Here's Why You NEED to Know the Out-The-Door Price Before Buying a Car (Former Dealer REACTION)
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- Опубликовано: 26 сен 2024
- joinyaa.com
Today Ray and Zach react to a video that explains why customers are wasting their time by asking for, and negotiating the Out-The-Door Price.
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I remember going with my father to purchase a laptop and he negotiated the OTD price. They shook hands and went to the cashier. At the cashier, the sales man tacked on the tax and my dad argued and left. My father was like "he will call me watch" 10 minutes later he called us back.
The last two vehicles I purchased I told the salesperson up front, after finding the exact model I wanted, to just give me the best "out the door" price. I already had a price I was willing to pay in mind, and it saved both of us time. I wasn't really in need of a new vehicle anyhow, so if I didn't like the price I just said thanks and have a nice day. My haggling days are long over.
Completely agree with these guys. OTD - Cash Down Payment = Amount to be Financed. Those are the only numbers that matter to me. Just bought a 2022 Genesis G70. Had the OTD number within 10 minutes and did the deal. 2.9% financing. No gap.
Gimme the OTD price or I will walk OTD!
🤣🤣 that’s right!
@@ChuckIttOut Wouldn’t that be cool on a T-Shirt 🤣?
@@kimdavis5631 Yes, especially if you wore it to the dealership!
Ha! Exactly!!!!!!
@@kimdavis5631
... Lol. There was a dealership that would give out a sticker saying "Just looking". I used to put that on my dress shirt when I'd go out nightclubbing.
Stop trying to stifle your dad’s negative reactions! They’re refreshing.
THIS
Exactly.
I agree. I miss brutal honesty.
I agree... the son should take his own advice. He comes across condescending to his father... in practically every video. More interested in watching his dad then him
I agree, but.... Probably done in a effort to take extra measures to prevent retaliatory attacks from other RUclipsrs. It’s a fine line to walk as a content creator.
When I first watched Manny's video, I had the same reaction as Ray. I'm not even in the car industry. Glad that I forwarded it to you guys!
Manny ran with a click bait title to get views and click throughs.
Hey I forwarded it to them I’m not you imposter
What Manny is saying doesn’t even make sense & it shows he has no clue what he’s talking about. Lol. It sounds like he is very ignorant &/or just wanted a clickbait video. Sales tax & rebates are not hard. This is literally 2nd grade math. Lol.
I asked 5 toyota dealer in the tri-state area for OTD price on a 2021 Toyota camry SE one give $27700 the other $30700 and the other 3 keep asking to call or come to test drive the car.
There's no use of test drive in the car if you already like it it's psychological to get you emotionally involved to where you will want the car and willing to pay thank you I'm glad that you know this I love my educated consumers!!
OTD = the final price including everything. I have been doing OTD deals on my vehicles since 1997 and have never made a mistake. I do my homework and know what is an acceptable OTD price and if their offer is good then I buy, if not then I am out the door without buying.
Otd including tax and fees correct?
@@2K5Cesar Includes everything!
So do you negotiate the price and if you like the price then do you say what’s the out the door cost
@@92natally I tell the salesman up front that I will only negotiate for an OTD price and will not discuss trade-in/loan source & amount until after a agreed on price is set.
I'm trying to buy a 1-2 year old car(out of state) and the internet car sales price, is a nice reasonable price on Cargurus, Carmax etc, and when I ask for the OTD price, they jack it up $3k with dealer nonsense and won't negotiate. It's no longer a good deal. They advertise a low price, just to get you to contact the dealership. I wish the state regulators would make that illegal. If they advertise a price, that should be the OTD price, less taxes etc.
Here's what I did when buying my new 2019 SUV. I told the dealer I was only working with the OTD price and I would be dividing that OTD price by the Monroney label. And I would be getting a minimum of 3 quotes from dealers, just like you would do for a major project on your house. In this case I had no trade in and there were end of model year discounts so my quotes ran from 88%-91%. I went with the 88% quote, and the salesman never asked how I was paying. After agreeing on the price he hands me a credit app. Then I informed him I was paying with a check. The look on his face was priceless, he had to go confer with his sales manager. But they didn't try to back out, I got the SUV for that price.
You did well. Generally speaking if you get 8% off of MSRP that's good but then tax and fees plus whatever bump they get back from the bank is some of their profit. If you bought at 88% of MSRP/Sticker with tax and fees included you scored... Granted if there were decent rebates, end of the model year discounts, etc. Maybe not so much but part of every "good car deal" is how the customer feels at the end of the transaction.
