This is good stuff. Today I got a Nissan Frontier Pro 4x for $5000 under msrp. I used your website to see it had been sitting on the lot of 155 days. They showed me their invoice price (at least what they claimed it to be) which was about $41k and told me my offer (38K) would cause them to lose money. I told them that’s not my problem, your problem is the car has been sitting for over 5 months. I left. Went back today and got it for $38k. When I went to the finance guy, I already had a cashiers check for the exact out the door price, so he couldn’t even try to offer me extra stuff. All things I learned from watching your videos.
@@Hirvings i absolutely did to see how long the truck was sitting on the lot. I also used it to see there were two Pro4x’s that were sitting at another nearby dealership for over 200 days. During negotiations, I mentioned I would be contacting that dealer about those trucks in the near future if we didn’t come to an agreement.
Thank you to all of you willing to help the rest of us none car savvy car buyers! Please keep up the good work in the education we so desperately need! 😀
So happy to know you’re satisfied! We’ll keep creating informative videos to ensure you stay informed and engaged. Thank you for your continued support!
There's another potential deduction for slow-selling vehicles called "Price Protection" If the manufacturer lowers MSRP, for example, $1000 during the product cycle, then any dealer inventory acquired at the old MSRP gets a $1000 adjustment. I know because I successfully sued a Ford dealer over this issue.
@doncena7193 as far as not telling them exactly what car I wanted, I failed at that, I told them I wanted to see a very specific one. I ended up paying right at $40k for a 2024 Honda Odyssey Sport.
I wish I would have seen this sooner. We walked out of a dealer on Saturday. The salesman kept pushing the OTD price on the 2 cars we looked at and test drove. My wife was undecided on which one and the salesman looked like he was going to force her and I into a decision. I told her if she wanted more time to think about it, we'll come back. He pushed the price again and I'd had enough. I asked if all the upsale things like extended warranty and such were included and he said no. I then said then that's not the out the door price then. We got up and thanked him for his time and left. Now that I see these other things,I'll be better preped next at the next dealership we end up at.
8:23 sis bought a 2024 RAV4 last month, there were only 2 on the lot and 1 was sold just when they were haggling. Needless to say, the dealer was only willing to reduce the mark up from $3000 to $2000; not even the threat of leaving the lot can do any good beause the market simply cannot have enough RAV4s!
Exactly. Got a Nissan Frontier Pro-4x today for $5000 under msrp today because I did some research (on caredge) and saw it had been on the lot 155 days. Made a low offer and stuck to it. They eventually agreed.
I'm pretty new to your videos and it seems like you have good stuff. Planning on buying a car during Christmas time. I'm going to keep learning your tips until then. Keep making good videos!!! 😀 Also Happy Birthday
Thanks for all the help. In the market for my first brand new truck and have been doing work online and watching your videos. Found an amazing deal in Texas for a 24 F-150 Lariat. They are supposedly taking off $6400 dealer savings, 2,000 retail customer cash, 900 off low apr retail customer cash plus 500 for military and 500 for student which I am both and has been on the market for 40 days.. seems like a too good deal so will call tomorrow. Will be studying more of your videos
I love you guys! I'm 56 and My Dad Always did my negations and he is no longer with me. I have a little bit of an idea, but I would have been PREY if it wasn't for you two. I thank you from the bottom of my heart. Pamella
I went to a dealership last week and the salesman VOLUNTEERED the invoice price while saying "we never do this." I did not ask for it and to be honest, didn't even know it was a thing so he absolutely didn't have to. I had to chuckle because he was trying to put exclusivity on something that he, again, 100% volunteered to me. It was for nothing though because they refused to go below it even though the car, along with 12 more of the exact same car, had been on the lot for 192 days (and counting as of this comment.)
Hi Nancy, thanks for sharing your experience! It's funny how the salesman volunteered the invoice price to create exclusivity. It's smart to know the car's been on the lot for 192 days; you can leverage that for better deals. If you need more advice, we're here to help!
So, if the invoice price is accurate taking into consideration market conditions, how much is a fair amount of profit for the dealer to make in relation to the invoice price? I don’t expect them to lose money, but at the same time I’d like to pay as little as possible.
It depends on the market conditions. If a vehicle has a high supply and low demand you may very well be able to get that below invoice, a vehicle with average to modest demand, perhaps $100 to $500 over invoice and those in high demand and low supply, hopefully MSRP or slightly below. All the best, Ray
Idk. Are dealerships really gonna give you that invoice if you ask for it? They'll either fudge it up or make it up. I just don't trust dealers at all.
My wife and I have been to about 5 dealers last week. so far two of them give the invoice before purchase. I've noticed the larger dealerships are more prone to give you the invoice. You just have to sound confident and that you are coming to buy the car and that you are serious buyer. It's just you live too far to drive around just to find out something that can be emailed. If one salesperson is not friendly to you just call back and ask for another salesperson. keep track of who you are talking to.
Simple, play a little mind games with them with it..”damn, you guys paid a whole lot with that car”, I’ll check with another dealer, and get back to you.”
