buying a new vehicle from a dealer.

Im heading down to a dealer to make an offer on a titan xd, they were using it for test drives for 7000km.

If i buy this thing should i still be paying the delivery fees and such? Or should i be looking at this sale like its a used vehicle and only pay the sales tax?

 

Look at it like you can steal it. They're finished with it, and ready to move the sales manager into a new demonstrator.

@Kris87

 

I would treat it as a used vehicle-due to mileage and just pay your state sales tax.

I would make sure they won't charge you any other fees other than DMV fees.

 

I would low ball the hell out of them. Demo is worse than used even though you are technically the first owner

 

Thats the plan! Ive never purchased from a dealer so i wasnt sure what i can get away with, you know?

 

Dealers are evil. Problem is, they know more than you. You'll never win.

 

Good luck! I demoed one last weekend and really liked it. Not as sporty driving as the previous generation, but nice nonetheless!

 

Yeah, after some back and forth they eventually came in at the same price as some other lightly used models online. 17k off, wont drop the delivery fees. They said thats under invoice, thats as low as theyre going and to not bring anymore sales ads when i come back. I was way wrong about the mileage- they were quick to show me the 1700km on the truck i want compared to the 5000-15000km in all the ads i was referencing for price. They were pretty firm to insist its still damn near brand new. Im not sure anyone has even driven it since me, like two months ago.

I love the interior they put together for the pro4x.

 

So I take it you already picked it up? Just and FYI, when a dealer says it's below invoice it does not mean anything because of manufacturer holdback or whatever it is called. Basically, dealer invoice is what the dealer forks out to get the vehicle into the dealership, then when they sell the vehicle the manufacturer gives them money back, basicall 2-3% of invoice. There's a whole bunch of other money the dealer gets from the manufacturer when they sell a vehicle but that's a big one. So if a dealer sells a vehicle for invoice, let's say $50K, then the dealer gets $1,000 to $1,500 or so from the manufacturer. They could sell it for $1,000 below invoice and still make money.

 

Dealers can, and do, make up invoices all the time. If you don't think this is a common practice, I have some beachfront property in Montana to sell you.

 

Sounds like you got a fair deal, everyone's got to eat.

 

Wait a minute, are you saying they can't be trusted and fudge numbers to deceive you?

 

They didnt try to show me anything to reinforce what their botton line was. Sales manager pretty much left it at take it at this final price or go buy something else. All in all its costing me less than the lariat f150 Ive looked at.

Pretty much waiting on an insurance quote tomorrow. If that isnt silly money for commercial coverage Ill probably take it home.

 

I'm pretty versed in most dealership operations, even across OEM's, and I've never seen a dealer that makes up its own invoices. I'm sure there may be one somewhere, but this isn't a common practice that I've ever seen in 20 years.

 

That's the frustration of the game, his bottom line may not be it. I was told a dozen times that the prices I was given on my F150 was the lowest they can go and they weren't going to make money if they went lower.

I got it for $5k less than what that number was, eventually. I got the Lariat cheaper than what my local dealer tried getting me into an XLT (and said "take it or leave it"). I just had to go out of state to get the deal I wanted.

 

We sell trucks all the time and lose money on them. There's always a bigger picture with service, accessories, etc. Not all dealers operate under the same business model.

 

It sure feels like it!

 

You might break even or take a small loss if it means meeting the quota for x amount of new car/truck sales in the month so you get a kickback from the mfg.

 

We no longer have that program with Ford, but do with Chrysler. Still sell a lot of trucks at a loss. Always a bigger picture.