Good job . My father had a dealership. Today they hide their true price. Out the door only determine whether it’s acceptable or do you keep on searching.
I like these guys but they do not really know owners cost.
How I wish I had you guys around the last time I bought a car (12 years ago). I'm buying a car again in the near future and won't make the same mistakes! Thanks for all the great info!
You guys need to keep doing this. Ray's reaction and faces are priceless!
I agree, out the door price is important especially if you are on a budget.
What I heard him say was that the reason that an individual might not comprehend why the OTD approach is not as good as going through the details is that the process is too complex for the average person to understand. The truth is that the OTD is the end state of all of the details which prevents the system from dazzling the buyer with BS.
Yes Toyota started talking about their vehicle protection I stopped the salesperson and told him I'm not interested in that and then they said it wasn't optional and it's two $2,000 markup then they said we can order you a vehicle so not to be trusted 😆😵💫
Just in case you guys are taking a pulse on this, I used one of your templates to ask for an OTD price and I got a rate with all taxes included in the summary.
What’s that template please?
Wow, I missed you guys! It’s been 3 years since I bought a car and y’all popped back up now that I’m looking again! ❤❤
Great job Rey! Thanks for saying what you think and NOT worrying about people's feelings!!!!!
I have read multiple books, and my #1 statement to dealers, is out the door price. In doing this I shop a minimum of 5 dealers, without ever going the the location. All with very close or exactly the same MSRP...
Once you buy, the is only half the battle. I tell them I am NOT going to the finance office for thousands of add ons.
When I bought my Lexus, they just preped the car and I drove away, because they knew I wasn't going to be their next meal ticket...
At least 5 different dealers is the key, and tell them you want their best price at least a day before you actually are going to finalize any deal. Over the years, I have found if I tell them I'm closing the deal on a Thursday, they call Friday with their best price....
He’s offering information that can only add to your knowledge. I appreciate it.
When I bought my last car in 2016 I had a lot of dealers not giving me the out the door price when I asked for it. I also had a dealer include all possible discounts not ones I qualify for and not reduce my price by that value. It was awkward to walk out when we were ready to purchase but worth it in the end.
You guys are splendiferous!! Thank you for your time and effort on these videos.
That dude blows! I will keep watching you guys cause you are the Best!!👍🏼👍🏼
Wait. I've worked for Best Buy since 2014 and haggling on TV's doesn't happen. There's very little actual margin, which is why the old home theater department measured success in revenue, not margin. I'm not convinced of that story unless his manager was cutting deals on protection plans. Seems odd.
Idk anything about buying a car and this video you showed us makes no sense from my standpoint. I like what you two teach
Ray, the h**l with prettying up your comment! Zack your father wasn't saying anything offensive at all. People are so damn sensitive about everything nowadays!
Especially when it comes to speaking the truth! You guys are providing a valuable service.
The service of providing true information. And it's nice to see the father son relationship! Kudos and thank you both. 👍✌
I totally agree with you guys. My parents purchased a car using out the door price and got a great deal. The local dealer who matched it suddenly dropped the price of the car from the postering that they used earlier.
I believe Manny's point is this: Dealer's don't want to go to the trouble of getting you the OTD price, whether it's due to it being too much work to calculate or some other reason. Additionally if they do give you the OTD the first time, they'll be less likely to give much thought to a second/third round of negotiations based on what it took to gather the info for the 1st OTD price quote they sent. But if you only negotiate the car sale price then the dealer will go back and forth with ease knowing that the only thing being discussed is the car sale price. After the car sale price is agreed upon, then you can go to F&I and negotiate those fees. So Manny is saying getting the OTD is convenient for the buyer, but could run away some dealerships because they don't want to negotiate that way. I see his point.
I saw it this way, too. Basically you are asking, up front, for a firm price from the dealer, leaving them no room to negotiate. As a buyer, you need to do some work, too (and, to be fair this channel provides a bunch of tools to do so).
@@TomMarvan No an OTD price is not a firm price. It is the start of negotiations.
Its not hard, there are literally calculators online that do it and most dealerships have computer systems that draw it up. Only in a really small dealership would you need to draw it up by hand and even then you could create a template, and modify off of it.
@@craigfin3222 I still go with Darrell’s interpretation. If you are asking for OTD price, you are suggesting let’s not waste time negotiating, give me your bottom line, and let’s wrap it up. This happened just today (nearly everyday, now) The customer was offered the bottom line, he said no, and it was sold to someone else at that price. Of course In this case there were other buyers - just hand them the keys and let them take a spin around the block and decide yes or no. These are unprecedented times. Cars are flying off the used car lot, in person or online.
