalling w/o a parachute....everything(options) were in order on the form, however up in the top right hand side of the form it said "S40 T5 M".....absolutely nowhere on the form was there any mention of the All Wheel Drive that really was my deciding factor over my other choices(infiniti g35, bmw 3 series)....i was heart broken.....hoodwinked, bamboozled, words really can't explain how i felt...and being the pecemist that i am, i figured the best case scenario would be that the guy would try and strong arm me for my $500 security deposit and i would have to get his boss out there and threaten their entire operationwith slander in the local news paper and all that fun stuff, but...

Third encounter: i called the dealer as soon as i got to work on monday and told him to hold off putting the order in and that i would be there at noon to discuss things. i took a half day in preparation for a fight and went at lunchtime. at first the dealer was playing dumb..."i quoted you for the T5 fron wheel drive...". when i asked him to produce the piece of paper that had all of the prices he tallied he conveniently "couldn't find it". then i told him that he said he gave me the base car w/o packages for $26k and change, so to show me the dealer invoices of all the models and the one that is $26k is the one i wanted. sure enough, the T5 AWD was that price. at this point, his boss was in the office after overhearing us and the [non-permissible content removed] kissing commensed...i was mighty pissed that he almost ordered the wrong car and i demanded a price drop for this inconvienience...i was initially looking for $500 to cancel out my security deposit, however, the dealer's boss told me they would throw the premuim audio package at their expence!!....awesome!!!....and not 2 minutes later, their accountant guy came in with credit report forms approving me for my choice of 1.9% for 3 years or 2.9% for 5 years!!!

so there's my story, hope it helps....my price is outstanding even though i went through a lot to get it...i would base any attempt to get an s40 with my options at $28,900(if your not a recent grad or a AAA member) because, chances are, you are not gonna get the audio package for free...

oh.....my car gets delivered may 24th.....and this will be the longest 2 months of my life....

dandg · March 2005

hi all, her is the first email offer we got.it seems we need to do better comparing to other deals we have seen here.
O5 S40 Manual W/premium,Climate
MSRP+27175(this included a 250"advertising" fee ?)
they claim Cost = 25637 and with doc fees will sell for 25724 w/doc fees (then either -1500 or 1.9)
two questions.
Have any others run into this advertising fee?
Also if I can do as good as Bob I should be at 24500 (w/o 1500 or 1.9) correct? Thats 1200 more and they claim they are only making 500 and will not go lower.
any help appreciated.

bob__ · March 2005

Yes, that is exactly the same car I got. Thanks for using my deal as a reference, but I'm not sure that was the best deal possible.
As you see, on top of it one dealer offered me metallic paint for the same price.

I started to work with 3 dealers, there initial offers were ~25700, 25400 and 25000. First dealer got off the competition right away, but other two keep matching and beating each other's price. It stopped when one of the dealers told me that he can not get car with colors I wanted.

Do not bargain with one guy. If you have 2-3-4 or more dealers competing for you, you may tell one that other guy offered you 200-300 less then ALL of them will "match" this price. Call them and bargain over the phone, it works better.

bob__ · March 2005

Couple more details: dealer got my car from another dealership, there was 149 miles on odometer, so dealer knock another $100 for it, without even asking. MSRP on the sticker was from Feb.:$26875, $300 less than March's MSRP.

Finally I got my car for:

24500
-1500(dealer cash)
-500(grad cash)
-500(trade)
-100(mileage)
Total taxable: $21,900
tax: $1314
registration: $112 (paperwork fee & license plate)

Nothing else, no advertising fee, no any other fee. I even got free loaner for 2 days while I waited for delivery. No charge for gas.
Without trade and grad cash your deal would be $1000 more.

Some people above mentioned -500 for AAA membership, I did not get it even I'm a member. For March AAA gave me "no hassle, $100 over invoice" - which is much more than I paid.

dandg · March 2005

Thanks Bob,
yes I agree we have to get more dealers involved.Last time I did this with my wifes RX330 we ended up getting two dealers going back and fourth like you did. We are in NH and we had to pull in the MA dealers (there where many more)to get the ball rolling. I never heard back from the intial dealer after I told her she would have to do better so on to new propects.
Thanks for help

dhanley · March 2005

With euro delivery, is the dealer already "taking a skinny?"

I can't find info regarding negotiability of the euro delivery price.

robr2 · March 2005

Euro pricing is set by Volvo and there isn't supposed to be any negotiating on it. The dealer is paid a fixed amount for processing the paperwork and doing the delivery.

Sometimes Volvo might throw in a special offer on Euro delivery like side trips at a special offer or a free package on some pre built Euro delivery cars.

bowlingal · March 2005

So, its the end of the month and I'm getting close. I'd love to read opinions and advice on this pricing. I'd really like the T5, but I only want Automatic, Premium and Climate. Apparently, in my area, these don't exist. Since more than one dealer has told me this, I figure its just down to them getting rid of what they've got. I'm flexible on the transmission type.