@@the_paranormal_factory1812 the invoice price for an identical car elsewhere will be the same at another dealer and any decent salesman will tell you that instantly if you try that. not fooling anyone with that line.
Zack, is the "destination charge" as it appears on the window sticker an accurate number? I ask only because the number is identical for every vehicle of the same model on the dealer's lot. No doubt there's a cost to deliver a new vehicle to the dealer. But the manufacturer should want to keep the charge as low as possible because that's how the manufacturer makes money - by the dealer selling as many manufactured cars as possible. But depending upon how many cars are delivered at any given time, and depending upon the dealer's volume of sales, it would appear the delivery cost to the dealer may actually be less. If true and the delivery fee remains the same on the sticker of all vehicles, then the manufacturer can recover the actual delivery cost and the remainder of the fee can be accrued as additional dealer profit. The dealer always tells the customer that this fee is a fixed cost and is, therefore, non-negotiable. I'm confident your Dad knows the truth here. What's most important here is if there's a hidden dealer profit in the destination charge, which is not cheap, it's gives the buyer additional leverage to negotiate down the window sticker price (MSRP). Nobody has asked this question, and I can't get an honest answer. Thank you, Zach.
Thomas, the dealer is charged the same exact destination fee as it appears on the window sticker and it is broken out as such on the invoice. The invoice will list the wholesale cost and retail cost of every line item and when it comes to the destination charge both wholesale cost and retail costs are identical. The hidden profit in the destination charge is a manufacturer profit and not a dealer profit. We have written extensively about the increase in destination charges and how they add additional profit for the manufacturer. All the best, Ray
Video request (apologies if you already have one) - this is invaluable info for new car purchases...but I'm one of those guys that will never eat that depreciation. Have any similar 'here 's what they're getting that you don't know about' on the pre owned side of the house? Even just how to use kbb/jd power to your advantage instead of theirs would be interesting. Love the content. You guys and some of the other RUclips car community saved me 15% on sale price and 50% on trade in on a car today!
This really does sound great, as noted at the end of the video if you're interested in a low availability vehicle, Toyota Highlander Hybrid, as a specific example and the dealers aren't getting allocated many if any, what kind of offers / negotiation if any is really available in these cases?
Just curious - Some of these dealerships are HUGE operations/facilities with dozens of employees, along with an obvious very large overhead to sustain the business. If a dealer sold cars at invoice, and passed all manufacturers incentives to the customer, what pays all the salaries and overhead costs of the dealership?
@shackrat2331 The actual dealer cost on any new vehicle has to be substantially lower than any invoice/MSRP price that they state - otherwise a dealership couldn't stay in business, let alone make a profit after expenses. Correct, that's the point.
It's simple. Because not all vehicles get sold at, or below, invoice cost. Some car deals are money-makers & others are not. The good deals (& the profit from both the finance & service departments) pay the overhead & the bad deals keep the volume going & help towards monthly objectives.
The words "Invoice price" doesn't even come up when dealing with dealers. They usually only point out the MSRP and most won't even go below that price let alone invoice price and not to mention "Under the line moneys". You'd have to be a seasoned car salesmen to know the entire process of how it works to even think of NOT getting taken advantage of.
a lot of this stuff works with lower end manufacturers with popular cars like Toyota that are new. But try to get something rare and used from zee germans and this all falls apart. I'll give you an example I have had a Hell of a time trying to get a 2019 C43 AMG convertible with 30k miles. They want $38,000. I tell them I will bring them a check for $39 OTD. They, paused and said ok we will take a look at it. Went back to the finance managers office directly and he printed out a sheet and said this is the best we can do, you can take it or leave it. Or if you want to be serious about this auto mobile we can talk about financing through MBFI. I said, I will leave it. It was $43,750. Car was sold a week later.
I'd shared the invoice price given the right situation and the right sale, but if you start asking me about the other back end stuff you're probably gonna be dismissed kindly unless it's a vehicle they really really need to move for some reason.
So I'm probably going to be closing on a deal on Monday (I'd do it tomorrow if the dealer was open) and on their website it shows a market adjustment of a -negative dollar amount. This particular car has been sitting on the lot for hundreds of days and the model is not selling very well at the moment from what I can gather. I assume I should demand this negative market adjustment if it is not on their first offer.
Should just be simplified. Dealer here is your total cost. Here is the MSRP. You sell it for what you want. Above or below MSRP. The difference between total cost and selling price is your gross profit.
@@elliottjameson5405 And "duh", I answered that question - there isn't a percent above invoice that it "reasonable" given the other discounts/incentives the dealer is getting. If you are paying above invoice, you are getting had.
@@t3h8ar0n Duh , that's not what he said in the video. Walk in a dealership and ask for below invoice. As he said, they will NOT do it. Pay attention SON.
This is my dilemma; do I negotiate from the MSRP including the destination fee? The sticker price on the car that I want to purchase is 32.5 including the destination fee, the salesperson and I decided on 31 thousand, but he wants to add the $1,000 destination fee for a total of 32,000. Is he right to add the 1,000 destination fee? TIA
Well, I am in NJ and about 2 weeks ago I sent emails to five dealers in my area, asking for OTD price break down and did not get ANY response, only phone messages, they desperatelly want you come to the dealership. I was hoping to save time and effort but so far no luck What to do?