I’ve gotten out the door prices in less than 10 mins from dealers. It really isn’t much effort. It’s way more effort for them to do a back and forth and slowly tack things on. I’ve further negotiated the out the door prices (and specific items that make that price). It really isn’t that difficult from the consumer side nor the seller side.
OTD is the only thing that matters. I don't make lending decisions on the Sales Price.
Ditto!
I have been asking or OTD pricing since I bought my first car. Love your channel. It reminds me a little of listening to car talk.
Been binge watching you guys for the last month, if not longer! Going this weekend for my second attempt at getting a new lease. Wish me luck!
Good luck! Thanks for watching!!
I'm in the market too (for a purchase). Good luck, Corey!
371 videos posted. That's a lot to binge watch. Best of luck on your car shopping experience. Hope you get a great deal.
@@larryro I'm still trying to catch up from starting videos in Jan...and now my debacle F-150 factory order friend frequently interrupts my binge watching😳! Told her to go w/ Toyota🤣
Best of Luck Corey! Share w/ everyone how you make out this weekend
Not sure how these vids ended up in my recommended but I’m enjoying them and agree with the comment about letting your Dad be himself and speak his mind in his way.
Ive gone to best buy for decades and I have never been able to negotiate a price ? Maybe you could on an item on the used/ return shelves they use to have, but never on a new item
Wouldn't it be less stressful to have a set price? No negotiating. If like that price at that dealership then buy if not go to another dealership. Why does it have to be so complicated?
I needed a television, shopped around and bought one for price I was happy with. Why are vehicles different?
Well there aren’t TV salespeople and finance managers trying to make commission off of your purchase. It’s the industry that is different.
@@vee_grave Correct, but WHY?
@@Sunset1705 Because the vast majority of car buyers focus on monthly payments, which allows the dealerships to manipulate the prices, finance terms, and bake in a bunch of high profit add-ons. If they can make a ton of profit off of 9/10 sales, they'll begrudgingly take a hit on the other 10% in order to move more vehicles.
@@Sunset1705 cars cost more than TVs. Pretty obvious.
Too funny. I watched that video of myself a day or two ago and wondered what you guys thought about it, so I was happy to see you reviewing it. I have learned a lot from you guys and appreciate it very much. In the middle of negotiating a deal myself right now.
I like having the OTD price BEFORE I step foot into the dealership. Covid has made that so much easier in today's market. Personally, I do not want the taxes mixed into the number-I know how much my state tax rate is. The buyer should always control the deal. Negotiate the deal online and you have the OTD before you even arrive.
Here's a tip-Carvana is paying much more than your dealer could even think of paying for your trade. I'm in the process of buying a new Subaru Legacy Limited XT model. The dealership could only pay what the book told them (I already had the OTD before telling them-"oh yeah, I think I will trade in my old one." Carvana offered me $4,125 MORE. They really couldn't believe it at the dealership and I still don't think they do. I'll take them a copy of the transaction when Carvana picks up my car tomorrow. So, if you are thinking of trading-be sure and check with Carvana.
So Carvana is then going to be charging way more for your car when it sells it on . They are overpriced so no one should buy from them . They are already $4000 over book value on your car then the cost of picking it up ,servicing it and then they have to add profit before they sell it . Whoever buys your car is getting ripped
@@sarahann530 that’s exactly why they’re going out of business. Their business model isn’t sustainable at all.
I love how Ray is wincing. I had the same reaction. I just walked out of a Benz dealer (2 days ago) because the sales rep was uncomfortable with me asking for the OTD . the rep actually started to quote the mission statement when I started to ask questions. needless say .... I'm not buying that particular car at that particular dealership.
Dodged a bullet, don’t buy a Benz lol
What dealership? PUT em on BLAST
Wow that's a joke I asked about the invoice price I think that's what the dealership paid Toyota refuse to give it to me so I left because if they could be so transparent and tell me how much they paid for it eyes are they'll probably be decent enough to give you a good deal but when they didn't that was a red flag
@@Jhnzo_ Sort of... Chrysler Dodged Daimler Benz and ruined the product and the company.
