SaintNexus

When buying a new car, are you trying to get it as close to Factory Invoice as possible, or below Factory Invoice, but above the Dealer Cost?

If it's below Factory Invoice, do all (most*) dealerships go that low, after negotiation, or will they never budge and stay firm with a price?

rominl

iTrader: (4)

there is no rule, every car is different, every month can be different, you just have to research and find out...

Fizzboy7

To add to the above, it all depends on the model in question. Some cars are hot and in high demand. That means there's usually less rebate, incentives, and bargaining room. This is often common on a model that has been recently redesigned. Opposite for cars that are in low demand or have been out for a while.
Two ways to research current deals is to grab a copy of your Sunday newspaper. Read the loss leader ads in the classified section. This is a good sign how low some of the current deals are. The other way to research is at Edmunds.com. Some of the forums in there show what current deals have been for your local area.

I8ABMR

bottom line is shop around and get it for a cheap as you can. End of the year is uaulyy the best time to buy an it depends on what you are looking at in terms of how flexible the dealer will be.

seanlee

it is hard to argue price on popular models. it is easier to get discount on cars that aren't in high demand.
therefore using the invoice/MSRP price isn't always the best indicator. i normally use edmund/kbb to find out how much other pay for the car, and then try to go below it.

nontheless, buying new car is pretty bad investment.. for model that drop in price quickly (like CLS 550), you best bet is to lease.

bitkahuna

iTrader: (20)

that's not always true.

to OP - there are no rules, and there are no thumbs.

mmarshall

The first (and most obvious) rule in buying a new car is to never actually believe those idiotic TV/radio dealer-ads. They are not only an insult to the intelligence of anyone with an IQ over that of an ape, but, in comparison, make even lawyers and politicians look honest.

rominl

iTrader: (4)

not true most of the time, still depends on a lot of factors.

Daddy-O

Always work from the invoice price. Never work from the MSRP.

You must know the invoice price of the car...Available online.

T0ked

iTrader: (2)

The goal is to get that number down as low as possible. LOL. The dealer invoice is there to you know what you're talking about and not make unintelligent price goal or have unreasonable expectations. Always make your goal near the dealer invoice price and work from there, A little above is still good, below is awesome. Of course some cars you will be lucky to get near the MSRP. LOL. I always think to myself that if I get a price up to about $500 above dealer invoice, it is a decent deal, but always shoot for lower and feel out the dealership while negotiating.

For instance, VW is pushing volume and market share right now. I found that even with a new and popular models like the Jetta and Tiguan, they are very much willing to work with you on price and great deals are there to be made. I prefer to go to a larger dealer that works on volume as they are more willing to take a profit hit for that extra sale. Also most dealers are willing to make deals toward the end of the month to meet monthly quotas.

caddyowner

Rules of thumb I've learned from 30+ years of car shopping:

- Never shop / buy / lease based on monthly payment. This is where they want you and they will baffle many folks with numerical BS so they won't know how good / bad each component of the deal is.

- If at all possible, have multiple brands and models of cars selected that would meet your needs. Let multiple dealers compete for your business.

- When shopping for new cars, don't walk inside when you first arrive. Go to the new car row and look at the window stickers. If they have supplemental stickers with paint protection, pinstripes, etc. get back in your car and shop elsewhere. In my experience, this is a big red flag that the dealership will try all kinds of other ploys get you to overpay. I've regretted every time I stayed at one of these dealerships.

jimbosr1

i am the same way,will not even talk to any dealer that has ADM's on the car.its there way to sell at or more then sticker.

Coconut

My general rule for buying new cars (<$40k) is trying to get the OTD price the same as their asking/MSRP.

SaintNexus

So, how much would you pay for a Hyundai Elantra? TrueCar is just showing the price with a 1% discount. Seems impossible to get over $1k off the asking price, but there should be more room to bargain.

I'm either going to get the Hyundai Elantra or the Hyundai Veloster, whichever has the better deal.

caddyowner

The redesigned Elantra is a hot car right now. The 2012 Veloster is still listed as a future model on the Hyundai website. I don't think they will do much discounting on either one this summer. If I wanted one of these two particular models, I'd shop multiple dealers late in the month. Some folks have suggested dealing with the fleet or internet manager to get a better deal.

If price was my hot button, I'd shop comparable models / brands that aren't selling as well. (This may be tough since small cars seem to be selling well for all brands right now.) Maybe Toyota, Honda, Nissan, Mazda, Subaru, Ford, or Kia.

Since I don't consider cars to be appliances, I'm willing to spend a bit more to buy the brand and model I really want to drive rather than settle for something else that was on sale.