How do i get the invoice price of a car I'm ordering from Ford? 2025 Mustang GT premium with performance package and magnaride suspension active valve exhaust ect ect.
Can you provide more information on buying a car that isn’t waiting in the lot. New Cars here are a premium in Florida. I will be looking at a Toyota Prius which can’t even be found on the lots. Is there any way around getting hit with that Market Adjustment?
I do up a spreadsheet and compare invoice to MSRP for the vehicle and options. I then figure out what tax will be on the invoice price w/ any options. From there I determine the holdback and what 5% of invoice would be. My goal is to hit the OTD price that is 5% over invoice minus dealer holdback. Yes it leaves floor plan assistance and advertising assistance on the table, but those are not things I have access to. If I hit my number I feel I made a great deal. It works for me though current market (and the last few years) has forced closer toward MSRP. I outright refuse to pay over MSRP and sadly I considered myself lucky to get my '23 VW Atlas at MSRP after my previous one was totalled.
What is the ratio of Invoice/MSRP? Is there a mathematical formula like Invoice/MSRP = (OTD Price + Hold Back)/(Floor Plan + Sales Incentive + Marketing Allowance)/3.14 ?
Hi Eddy, welcome to the channel! To get more for your trade-in, clean your car, provide maintenance records, get multiple quotes, trade during high demand periods, and negotiate separately from your new car purchase. For personalized advice, visit caredge.com/concierge.
Dealership = LICENSE TO PRINT MONEY💰💰Make no mistake about it, when you enter a dealership’s doors, you just entered into an adversarial relationship! Like the song says….Beware of smiling faces!
If you order a car in high demand, can you still get it close to dealer cost since you are ordering a car and they may not even have any to sell at the dealership?
Is the dealer obligated towards the manufacturer to sell the car at a price that is no less than the MSRP, or is the dealer allowed to charge a price that is lower than the MSRP?
Hi, even without considering certified pre-owned status, used car prices can often be negotiable based on factors like condition, market demand, and time on the lot. For personalized tips on negotiating the best deal, visit caredge.com/concierge. We're here to help!
Hi Dave, our $999 program covers managing the entire process from start to finish until you've found your dream car at a fair price. To learn more about CarEdge Concierge, visit caredge.com/concierge.
@@CarEdge I want to know how much profit you make on it so I can cut your price to the bone and negotiate my best deal. I would prefer you make no money.
Hi Dave. Thanks for asking! We take no compensation from car dealerships, repair shops or automotive manufacturers. We make money from our Concierge Car Buying Service, finance and insurance products, and Insights subscription. If you want to learn more, give CarEdge's Manifesto a read: community.caredge.com/c/start-here/caredge-manifesto
Guess what, if you are not happy paying someone to do all the work, source the vehicle's, get out the door numbers, get rid of the dealer add-ons and market adjustment fees and can arrange shipping, then your time much not be worth much @@DaveKerwin77
How do you ask for the invoice price if you want to factory order? I would like to factory order a Ford Transit. If I use the Ford website to " build" the van it gives me the MSRP. How do I ask the dealer the invoice price? Thanks, Sandy
@@jerrylundegaard2592 according to the video it should be 3 to 5% why do you disagree with this especially since the older gentleman was a car dealer for 30 years .
So it sounds like, since I want a Toyota Corolla, the invoice price is meaningless to me. Because those are some of the fastest selling cars in the US right now.
But that doesn't mean that you can't and won't get a price lower than MSRP. You can't get what you don't ask for, so if you were to know the invoice amount you could still use that information to get a selling price between the invoice amount and the MSRP. All the best, Ray
I have yet to find a dealer who would not show the invoice price for a vehicle I was serious about buying or leasing. Regardless, the invoice price is available from many sources. Makes no difference as dealers pay far less than invoice due to a system of holdback, incentives, floor planning assistance.
Listen guys...anyone who believes the phony paper with an "invoice" price on it is smoking crack. A friend if mine at a florida Toyota dealer told me there are 2 people that know the ACTUAL COST of the vehicle ...the dealer and the comptroller. Everyone else is in the dark. The invoice may be an amount recommended by the manufacturer. Sales is what runs the dealership. Giving away cars IS NOT THEIR JOB.
I'm not shilling, I am extremely proud of and passionate about what we have built and what we are doing in order to level the playing field for customers when they shop for their next vehicle. Is this intended to be a for profit business? Indeed it is, but trying to make a profit doesn't diminish for one second the valuable information and education that we provide. All the best, Ray
@@CarEdge Ray even when we disagree you are always a gentleman. Wishing good weather for you at Ventner City, we will be at Wildwood Crest next week. Peace my friend
As you know, I can and am a jerk sometimes but I do try my best not to be. Sometimes I succeed, sometimes I don't but at least I try. Enjoy the beach next week and yes, hopefully we have great weather!