@@jeffhildreth9244 Chrysler and Benz are both dumpster fires. Neither one make a decent product
I've been looking at some 1 -2 year old SUVs lately to purchase. (I never buy new). Maybe you guys should do a video about that. One thing I've noticed in the last several weeks, these dealers have marked up the prices so much that if they dropped by a few thousand, they would still be making money. They have become greedy! the good news in the last week or two, I've been getting notifactions that they are dropping the prices by $1,000 to $2,000 at a time. They know the market is changing. My advise, don't jump into anything. wait it out if you can.
Ask for invoice price, ask how much they want over invoice, AGREE ON A PRICE. thats it. EVERYTHING IS INCLUDED IN THAT NUMBER AGREED ON. TAXES, REBATES, DISCOUNTS, etc...
So glad I've been watching you guys for almost a year, this guy is disheveled. I wouldn't want him to teach my kids in school.
Who knows - perhaps he can teach that "new math" common core stuff really well.
I believe Ray hit the nail on the head at the start of the video. Your definition of out the door and what he'd have you (us) believe are totally different. The Guy in the video was a Mercedes Salesmen. I'd be willing to bet he had to deal with a lot of A Type personalities who came in and said like, "Now listen son. I'm a busy and incredibly (self) important man and don't have time to waste with you. So, just bottom line this for me so I can go back to doing what really matters." Either that or it's what he'd like US to believe the out the door price means. Sounds to me like he's still trying to sell stuff. Jus sayin
1) never be in a hurry to buy your next car, 2) once you research (and test drive) the cars you are interested in and figure out all the options you want in the car. 3) go online and figure out what the cars like the one you want are selling for OTD or off MSRP, and know what rebates are available etc. 4) start emailing dealers within a 50 mile radius on a car they have on the lot and available with the options you want, 4) get a OTD quote on them. 5) once confirmed, pick up the phone and go over all the details, as to avoid any miscommunication or confusion. 6) once Price is solidified, go buy your car. if you happen to have a trade in, know the minimum you are willing to accept, research. internet is a wonderful thing in today's car buying adventures. You throw everything out the window if you need the HOT car (new corvette mid engine), where there is only insanity prevailing.
Thank you.
That video is like his first encounter with OTD price at Bestbuy, he's fresh, he'll learn.
You guys gave me a mountain of knowledge that I wished I had a month ago when purchasing my 2018 Jeep Grand Cherokee . I should’ve immediately left once they told me the car I was interested in was already sold and that they were doing inventory check ups and lost the key to the only other Grand Cherokee they had. But I was ignorant in all of this because this was my 2nd car purchase and 1st used car purchased. After 4 hours they find the key to it and it’s odometer had 59k miles on it, but the cars guru listing on their computer said only 30k miles and was listed at $25700. They checked the car fax etc and we found it to be clerical, at least I believed them when I said so. I tipped my hand with expressing I wanted to trade in my 2015 sonata with 23k miles on it. All of a sudden they came back with a disclosure form for us saying that the price of the car was 30k now. We asked why, they said the internet price was 25k but they always tack on the 3k for whatever reasons. I don’t know why I accepted that bullshit but I did because I thought that was the otd price thinking okay, my car is worth 15k, they agreed to that and I had another 6k to put into it. They take another 4 hours to run credit and my title for my sonata. I should’ve came pre approved because my gf and I have excelllent credit 730 and 820 respectively but we were approved through their bank “ally bank” for only 5.84 percent because of the fed increasing interest rates and I accepted that, I accepted their bullshit vsc for another 4k and I also accepted the other fees they had listed there and the total came up to 37k. For a 6 year loan. After all of the trade in and down payment we still owed 18k because of the 3k of interest and I signed the bullshit because I had to pick up my kids and it was 7 pm and we’d been at the dealership since 10 am. As the days went on I instantly felt the regret about all of this. I had blinders on for this 2018 Jeep Grand Cherokee and I was rushing to get it done because we need the space for the kids/ two weeks after the purchase I hear the front brakes squeak, mechanics says they’re worn out. The high beams make this low humming whenever they come on. I realize their inspection sticker is dated for march 2022 but I bought it at the end of April 2022 and they charged us for an inspection but I don’t believe they did one because of the brakes problem after 2 weeks. I’m trying to correct it by learning all of you guys tactics and techniques or refinancing but I don’t want to correct a poor decision by making a poorer decision.
I here ya brother. I was about to get ripped off on a new car I was about to purchase last month. They were selling it at 33K with a discount of 2K so 31k in the end. I walked out because I wanted to get more informed before committing to anything
Turns out the car is actually worth 24k
They added a 10K mark up
Insane
I always figure out the OTD price before going to the dealership and finalize the deal. Usually the invoice plus a little extra, plus the tax and doc fee that the dealer has stated. But so far most of my cars are below invoice and my OTD price.. oh well, those were the good years for car buying
Just watched this video. Car Edge popped up immediately after. Agreed. OTD is not looking at just one number. Gotta look at the break down that leads to the OTD.
