Hey fellas.. I finally sold my car and now I am in the process of buying a 2011 is 350awd with all the bells and whistle.

I'm planing on paying cash for the vehicle, which come to mind if any of u guys bought ur car in cash, what is the best offer I can get for paying cash? Do the dealership give you better discount if you pay cash?

Tks in advance

 

I honestly don't think they give you a better deal if you pay in cash. They typically make money off of interest and what not, but give it a shot Good luck

 

Just when you first go in dont say up front your paying cash. The rest is up to how well you can make a deal with them.

 

I paid cash and didn't get a better deal but I did get 6k under MSRP (probably bc 2011 was coming out). If the dealer ask you are you interest in financing or buying it with cash, I'd tell them I'm open for the best deal. The price of the car might be lower if the dealer thinks you're financing since they make more on interest.

I pretty much told two dealerships to give me their lowest price since i'm not wasting time going to their dealership if it's too high (all via email). They both also said they'll beat the lowest price I can get. Then print out all the email and in and out of the dealer within less than 30 min.

Oh and make sure you ask them to show you the invoice price not the MSRP. I wouldn't pay anything over 500 over invoice price.

 

Yeah, if they can make some money on interest, they might deal better on that.

For me, I just tried to get them as close to invoice as possible. Even lower because the car had a couple hundred miles on it.

 

Paying cash gave you the upper hand in the 70's and 80's. Now it can hurt you becase if you finance through them they have another chnace to make money. Tell them you are undecided. Once the price is settled then tell them you will bring a check.

 

Ca$h is king but not for buying cars....they dont make $ out of it....

 

Oh really I thought u get a better deal because ur not getting a loan.. But I guess not.. Guess I was wrong

 

Yeah and sometimes you may have the upper hand so you can try to do the, take it or leave it.

 

With one 2011 F Sport IS 350 on the lot (Dec 10)and the right color combination with the right options, I don''t think $500 over invoice would have worked. I did get a reasonable discount, and then got a little extra with a little more negotiations. Zero buyers remorse, I'm 100% happy with the deal and the car. One note, cash has benefits. Paying cash puts you in a unique position. If taken seriously, no dealers wants to see cash walk off the lot. Also, consider the savings, paying zero interest. Just don't end up car rich, and cash poor.

 

If anything, paying cash is a negative for a dealer - one less item to make money on. So, if they ask, change the subject

 

I think it depends on where you're buying the car from. The above posters are right that at the dealer, they make some extra money off people who finance cars (especially if they can saddle you with a higher rate due to your credit, etc) so they may not see cash purchasing as a reason to give a discount.

However, used car lots (even pre-owned departments of dealers sometimes) are much more likely to give discounts for cash buyers. Small, independent used car shops are dependent on cash flow to buy and sell cars, so a cash buyer is great for them. They're not in the business of making and servicing loans; in fact they often outsource that. The dealers though often have huge financing divisions behind them to service the loans and make money off them.

Shop around, talk to salespeople, ask your questions, and negotiate the price before ever bringing up whether you're a cash buyer or not. Once you've gotten them to where you're happy (or the lowest you think they'll go), then ask what they can do for you if you're a cash buyer (if they ask you ahead of time, say you're undecided). It may be nothing, it may be a discount.

 

They really do not care about cash deals. The reason being, when they finance someone, they get to screw them over on the financing..

 

Get the deal on the car first. THEN let them know your paying cash.

 

Im not sure how yur credit is, but i would actually reccomend financing the car, you can put a large down pymnt so your payments would be low, but then make paymnts for about 3-6 months and then payoff the car entirely, this will increase your credit score and show your ability to open new loans & payoff debt...just my $0.02

I might also mention that i have over 10 yrs experiance in credit counseling & financial advising. Good luck with which ever route you decide to take.