All of this begins to explain why buying a car is a nightmare. Is there anyone in this world that enjoys trying to buy one ? After a number of years of buying cars new and used, dealers seem to be uncertain how to react, how can a woman be so clued up and how are we going to make any profit from this person. ? I have walked out of a few dealers, very few came running after me. If you don't like their figures jusy keep on walking, the best place for your money is in your bank account, not the dealers.
lol...who do you think the dealer is gonna call back, the guy who walks in well educated on the MSRP, or invoice prices, and knows the car buying process or the a-hole who walks in, lays down a credit card for their down payment and says "my wife wants the white one." None of these techniques will work until your dumb neighbors run out of money. I have gone on 2 test drives in last 3 months. I tried all these techniques, but in both cases, they simply let me walk. Its become a f-ed up game of poker where you can't show your cards at any point, or the sales people just shut you down. Ultimately, I don't have time for these games.
Sounds great but not realistic . Dealers don’t care they will just sell the car to another sucker . Dealers are scammers which is exactly why these guys are giving “secrets” away after they retire lol
Idk if negotiating is a thing anymore. Every time I’ve tried it it’s never worked. Dealers seem to be able to sell to some sucker who doesn’t even try.
That is a major problem and why im glad services/channels like this exist. Informed buyers have simply become not worth their time. Ive had a salesman tell me that its just easier to wait for the potential idiot to walk in the door.
manufacture spend no more than $20k for most expensive cars, and they sell to customers for$90k-100K !!!! that is the ridiculous true. negotiation $2-3K is joking, as you can see Ram is make discounts easy $15-20K, Tundra same way, that means all of this posted tips is bu...it, is more locks like you guys get paid from dealers just to help them sell the overprice junks production
Apparently you don't understand the difference between what it cost the manufacturer and how much the manufacturer then charges the dealer for it. The margins for dealers is somewhere between 8% to 12% depending on the brand, so a car that has an MSRP of $100,000 might have a dealer cost of $88,000 to $90,000, so $15,000 to $20,000 off is only possible when the manufacturer provides additional incentives. And no, we do not get paid by the dealers or the manufacturers. I hope this helps. All the best, Ray
@@rotart12arx3Don’t worry about me, I do buy new cars every 3-4 years , and never pay mark up, always got $5-7k below sticker price without any b…it posted here.
![Lethal Company Music Video 🎵 "Follow The Orders" [VERSION A]](http://i.ytimg.com/vi/QeooZB4Z7RA/mqdefault.jpg)
This is good stuff. Today I got a Nissan Frontier Pro 4x for $5000 under msrp. I used your website to see it had been sitting on the lot of 155 days. They showed me their invoice price (at least what they claimed it to be) which was about $41k and told me my offer (38K) would cause them to lose money. I told them that’s not my problem, your problem is the car has been sitting for over 5 months. I left. Went back today and got it for $38k. When I went to the finance guy, I already had a cashiers check for the exact out the door price, so he couldn’t even try to offer me extra stuff. All things I learned from watching your videos.
Thanks for sharing
Did you use the caredge website?
@@Hirvings i absolutely did to see how long the truck was sitting on the lot. I also used it to see there were two Pro4x’s that were sitting at another nearby dealership for over 200 days. During negotiations, I mentioned I would be contacting that dealer about those trucks in the near future if we didn’t come to an agreement.
lol you got a “deal”….sure you did . Exactly what they want you to think .
@@ChrisVacca thanks for your input buddy. 5k below msrp sounds pretty good to me. I’m sure you would have them give it to you for free.
Thank you to all of you willing to help the rest of us none car savvy car buyers! Please keep up the good work in the education we so desperately need! 😀
We non-savvy buyers need all the help we can get!
Love these type of vids . I think these help the general public immensely
So happy to know you’re satisfied! We’ll keep creating informative videos to ensure you stay informed and engaged. Thank you for your continued support!
There's another potential deduction for slow-selling vehicles called "Price Protection" If the manufacturer lowers MSRP, for example, $1000 during the product cycle, then any dealer inventory acquired at the old MSRP gets a $1000 adjustment. I know because I successfully sued a Ford dealer over this issue.
Just bought a new 2024 car this weekend. Using what I've learned from these videos I negotiated a little over $8,000 off the car!
What’s the secret of not saying what kind of car? What was the asking? And what did you end up paying?
@doncena7193 as far as not telling them exactly what car I wanted, I failed at that, I told them I wanted to see a very specific one. I ended up paying right at $40k for a 2024 Honda Odyssey Sport.
@@johnbagwell5871 was that 40k before or after taxes?
@@doncena7193 after
So in other words, The manufacturer has a huge mark up on there vehicles, especially Pickups and SUV's
Their vehicles will always have markups and hidden fees. That’s where CarEdge is so helpful in pointing them out.
I wish I would have seen this sooner. We walked out of a dealer on Saturday. The salesman kept pushing the OTD price on the 2 cars we looked at and test drove. My wife was undecided on which one and the salesman looked like he was going to force her and I into a decision. I told her if she wanted more time to think about it, we'll come back. He pushed the price again and I'd had enough. I asked if all the upsale things like extended warranty and such were included and he said no. I then said then that's not the out the door price then. We got up and thanked him for his time and left. Now that I see these other things,I'll be better preped next at the next dealership we end up at.