Here's what I'm considering.

S40i Metallic paint, Automatic, Premium, Sport, Climate, Audio, Bi-xenon for $25,665 +TTL

That is the best offer out of everything--and I'm planning to go get it because its OKAY and the price range I wanted to spend. Problem is, that after going through a redrive, I really liked the T5.

I don't _mind_ the "i" -- I just like the pick up on hills from the T5 and the power seat for the passenger.

So far, I'm not having much luck with dealers _wanting_ to deal--even though its the end of the month.

Other offers on the table:

T5 Automatic, Premium, Conv ,Audio, Sport $28,428 + TTL

T5 Automatic, Premium, Climate, Conv, Audio, Sport, DST,
Laminated Windows, Navigation, Metallic Paint, Bi-xenon $31,778 +TTL (but this dealer seems to not be very price competitive--or are they from this offer?)

T5 AWD Manual, climate, bi-xenon, and select package. $28,119 + TTL

T5 Manual, audio, and dynamic trim package.$26,089 + TTL

T5 AWD Automatic, climate, premium, DSTC, and 17" alloy wheels. -- $30,261 +TTL

T5 Automatic, Metallic Paint, Climate Package & Bi-Xenon, Premium, Conv, Audio, Sport, DST & Laminated Side Windows
$30,588 plus TTL

Any thoughts on these? Much obliged.

bons · March 2005

Try using the magic formula
MSRP - 10% - Incentives availale = Magic number

Are your numbers within 2% of the magic number?
If yes, take your Volvo home today

I think they should make laminated side windows standard on the S40 and all Volvos. It make it harder for intruder to smash your windows, and laminated side windows also reduced outside noise making your Volvo quieter inside. It's a $300 option well spend.

leslietva3 · March 2005

Hi Bons

Would you mind sharing "where" the magic formula is working? Best I've been able to do is invoice less the incentive of $1500 on the 2.4i and $1850 on the T5. I'm in Virginia, but I will TRAVEL for this savings. Thanks!

junny · March 2005

Hi!

I just bought a new 540 T5 and was reading the Manual on it. It says that it has Rear Park Assist is this true on this model. Also it says that the glove compartment should have a pen,coin and credit car holder which I don't see. Is this supposed to come standard? Thanks!

the_barnacle · March 2005

bowlingal,

I just picked up a T5 AWD Manual, climate, bi-xenon, and select package for $27,750 in the San Fransisco Bay Area. May have been able to get a better deal had I worked at it, but I thought it was a good enough deal with not much effort. According to the magic number it could possibly go for as low as $27,100. That $28,119 is the same number the dealer used on me for a little while, but he dropped it to the above mentioned price when I said I was going home to think about it.

Barnacle

divewreck · March 2005

My S40 is being built & I keep hearing about an AAA discount. Does anyone have info on this, & can I still use it

allwheeldriv3 · March 2005

yea, i got the discount. it is actually a rebate which you get in the form of a check around 2 months after you actually get your volvo. if i were you i would stop by the dealer and talk to your salesman. there is a form you sign when you pick up your ride. one thing i'm unsure of is whether or not you need to have a AAA Plus membership or a base AAA membership. i'm a Plus member and i got $500, but i remember another guy in this thread that got less so i think $500 is for Plus members or maybe it differs by region...not sure, but if it is the case that its for Plus members, you should upgrade your account for a few months.

when do you get your car?

bowlingal · March 2005

okay. this magic number stuff isn't really working for me here in the bay area. as far as i can tell the whole damn thing is arbitrary.

also--they must have actuaries work out packages because i can't seem to get the car with what i want.

i want a warm butt. that=climate package
i want seats that move electronically for both driver and passenger. that = T5 (i have to get a TURBO engine to get seats that move around?) + premium
i want stiffer suspension. that= sport or AWD

i'm utterly frustrated.

bons · March 2005

Leslietva3,

That's not too far off (about 4%) from the magic number. Like I said if you're within 2% it's a great deal.

Just a side note, I saw an ad on the paper last weekend with 1 dealer selling 05 Camry w/automtic for 15,499 (30 cars in stock at this price), another dealer advertised same car for 14,999 (10 cars in stock at this price) Just out of curiosity I check the edmund price and it listed the 05 Camry LE w/automatic at MSRP of 20,665, invoice at 18,551 - 1000 incentives = $17,551

So if you apply the magic formula for the Camry it comes out to 17,500 and dealers are blowing them out at 15,000 to 15,500 way below magic number price. So folks let me reiterate that it's very possible to get it within 2% of the magic number or below because the competition is intense in a weak economy and rising rates.

leslietva3 · March 2005

Thanks Bons! I stuck to the formula...

Got the deal to $27,575 (MSRP $32,065)for the 2005 S40 T5, Metallic Paint, AT, Prem, Climate, and Audio Pkgs. I'm happy with that!

Thanks to all, this forum has saved me so much!