The dealer especially should know what all the fees are. OTD is asking for full disclosure which a buyer is entitled to, it’s their money they’re spending.
Know what you are willing to pay, stick with that number.
I am SO glad you two have done this video. It shows us that there are others out there making videos that do not make a bit of sense. You videos have been the most honest, clear and informative ones out here. Thank you for your honesty
If you buy a car or truck out of state, when you go to get the registration & plates the car or truck in your state you will pay the sales tax for your state even if the state you bought the car or truck does not have a sales tax for cars & trucks. It is a great big pain in the ass to buy a car or truck out of state. I know. I have done this before & it drove me nuts waiting on all the paperwork to get from the out of state dealership to my state so I could my truck registered in my state.
THIS IS EXACTLY WHY I HATE CAR DEALERSHIPS AND SALESMEN!!!! SO CONFUSING!!!! I ALWAYS FEEL LIKE THEY TRY TO GET OVER ON YOU!!!
Because they do. They do try to get over on you. It's sad. Sleazy people. I can't stand dealerships nor salesmen. Unfortunately, I'm in the market for a car and I must deal with them. Ugh
The customer didn't make an offer. He asked the salesman to work it up and tell him.
I've been asking for that right off the back. Some provide It, some evade it.
most want you to fill out a credit report first I can figure sales tax and doc fee rest I can't lic plates dmv title
Walk out if they don’t give it to you.
@@youtubecarspottersguide1 The reason why is because they want to pin you to your "payment" and see if you "qualify" for higher interest longer term financing or can finance significantly over what their selling price would be. The best way to deal with that is to tell the dealer that I don't want to impact my score and that I'm just starting to shop so if you can't give me an OTD price I'm leaving. That's why I don't deal with "most" dealerships - for the brands I buy I've built a good relationship with some sales people - we skip that crap.
@@Scotty_in_Ohio shop few dealers in a 300 mile range ,give them my zip code ' best price otd " good guy discount, fleet ,government price etc. before the email days. il give you $200 over invoice or offer the msrp otd . made a offer once of $18888 otd dealer " how did you come up with that price ?' I said" I liked it" give me your best price in deal review, fold it and put it in a sealed envelope il look over it. some dealers used to say we will match or beat any deal or if you can find a better deal. in 2 days we will give you the def in cash .just see me first so can gat a chance at the deal we will not be under sold
I agree that you need the OTD price. This literally will save your ass. Understand that dealers will do whatever they can to add bs to your car. Unfortunately it’s how it goes. I just bought a car and they kept increasing the price and I said wait a minute this doesn’t match the OTD. So they had to go back and change the price. Only pulled this once. They are very sneaky and will try to pull a fast one. Once you agree on an OTD. Do whatever you can to go to finance and sign the contract for that OTD. This is when you reveal how you will pay for the car. Do not disclose that in the beginning because they will use that against you. I made that mistake to let the dealers know how I was going to pay and they were doing whatever they could to change my monthly payments and try to add so much crap, But because we agreed on the OTD price beforehand I just kept sticking to that price. It was a hassle and took me about 3 hours and this was with me knowing what I wanted. They will try and wear you down mentally. It’s crazy. Be strong.
If anything it’s smart as hell to get the out the door price that way you know how far on or off budget you can be come correct I do appreciate what a lot of these videos bring to the table because they do help out
So do you negotiate the price and if you like the price then do you say what’s the out the door cost
turned niece onto ur site ~ fantastic breakdown ~ Keep’em CominG
I ask for OTD before I go to the dealership. Then all I negotiate when I get there is the final OTD. Won't even talk about the sale price. This saved me on the truck I just bought. I got to financing and the price was suddenly higher. The guy tried to tell me it was because of registration fees and asked me if the sale price was what I negotiated. I said I don't know, I agreed on the OTD. He got his manager, and it magically was fixed to the OTD I negotiated. No more questions asked.
OTD door price at a Mercedes dealer is the MRSP plus all of the dealer add ons. In other words take it or leave it. :-)
Leave it. Lexus is next door and better resale :)
@@bindingcurve Exactly. Lexus is better all around.
OTD is obvious. If a dealer can't figure that out, then u walk away.