8:23 sis bought a 2024 RAV4 last month, there were only 2 on the lot and 1 was sold just when they were haggling. Needless to say, the dealer was only willing to reduce the mark up from $3000 to $2000; not even the threat of leaving the lot can do any good beause the market simply cannot have enough RAV4s!
Great advice right at the end... you must consider market conditions for the make/model you're negotiating for!!
Exactly. Got a Nissan Frontier Pro-4x today for $5000 under msrp today because I did some research (on caredge) and saw it had been on the lot 155 days. Made a low offer and stuck to it. They eventually agreed.
I'm pretty new to your videos and it seems like you have good stuff. Planning on buying a car during Christmas time. I'm going to keep learning your tips until then. Keep making good videos!!! 😀 Also Happy Birthday
Thanks for all the help. In the market for my first brand new truck and have been doing work online and watching your videos. Found an amazing deal in Texas for a 24 F-150 Lariat. They are supposedly taking off $6400 dealer savings, 2,000 retail customer cash, 900 off low apr retail customer cash plus 500 for military and 500 for student which I am both and has been on the market for 40 days.. seems like a too good deal so will call tomorrow. Will be studying more of your videos
I love you guys! I'm 56 and My Dad Always did my negations and he is no longer with me. I have a little bit of an idea, but I would have been PREY if it wasn't for you two. I thank you from the bottom of my heart. Pamella
I went to a dealership last week and the salesman VOLUNTEERED the invoice price while saying "we never do this." I did not ask for it and to be honest, didn't even know it was a thing so he absolutely didn't have to. I had to chuckle because he was trying to put exclusivity on something that he, again, 100% volunteered to me. It was for nothing though because they refused to go below it even though the car, along with 12 more of the exact same car, had been on the lot for 192 days (and counting as of this comment.)
Hi Nancy, thanks for sharing your experience! It's funny how the salesman volunteered the invoice price to create exclusivity. It's smart to know the car's been on the lot for 192 days; you can leverage that for better deals. If you need more advice, we're here to help!
So, if the invoice price is accurate taking into consideration market conditions, how much is a fair amount of profit for the dealer to make in relation to the invoice price? I don’t expect them to lose money, but at the same time I’d like to pay as little as possible.
It depends on the market conditions. If a vehicle has a high supply and low demand you may very well be able to get that below invoice, a vehicle with average to modest demand, perhaps $100 to $500 over invoice and those in high demand and low supply, hopefully MSRP or slightly below. All the best, Ray
Idk. Are dealerships really gonna give you that invoice if you ask for it? They'll either fudge it up or make it up. I just don't trust dealers at all.
exactly, dealerships should not exist. such a corrupt industry
My wife and I have been to about 5 dealers last week. so far two of them give the invoice before purchase.
I've noticed the larger dealerships are more prone to give you the invoice. You just have to sound confident and that you are coming to buy the car and that you are serious buyer. It's just you live too far to drive around just to find out something that can be emailed.
If one salesperson is not friendly to you just call back and ask for another salesperson. keep track of who you are talking to.
Simple, play a little mind games with them with it..”damn, you guys paid a whole lot with that car”, I’ll check with another dealer, and get back to you.”
@@the_paranormal_factory1812 the invoice price for an identical car elsewhere will be the same at another dealer and any decent salesman will tell you that instantly if you try that. not fooling anyone with that line.
I always thought I’d pay these guys “a few bucks” to help me buy a car. Turns out, their website does , for a grand$$$
Zack, is the "destination charge" as it appears on the window sticker an accurate number? I ask only because the number is identical for every vehicle of the same model on the dealer's lot. No doubt there's a cost to deliver a new vehicle to the dealer. But the manufacturer should want to keep the charge as low as possible because that's how the manufacturer makes money - by the dealer selling as many manufactured cars as possible. But depending upon how many cars are delivered at any given time, and depending upon the dealer's volume of sales, it would appear the delivery cost to the dealer may actually be less. If true and the delivery fee remains the same on the sticker of all vehicles, then the manufacturer can recover the actual delivery cost and the remainder of the fee can be accrued as additional dealer profit. The dealer always tells the customer that this fee is a fixed cost and is, therefore, non-negotiable. I'm confident your Dad knows the truth here. What's most important here is if there's a hidden dealer profit in the destination charge, which is not cheap, it's gives the buyer additional leverage to negotiate down the window sticker price (MSRP). Nobody has asked this question, and I can't get an honest answer. Thank you, Zach.
Thomas, the dealer is charged the same exact destination fee as it appears on the window sticker and it is broken out as such on the invoice. The invoice will list the wholesale cost and retail cost of every line item and when it comes to the destination charge both wholesale cost and retail costs are identical. The hidden profit in the destination charge is a manufacturer profit and not a dealer profit. We have written extensively about the increase in destination charges and how they add additional profit for the manufacturer. All the best, Ray
@@CarEdge Thank you, Ray. That was especially nice to receive a prompt and detailed reply. My best to you and Zach always!