Leslie

divewreck · March 2005

Thanks for the info. I called my dealer & he confirmed the $500 rebate. You only need the basic membership as long as you're a member for 6 months. I actually had mine lapse last year but was able to reinstate it for only $46/yr. My 2.4i is being built; only cars availabe were a T5 -I wanted manual, red, offblack T-tec, with select & convenience package=23,450 (before rebate)

allwheeldriv3 · March 2005

nice, congrats on your new ride!
did your dealer tell you when it would arrive?

divewreck · March 2005

Originally 5/2, now April 22

damnthathurt · March 2005

I just picked up an 05 S40
Premium Package
Sport Package
Audio Package
Auto Transmission
Metallic paint
MSRP was 29,800
Sale price 25,600

reuel3 · March 2005

Would you mind sharing which dealership? That way other members can benefit.

Thanks, and congrats on the new purchase!

bowlingal · March 2005

where are you?
i could not get anyone to go under 28,900 on a T5 with
metallic, paint, at, prem, climate, and audio.

how did you do it?

for the aaa people--don't you have to use an aaa dealer and arrange it ahead of time? or is there just some form that all dealers have? please reply soon -- thanks

allwheeldriv3 · March 2005

the AAA discount is a form all volvo dealers have.

bowlingal · April 2005

anybody around today?

upon inspection, i have the opportunity to get in a few hours...

T5, automatic, conv, clim, audio, premium, sport
regular paint 28k + 500 back from aaa

is this good? i'm having fear of maintenance for this car over the long haul. i'm starting to have fear of committment....

allwheeldriv3 · April 2005

no dealer incentives?......i would bring that up to the dealer if i were you......most people got a $1500 incentive....i got $1850, but i think that was for the T5 AWD.....

bowlingal · April 2005

that includes the incentives.
list was 32770 - 1850 - 3277 his counter was 28,900, i offered 28k
but i dont' know -- i'm afraid of maintenence on this car
i'm paying cash so i got a bit freaked out this am...

allwheeldriv3 · April 2005

i say go for it!....but i'm biased since i bought one already....if you're that worried bout maintenence costs, spring for the extended warranty....also, if your paying cash you should consider this:
volvo offered 1.9% financing for 3 years and 2.9% for 5 years for the month of march...most likely this either carried over to april, or the dealer will be nice and give it to you since you are only a day off.....instead of paying cash, do the finance with a small downpayment and but the res of the cash you have in a nice interest gaining savings account......this way, you will be earning money as you pay your car off and you will have a couple thousand set aside if and when you need it for maintenence & repair.

whodey · April 2005

Hi everyone - there is a ton of great info in this thread and I just want to say thanks. I am looking to buy in the next 4 to 6 weeks and here is what I am aiming for: 2005 2.4i with Premium, metallic paint, climate and auto. Those are the options I have to have...I think the MSRP is $28,850. I plan to offer about $24,500.

I am interested in a few additional options - booster seats, DSTC and convenience package but I'm not too concerned about those.

Anyway - couple of questions - 1) has anyone shopped the S40 in the Northeast Ohio (Cleveland area) and did the MSRP -10% - rebate work and 2) can I still push for the March rebates? Does anyone know if new rebates will be offered in April or May?

Thanks!

allwheeldriv3 · April 2005

"can I still push for the March rebates? Does anyone know if new rebates will be offered in April or May? "

i don't know for sure, but my guess is that the same rebates will hold throughout the life of the 05 model year if not get better towards july-august. my reasoning behind this is that when i originally started shopping int january-feb, the same deals existed and the fliers at the dealership always said that they would be ending at the end of the month, yet when i returned in march, they still existed. better deals may arrive in june-july as the dealers try to make room for the 06 models due out in august. the only reason i did't wait tosee better rebates and incentives is because i wanted my car built exactly the way i wanted and the dealers around me had nothing even remotely configured the way i wanted. since volvo stoped taking orders for 05 models the end of march, i had to buy then.

carbert · April 2005

What kind of deal did you get on your special order? When is expected delivery?

bons · April 2005

Bowling gal,

Stick to the magic formula, dealership will not budge because you're paying cash - they assume you have money and can pay the extra bucks. I don't think you're using all your money to buy the car

If the you're worry about maintenance the first 3 years is free, I'd not advise for extended warranty, why prepaid for something you don't need now and might not use it 4-5 years later.

If I'm your financial advisor, I'd advise you to put your money toward something else. The car is not an investment it's an expense. For example if you have a mortgage use that money to pay it off (think of the savings over interest you'll get for a 30 years mortgage with a 5.5%)

Good luck!

allwheeldriv3 · April 2005

my deal and what i went through to get it can be found in this thread posts #'s 224 and 228 respectively....and as of now it is expected to be delivered, have the body kit painted and put on, and ready for pick-up may 24th.....although the dealer said this date could move up, and hopefully it does.....these last couple of weeks have felt like months....

and bons, i don't think it's "Bowling Gal" you're talkin to....i think it's Bowling Al...

Volvo S40 Prices Paid and Buying Experience

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