I commented on his video also, stating that many people were willing to spend a little more to avoid the negotiation process. That is the reason, IMHO, that carvana, carmax and others have found such success.
Oddly this guys predictions of what to expect in the auto market since covid started have been more accurate than most other people who have sought to give advice on car buying during this pandemic.
I did not agree with his point on this particular matter though.
If you do your homework before you go in you can ask for the out the door price and know if it’s a poor to great deal. What I usually ask is what’s the best out the door price they can give. The very best they are able to do. That way there’s no need to negotiate and you can compare with other dealers very best out the door price. The key is you should already know what a good or bad deal is. Great video
And then once you get the outer door price scrutinize every little fee if you want to be super frugal they're tacking on window tint please give me a base model without window tint often it's going to be cheaper if you get outside the dealership
@@blindsey1043 so true…. Some dealers charge for car mats now!! WTF???
@@rhymes3658 😆 yes you're right a premium mat set for a Toyota Corolla is like 200 and something dollars rubbish 🚮
So basically I told the dealership I don't want any add-ons I was being so petty I went all the way down to the fabric guard saying I'll do my own 😁 they not going to make a bunch of money off of me being on being unethical again right is right if they're entitled to it I'll get it to them but just make up fees not today Satan;!! I have a 2012 Scion tC and I'm going to keep it!
when could you neogiate at best buy? never heard of such a thing there
Used to negotiate at Best Buy all the time!
Zach and Pops - can you please send Manny the link to Deal School🤦♀️
Sounds like the main objection the Mercedes salesman has is the 'difficulty' of working backwards from a proposed OTD price. It is not advanced math.
Ray, Zach... you're close, but not yet optimal with OTD strategy. OTD price should be an itemized list of all discrete fees. So, DON'T start with sales price, because the "sales price" is still a grouping of discrete fees. If you start the OTD itemization with "sales price" then you run the risk of overlooking a duplicative charges (e.g. "Freight" or "Delivery"). By listing all the MSRP items and the dealer incentive and the remaining OTD items, then you can more easily protect yourself against bogus charges.
Below are two formats of the same deal. Tell me; which OTD itemized list format is easier to spot the double charge on Freight?
OTD (Car Edge v1.0 Style)
Sales Price 50,000
Tags/Title 300
Freight 1,500
Tax (Va) 2,200
Total 54,000
OTD (Optimized)
MSRP 52,000
Floor Mats 250
Roof Rack 400
Freight & Handling 1,350
Dealer Incentive -4,000
Tags/Title 300
Freight 1,500
Tax (Va) 2,200
Total 54,000
Papa advocates face of confusion is hilarious lol. The guy some what sounds like he barely knows what hes trying to explain for some reason in my opinion
THERE'S SO MANY THINGS, GUYS! Wow..I'm obsessed I've watch sooooo many of your videos, and it's amazing what all these Car Dealers do😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳😳
I guess we now know why the guy in the video is a “former” Best Buy employee and a “former” Mercedes Benz car salesman.
Hi guys,,just started watching your videos,,,,for this and all for this 60 year woman it’s not simple to buy A car if we don’t know the secrets,,,I need a new car in about 6 months or so ( I have currently 2003). I’m just trying to learn about negotiating price and the lingo
Wanting an OTD price is wanting to NOT GET SCREWED.
It was not condescending from your dad. Out of the door price means Out of the door! That means everything included. You can't fix stupid if he doesn't understand what ' Out of the door " means!
Shoot! I have been asking for the in the door price!
Dang I always paid retail at Best Buy!
Here in Oklahoma we pay the price of the vehicle and usually a processing fee anywhere from a 100 bucks to $300 Other than that fee and the price of the vehicle all of our sales tax is handled at the tag agency the dealer has nothing to do with that so I would be interested in how someone like Manny would try to drag that in when the car dealer has nothing to do with the sales tax and he doesn't need to worry about registration or licensing fees or any of that because it doesn't concern him
This guy is scrambling my brain lol
That’s why I fast forwarded to pop’s clear explanation!
@@kimdavis5631 lol
as a buyer if you are willing to pay X for out the door price- thats what matters. negotiating a price for the car before taxes and other BS fees becomes pointless. If the dealer can not meet the out the door price- then you walk. If the dealer just thought they could get a little more out of you but they dont want to lose the sale- then they contact you.