You're welcome@@thomasc4777 . We're glad we could help. Your kind words mean a lot to us.
Love the promos!!
Video request (apologies if you already have one) - this is invaluable info for new car purchases...but I'm one of those guys that will never eat that depreciation. Have any similar 'here 's what they're getting that you don't know about' on the pre owned side of the house? Even just how to use kbb/jd power to your advantage instead of theirs would be interesting.
Love the content. You guys and some of the other RUclips car community saved me 15% on sale price and 50% on trade in on a car today!
This really does sound great, as noted at the end of the video if you're interested in a low availability vehicle, Toyota Highlander Hybrid, as a specific example and the dealers aren't getting allocated many if any, what kind of offers / negotiation if any is really available in these cases?
Just curious - Some of these dealerships are HUGE operations/facilities with dozens of employees, along with an obvious very large overhead to sustain the business. If a dealer sold cars at invoice, and passed all manufacturers incentives to the customer, what pays all the salaries and overhead costs of the dealership?
Because the invoice is what is called a high bill! It's not true dealer cost! It's a scam that's been going on for ever!
@@stevenwagner8607Did you read and comprehend his question? CIAO!!
@shackrat2331 The actual dealer cost on any new vehicle has to be substantially lower than any invoice/MSRP price that they state - otherwise a dealership couldn't stay in business, let alone make a profit after expenses. Correct, that's the point.
It's simple. Because not all vehicles get sold at, or below, invoice cost. Some car deals are money-makers & others are not. The good deals (& the profit from both the finance & service departments) pay the overhead & the bad deals keep the volume going & help towards monthly objectives.
The words "Invoice price" doesn't even come up when dealing with dealers. They usually only point out the MSRP and most won't even go below that price let alone invoice price and not to mention "Under the line moneys". You'd have to be a seasoned car salesmen to know the entire process of how it works to even think of NOT getting taken advantage of.
How do you know what the market is paying for a vehicle?
a lot of this stuff works with lower end manufacturers with popular cars like Toyota that are new. But try to get something rare and used from zee germans and this all falls apart. I'll give you an example I have had a Hell of a time trying to get a 2019 C43 AMG convertible with 30k miles. They want $38,000. I tell them I will bring them a check for $39 OTD. They, paused and said ok we will take a look at it. Went back to the finance managers office directly and he printed out a sheet and said this is the best we can do, you can take it or leave it. Or if you want to be serious about this auto mobile we can talk about financing through MBFI. I said, I will leave it. It was $43,750. Car was sold a week later.
If a 2023 toyota prius is sitting on the market for 150+ days? Does that give me any room to negotiate the price?
Do you guys get peoples contract and review them to see if they got a good deal or not what they did wrong or somewhat
I'd shared the invoice price given the right situation and the right sale, but if you start asking me about the other back end stuff you're probably gonna be dismissed kindly unless it's a vehicle they really really need to move for some reason.
And we wonder why the car industry can’t sale cars right now! 😂
My transmission is suddenly going out on a car that has 102,000 miles. I hope I win the free car edge service! ❤
So I'm probably going to be closing on a deal on Monday (I'd do it tomorrow if the dealer was open) and on their website it shows a market adjustment of a -negative dollar amount. This particular car has been sitting on the lot for hundreds of days and the model is not selling very well at the moment from what I can gather. I assume I should demand this negative market adjustment if it is not on their first offer.
I would make an offer even lower than the adjusted price. They may still make money from end of month sales quota etc. It never hurts to ask
How can I get an extended warranty from the car edge in Massachusetts?
Does all of this work for used cars? How do we manage getting a lower price on a used vehicle?
Thoughts on used car negotiations?
Should just be simplified. Dealer here is your total cost. Here is the MSRP. You sell it for what you want. Above or below MSRP. The difference between total cost and selling price is your gross profit.
What percent above invoice is reasonable? What percentage? How do we know it's the real invoice? I've heard there are more than one.
Below invoice is "reasonable".
@@t3h8ar0n Duh, I didn't ask that . I asked above what is the percentage.
@@elliottjameson5405 And "duh", I answered that question - there isn't a percent above invoice that it "reasonable" given the other discounts/incentives the dealer is getting. If you are paying above invoice, you are getting had.
@@t3h8ar0n Duh , that's not what he said in the video. Walk in a dealership and ask for below invoice. As he said, they will NOT do it. Pay attention SON.
Elliot is right and you guys deserve the duh comment. Percentage is what we need to know so duh give us percentage!!😮😮😮
Does this mostly apply to new vehicle ?
This is my dilemma; do I negotiate from the MSRP including the destination fee?
The sticker price on the car that I want to purchase is 32.5 including the destination fee, the salesperson and I decided on 31 thousand, but he wants to add the $1,000 destination fee for a total of 32,000.
Is he right to add the 1,000 destination fee? TIA
thank you!
Well, I am in NJ and about 2 weeks ago I sent emails to five dealers in my area, asking for OTD price break down and did not get ANY response, only phone messages, they desperatelly want you come to the dealership.
I was hoping to save time and effort but so far no luck What to do?
