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How You Can
Buy "Below" Dealer Invoice Prices...
If you'd like to obtain rock bottom prices on a new car,
avoid all the sales pressure at the dealership, then you have
come to the right place. The information you will receive
in this guide will most likely surprise you...
You will learn one of the dealers most coveted secrets...
True Dealer Cost (And No, it is NOT the invoice price!)
First, The Problem:
Dealer prices are full of hidden profits that are often times
not passed on to the customer. Even dealer invoice prices
are often thousands of dollars above actual cost...
... Everywhere you go on the Internet,
you read about "How to buy at $500 or $1000 over dealer
invoice" - usually you have to pay for this information
- This is bad advice.
Two Reasons NOT to buy at or near dealer
invoice:
Reason one: Dealer invoices have up to two to three
percent holdback that is usually reserved for fleet customers.
The general public is not aware of this inflation.
Reason two: The manufacturer also offers rebates and
delivery allowances in the range of a few hundred to thousands
of dollars that is supposed to come off the price - Again
easily stolen by a dishonest dealer.
Combining the hidden holdback with many rebates offered by
the manufacturer, there can often times be a difference of
$2000 or $3000 between the invoice price and actual dealer
cost. If you purchase a vehicle at invoice prices - with a
$3000 difference - the dealer makes $3000 on the vehicle.
Many dealers will easily settle for a $1500 to $2500 profit.
If they do, and you purchase the vehicle correctly, you will
be well below dealer invoice!
Your awareness of these hidden savings combined with
using the right online "car pricing services" can put this money into your pocket - not theirs. Car pricing
services offer free price quotes from there vast network of
trained dealers.
Here is a list of qualities a good car pricing service
should have:
- Good online pricing services are free of charge.
- Good online pricing services bypass the salesman completely
- You don't have to worry about scams, selling systems or
annoying phone calls
- They provide you with dealer invoice prices and incentives
ahead of time - You can easily figure out the true dealer
cost of a vehicle by using the formula below - Knowledge
is power.
With the cost of a vehicle you know where you stand. You
can then figure out what a dealer is making on your sale.
Dealers using online pricing services know you have this information
and provide quotes accordingly - usually in the fleet pricing
area. (They won't gouge you on the price!)
How to Leverage Pricing Services to Save Money:
To leverage this system in order to maximize your savings,
you need to get as many quotes from competing online pricing
services as possible. Dealers will compete for your business
based on price and not sales pressure. The best pricing services
deal with fleet managers or Internet managers. They don't
make money on overall profit but on sales volume, and they
are happy to offer you the lowest price to get your business.
Leveraging online pricing services offers the best buying
situation possible for the consumer who hates car shopping.
Fill out a few forms and in minutes you are on your way to
savings that would take the best negotiators weeks of hard
work to achieve. But you have to be careful - not all pricing
services are the same. Some let salespeople try to pressure
you to visit the dealership without giving you a quote upfront.
If you want to avoid this get prices from Yahoo Autos, Edmunds and InvoiceDealers.
These services use trained dealers that are used to dealing
with an informed Internet public. These sources all offer
excellence customer service and low prices!
Side Note: Actually, there are hundreds of price quote
services but 99% of them simply sell your information to the
highest bidder. (Many to multiple sources!) Yahoo Autos, Edmunds and InvoiceDealers will protect your privacy - and offer good hassle-free shopping.
How to get started - Determine True Dealer
Cost...
Copy this information
down. When you are finished completing the quote process you
will be able to figure out dealer cost using the following
formula:
Here is an example:
To keep it simple the destination charge and options are
left out...
Invoice price: $20,000
Holdback: $700
Rebate: $3000
Note that the prices above do not reflect a real vehicle
- they are simply examples to help illustrate the formula.
$20,000 - $700 = $19,300 dealer cost. If you buy this vehicle
for $19,300, you just made a purchase at dealer cost ($700
below invoice). The dealer made $3,000 because they kept the
rebate as profit.
Many dealers are willing to make much less profit than $3000.
If the vehicle is in high supply with a good rebate you may
do much better than the example above. Get price quotes from Yahoo Autos, Edmunds and InvoiceDealers .
Wait for your price quotes and see who is the lowest. You
will know how much they are making on the car and have a great
price - usually below invoice.
Why this works...
- Dealers in these networks know that you will be getting
competing quotes - they have to compete based on price.
- Dealers also know that you are an informed Internet shopper
and you are armed with this information - they will price
a vehicle accordingly.
- Perhaps the most important item is the rebate. If a rebate
is $2000 and you buy a vehicle for $100 below invoice, the
dealer still makes good money and you received a great price.
Free pricing services mentioned in this guide:
InvoiceDealers, Edmunds and Yahoo Autos
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