The out the door price gets tricky when you arte also hinging a minimum amount for a trade in on the sale- but its best noit to mention the trade in until you figure out the out the door price
I've been screwed a few times by salesmen and learned a few lessons the hard way. It don't happen anymore to me or my kids!! they will call me and ask if I will go with them when their purchasing a new car. My son bought a new Ram truck in 2017 for 54.000 dollars that the MSRP was 68.000 yeah that's right!! I asked for the OTD price and the battle began, it got down to 86.00 dollars and we walked out of the office and the sales manger caught us in the parking lot I said quit wasting our time I said 54.000 and NO MORE!! so he agreed we went back in and they wrote it up with my sons own financing with his credit union>>That was a good deal for him he couldn't believe it !! LOL
I call bs
Hey guys! Thanks for the video. I'm in the market for a small SUV. I found a 2019 GMC Terrain, but decided not to move forward with the deal. I learned that the price of a warranty depends on the make of the vehicle. For instance, GMC's and Dodge's warranties would be more expensive compared to Toyotas. Could you do a video on this specific topic?
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To be quite honest you may not want to go with gmc newer cars, they’re poorly made and aren’t reliable at all. Toyota’s warranties aren’t as expensive bc they know what they sell, Toyota are known to be reliable therefore you see far less of them going back for large repairs as opposed to gmc’s.
Manny is suggesting the buyer will be penalized for NOT allowing the salesperson to manipulate them through "the deal".
Never heard that term in 50 years of buying cars, heard Bottom Line and a few others. I didn't play games as I took the sticker price and backed out what I wasn't interested in and I never had any dealer have Doc Fee or Delivery or Prep Fees etc. Basically it was my price and it was not that close to MSRP and I would tell them I really don't care what they call the trade or discounts etc as that is related to the legal parts of a sale. I got up to 20 percent under MSRP. Never traded one I didn't own as that gets into other issues of paying it off or which is a rolling over the cost, bad idea not to do that all first.
Is the destination fee actually apart of the taxable sale price? Dealer has included it in the sales price on my worksheet
If you have to deal with people like the one int the thumbnail video, NEVER ask them for an "out the door price" because they have no idea either...this person just shows you the "intelligence" of this business...except for Ray...he knows what he's doing. Finding a "Ray" is now your challenge for asking for a true out the door price. Otherwise, figure it out for yourself.
Gosh, it’s okay if he says what he says. I don’t think we should be worried about feelings when it comes to learning. Your pops is doing well, and he doesn’t have to or should he have to worry about coming across as mean or whatever you was saying. He can is supposed to critique, hard to do that if he has to be so careful with each word he says
Why is the Automotive industry, taking advantage of veterans and active duty military personal stationed over seas or in U.S. territories charging twice for delivery on a purchase order i.e..destination charge of $1,370.00 then , over seas delivery $1,195.00 to a tune of $2,570.00 !? ( Puerto Rico ) In contrast, it seems local dealership's) offer incentives and discounts totaling much more then on a military base. Who's door do we need to knock on in order to look into this. Thank you for your work in providing us with the proper tools in order to make a smart decision.
Love the looks from dad
I get the fact that there are salesmen that haven't got the experience and earned the trust of their managers to make the sale on their own. I always insist on getting the salemen that is the position to make the deal without having to seek his, her's or it's approval. I always inform them that if for what ever reason, they need to seek an answer from their manager. Either I need a different salesman which doesn't or I am walking out. A sales peson with experience at a dealership, knows the out the door price. And that's the number one thing, I seek. There's various reasons an average buyer shouldn't use cash, but in my case, knowing the out the door price and having sufficent funds. Saves me a lot of time and money. I don't haggle, there's an out the door price and an experience salesmen at the dealership I'm at, knows it. I know what car I want, and spend most of my time shopping for that salesman.
To me, buying a car is no different than going to any store for the one reason of purchasing a particular item. I arrive there already knowing what I want, and having sufficent cash to do so, spend my time making sure it's available at the store I go to or I go somewhere else to find it. Finding the item I want, at the price I find acceptable, I simply pay for it and leave. Same goes for car shopping, I know what I want, locate it, find the out the door cost. Pay, and leave. Just like the item I may be looking for in a hardware store when the price is unacceptable, I leave. If acceptable, I pay and leave.
I first saw the video linked. Great video, like, subscribed.
I would make a side deal with the salesman. Throw him some cash to get you the best price. The dealership doesn't even have to know about it.
I get what he is saying about sales tax. An out the door price with 6 1/4% sales tax will have a base cost that is greater than the same out the door price with an 8 1/2% sales tax. You should be getting quotes from other states or regions that have a higher sales tax then what you would actually pay in your home location, so that you can negotiate the actual cost of the car down.