How do i get the invoice price of a car I'm ordering from Ford? 2025 Mustang GT premium with performance package and magnaride suspension active valve exhaust ect ect.
Can you provide more information on buying a car that isn’t waiting in the lot. New Cars here are a premium in Florida. I will be looking at a Toyota Prius which can’t even be found on the lots. Is there any way around getting hit with that Market Adjustment?
Does this go for used cars also?
Curious as well on pre-owned...
No it does not, the manufacturers do not charge the dealer anything or give them back anything.
I do up a spreadsheet and compare invoice to MSRP for the vehicle and options. I then figure out what tax will be on the invoice price w/ any options. From there I determine the holdback and what 5% of invoice would be. My goal is to hit the OTD price that is 5% over invoice minus dealer holdback. Yes it leaves floor plan assistance and advertising assistance on the table, but those are not things I have access to. If I hit my number I feel I made a great deal. It works for me though current market (and the last few years) has forced closer toward MSRP. I outright refuse to pay over MSRP and sadly I considered myself lucky to get my '23 VW Atlas at MSRP after my previous one was totalled.
Any suggestions for a good online vehicle source?
Do all these assistance amounts apply to used cars?
What is the ratio of Invoice/MSRP? Is there a mathematical formula like Invoice/MSRP = (OTD Price + Hold Back)/(Floor Plan + Sales Incentive + Marketing Allowance)/3.14 ?
Am moving to Puerto rico and there prices are all over due to high import tax how you find real invoice price?
Just found your channel. Just before i was thinking of buying a new car. Is there a way to get more for a trade in?
Hi Eddy, welcome to the channel! To get more for your trade-in, clean your car, provide maintenance records, get multiple quotes, trade during high demand periods, and negotiate separately from your new car purchase. For personalized advice, visit caredge.com/concierge.
Dealership = LICENSE TO PRINT MONEY💰💰Make no mistake about it, when you enter a dealership’s doors, you just entered into an adversarial relationship! Like the song says….Beware of smiling faces!
If you order a car in high demand, can you still get it close to dealer cost since you are ordering a car and they may not even have any to sell at the dealership?
I was curious when is the best time in the negotiations, to bring up my trade in?
They have a lot of other videos that will cover that.
Is the dealer obligated towards the manufacturer to sell the car at a price that is no less than the MSRP, or is the dealer allowed to charge a price that is lower than the MSRP?
"Suggested" vs invoice (cost).
Dealers always set the price they will accept. MSRP is irrelevant. Of course astute car buyers always pay the price they will accept.
@@TheUMIA Invoice is not the dealer's cost. Holdback, various incentives, and/or floor planning assistance results in a much lower amount.
@@jerrylundegaard2592 Ah
What is the best reliable low maintenance car in y'all opinion
Toyota Corrola, next question
I got 5% off msrp on bmw x5. Is this good deal?
Assume certified pre owned does not come into play here. But can it be more negotiable?
Hi, even without considering certified pre-owned status, used car prices can often be negotiable based on factors like condition, market demand, and time on the lot. For personalized tips on negotiating the best deal, visit caredge.com/concierge. We're here to help!
What's your invoice cost of the $999 program you're offering?
Hi Dave, our $999 program covers managing the entire process from start to finish until you've found your dream car at a fair price. To learn more about CarEdge Concierge, visit caredge.com/concierge.
@@CarEdge I want to know how much profit you make on it so I can cut your price to the bone and negotiate my best deal. I would prefer you make no money.
Hi Dave. Thanks for asking! We take no compensation from car dealerships, repair shops or automotive manufacturers. We make money from our Concierge Car Buying Service, finance and insurance products, and Insights subscription. If you want to learn more, give CarEdge's Manifesto a read: community.caredge.com/c/start-here/caredge-manifesto
Guess what, if you are not happy paying someone to do all the work, source the vehicle's, get out the door numbers, get rid of the dealer add-ons and market adjustment fees and can arrange shipping, then your time much not be worth much @@DaveKerwin77
@CarEdge sounds like you're turning a profit on people. Can you do a video about why profit it wonderful?
I just bought a 2005 Chevy cobalt with 99,000 miles for 3k did I over pay ?
what about on used cars
Does BMW get Hold Back? I read they get 0%, thanks.
How do you ask for the invoice price if you want to factory order? I would like to factory order a Ford Transit. If I use the Ford website to " build" the van it gives me the MSRP. How do I ask the dealer the invoice price?
Thanks,
Sandy
So for an average automobile how much over invoice should I pay.
Zero should be your goal. Even at invoice, dealers make big profit.
@@jerrylundegaard2592 according to the video it should be 3 to 5% why do you disagree with this especially since the older gentleman was a car dealer for 30 years .
Do you feel that the Costco Auto Program provides customers with a good buy on new vehicles?
The dealership will just sell to the next uniformed person, they will hold the door open for you on your way out !
sure, during times of high buyers... doesn't last forever.
So it sounds like, since I want a Toyota Corolla, the invoice price is meaningless to me. Because those are some of the fastest selling cars in the US right now.
But that doesn't mean that you can't and won't get a price lower than MSRP. You can't get what you don't ask for, so if you were to know the invoice amount you could still use that information to get a selling price between the invoice amount and the MSRP. All the best, Ray
My one offer is take it or I'm walking away!
most dealers are not going to tell you the invoice price. they dont want you to know that.
I have yet to find a dealer who would not show the invoice price for a vehicle I was serious about buying or leasing. Regardless, the invoice price is available from many sources. Makes no difference as dealers pay far less than invoice due to a system of holdback, incentives, floor planning assistance.
Correct sir! The invoice or as its known to car dealers the high bill is usually much higher than actual true cost anyway @jerrylundegaard2592
Listen guys...anyone who believes the phony paper with an "invoice" price on it is smoking crack. A friend if mine at a florida Toyota dealer told me there are 2 people that know the ACTUAL COST of the vehicle ...the dealer and the comptroller. Everyone else is in the dark. The invoice may be an amount recommended by the manufacturer. Sales is what runs the dealership. Giving away cars IS NOT THEIR JOB.
Poor Ray Zach has this decent man shilling for him now
I'm not shilling, I am extremely proud of and passionate about what we have built and what we are doing in order to level the playing field for customers when they shop for their next vehicle. Is this intended to be a for profit business? Indeed it is, but trying to make a profit doesn't diminish for one second the valuable information and education that we provide. All the best, Ray
@@CarEdge Ray even when we disagree you are always a gentleman. Wishing good weather for you at Ventner City, we will be at Wildwood Crest next week. Peace my friend
As you know, I can and am a jerk sometimes but I do try my best not to be. Sometimes I succeed, sometimes I don't but at least I try. Enjoy the beach next week and yes, hopefully we have great weather!
All of this begins to explain why buying a car is a nightmare.
Is there anyone in this world that enjoys trying to buy one ?
After a number of years of buying cars new and used, dealers seem to be uncertain
how to react, how can a woman be so clued up and how are we going to make any
profit from this person. ?
I have walked out of a few dealers, very few came running after me.
If you don't like their figures jusy keep on walking, the best place for your money
is in your bank account, not the dealers.
What I’m seeing now it’s that they want to sell me the car for 3k or more of what is listed
My gosh! It hardly makes any sense to walk into a new car dealership.
lol...who do you think the dealer is gonna call back, the guy who walks in well educated on the MSRP, or invoice prices, and knows the car buying process or the a-hole who walks in, lays down a credit card for their down payment and says "my wife wants the white one." None of these techniques will work until your dumb neighbors run out of money. I have gone on 2 test drives in last 3 months. I tried all these techniques, but in both cases, they simply let me walk. Its become a f-ed up game of poker where you can't show your cards at any point, or the sales people just shut you down. Ultimately, I don't have time for these games.
Sounds great but not realistic . Dealers don’t care they will just sell the car to another sucker . Dealers are scammers which is exactly why these guys are giving “secrets” away after they retire lol
Idk if negotiating is a thing anymore. Every time I’ve tried it it’s never worked. Dealers seem to be able to sell to some sucker who doesn’t even try.
That is a major problem and why im glad services/channels like this exist. Informed buyers have simply become not worth their time. Ive had a salesman tell me that its just easier to wait for the potential idiot to walk in the door.
@@no-wr6bj which makes me sad.
Since when will a dealer give anyone the real cost?
Second
Just a point don't look like you just came from the gym in the videos
What are you talking about?
Recommending that anyone enter a dealership is totally bad advice. They need to contact Car Edge or Costco.
I really don't trust car edge either
Costco, yes. No way sams
You cannot buy using Costco without entering a dealership. Costco does not sell cars.
You are seriously overthinking (& over-complicating) the car buying process.
This is why I don’t look to buy a car until I have 100,000 miles on my current ride.
Dumb idea 😢😢😢
The green screen be doing your dad's hairline dirty
manufacture spend no more than $20k for most expensive cars, and they sell to customers for$90k-100K !!!! that is the ridiculous true. negotiation $2-3K is joking, as you can see Ram is make discounts easy $15-20K, Tundra same way, that means all of this posted tips is bu...it, is more locks like you guys get paid from dealers just to help them sell the overprice junks production
Apparently you don't understand the difference between what it cost the manufacturer and how much the manufacturer then charges the dealer for it. The margins for dealers is somewhere between 8% to 12% depending on the brand, so a car that has an MSRP of $100,000 might have a dealer cost of $88,000 to $90,000, so $15,000 to $20,000 off is only possible when the manufacturer provides additional incentives.
And no, we do not get paid by the dealers or the manufacturers. I hope this helps. All the best, Ray
Traditional OEM’s don’t sell to retail customers. Vehicles that have a high manufactures rebate are cars that no one wants. CIA0!!
You really don't know anything how the business works. Guess you won't be buying any new cars soon with that mentality.
@@rotart12arx3Don’t worry about me, I do buy new cars every 3-4 years , and never pay mark up, always got $5-7k below sticker price without any b…it posted here.
Dealer tissue, yes?
wool socks to bed = new experience of life level sleep🧦🟫