When you ask for the out the door price they don’t just give you a final number. You ask asking for a final price and a breakdown of the items that make up that price. You really don’t need to know the sales taxes of other places to do this.
@@vee_grave You're missing the point. Let's say the total OTD cost of a vehicle is $30,000 at dealership A with sales tax at 8%. This means the base price of the car alone is $27777.
The same car OTD at dealership B is $30,000 with sales tax at 6%. This means the base price of the car alone is $28301.
You want to take the quote from dealership A to dealership B and get them to sell the car to you at $27777 plus 6% tax for a total of $29443.
This only works if you are registering the car in a state with the lower sales tax, because you will pay your state's rate no matter where you buy the car.
Hello there, I love your videos, so helpful and interesting. You may have already addressed this on a prior video but what is your opinion regarding negotiating the following expenses dealerships add to the OTD price such as Freight at PDI, Retailer Admin Fee (I suppose they mean Documentation Fee), Air Conditioning Tax, Tire Tax, Security Registration Fee. Which ones could I refuse to pay if any, and which ones in your opinion could I negotiate with the dealer? I was looking at a vehicle and the Freight and PDI were quite high at almost $3000 and the Retailer Admin Fee was close to $600. Any advice would be greatly appeciated. Please keep up the great videos and thank you.
They aren’t giving you the OTD price if they add on additional fees.
I get the out the door price including taxes and all their BS and negotiate the deal from there.. i then include what i want for my trade that I already researched the value for.
My local Toyota dealership had a 2008 Toyota Corolla for 7300 dollars, I called them about the out the door price taxes registration all the bullshit that goes with it, I told him I don't know I have enough money, he asked me how much you want to pay for it,I said 7500 , he said said he would call me back in a few hours, well after a couple of hours he called and said come in test drive it 7500 dollars is yours ,he deducted another 1000 dollars for a 2000 Toyota Camry that I used for a trade in that car transmission was already going out it wasn't worth saving so I was and still very happy about my purchase car only had one owner and was practically maintained by the same dealership no leaks all fluids clean I'm happy with my purchase .
I been ignored by many dealers to answer the out of the door price.
after watching youz guys Im buying USED
Manny just pulled the curtain back on what the sales manager does in the back. We need to make 1900.00 profit in the front of the store. Regardless of the offer
and what some car sales people don't even know (me thinks Manny) is that there's typically other money in a car deal that turns to profit for the dealership. Getting in to things like lot plan, holdback, incentives around how many units, etc. are all part of the "profit" Sometimes even the new car sales manager doesn't have all the info (but they have enough to know if they can let a car go for XYZ and still make a buck). Profit isn't a dirty word - if a dealership and the sales people don't make anything they'll be out of business - now they don't have to make a ton of money off of ME... If I get what I feel is a good deal and I didn't have to spend 3 days at the dealership to get it it's a win in my book. I don't care if there are chumps and suckers - I just don't wanna be one of them...
@@Scotty_in_Ohio well said and well balanced. Peoole that think dealers and salesmen should work for free are insane. That being said, I don't want to get taken for a ride before I even get the keys either.
We know most of the time the 'out the door price' or 'drive away' price in Australia. I wish we knew the invoice price like you guys.
I do OTD pricing all the time. I do my homework first.
Manny's video is the reason RUclips should never have removed dislike count. That shit was totally incoherent. Pops was just telling it like it is.
maybe they don’t want to show the otd price because if you see you’re paying $5,000 in sales tax you might walk out the door
OTD nothing hidden from you!
thanks guys.
6:50 I'm about to make this offer on Saturday. The car I'm looking at is priced at $28,000. I'm hoping to get the car, with tax, title, license, and dealer fees, around 29,950 out the door. The car is fairly priced, but I don't want to pay for accessories I don't want, and don't need.
Hey heads up guys, went to this guy's video and explained in a reply why it was wrong and why I knew it was wrong. Well Manny replied to me and it was clear he is just in it for the attention (he really has no clue what he is talking about), guy could not grasp anything I was saying and started to call me unhinge when all I was doing was replying back to his replies with info. Anyway, I linked this video and apparently the guy will now do a response to your 8 month old response video. Yup, I lol too. I even tried to explain to him that an Out The Door Price is usually given in invoice format with everything itemized or that you could request it along with the OTD, but nope he did not understand that and he also did not realize that in a way he was telling people to ask for the OTD.
Honestly, think the guy's channel is just his glorification channel. Also I stated twice that I had NO connection to YAA.