Haggling at a DEALER

[anonymousmoose]

I'm test driving a WK Statesman on Wednesday and might buy it. Its at a Toyota dealer and they are selling it for $18k down from $26k. Its a V6 with 75,0000 km

I havent bought a car for years. What haggling advice do you guys have for me? Are there any good prices etc I can throw at them should I be interested in buying the car?

I already booked a test drive to they know I'm coming. I only got till Wednesday to hear your thoughts. Please reply.

[Zuicider]

check over any inperfections and ask them to be fixed before you purchase the car flash ya card or money around and ask whats the best they can do otherwise u will go to their competitor

[social]

Get him to start it up, and watch from the rear to see if it puts out black smoke, check the treds to see if hes been tearing it up a bit haha check under the car for possible oil leaks and test ALL electrical appliances in the car and if they dont work or something isnt perfect, do as zuicider said, get em to fix it before purchase

[Reaper]

Car dealers are pulling out all stops to move stock right now. You can push them very hard and get a great deal. I always talk in the "drive away" price. The money you have to pay is the only thing relevant. Anyhoo, get the salesman to work out the drive away price and then (whatever that is), tell him you like the car but it's too dear. If it is $18k, down from $26, chances are it's been in stock for a long time and they are desperate to move it.

That said, there probably isn't that much more room to move with them. I'd start at around $15k and work from there. Be prepared to dig your heels in and let the salesman sweat on it. Let them know that you are happy to buy if the price is right. I'd even walk out and tell them you need to think about it. Don't call them, he'll call you. Tell them that (whatever your price) is the most you will pay for that car when they call back - maybe give them another $500 or so and you will come down now to sign the paperwork. If there is anything you need fixed then also insist that happens before you take delivery or pay any more than a deposit. It would be also good to have these things noted on the contract of sale.

Reaper

[anonymousmoose]

Great response so far... keep em coming people. I'm learning quite a bit already.

[policehoon]

I've purchased and sold loads of cars in my time so I think I have a handle on the situation.

First don't book a test drive with the dealer, it shows the dealer that your emotionally attached to the car even before you step into the car yard.

You have to make the dealer believe that you will walk away from the car without a thought.

Tell the dealer you are willing to purchase a car if the price is right.

Dont say you will buy today, say that you will purchase within the week.

Now when your looking at the car get the sales person to do all the talking, it makes them think they are doing thier job. Just don't look too interested.

Car yards want to make approx 5 k out of every vehicle that comes on the lot. Check with the red book for a trade in price the dealer paid for the vehicle (Car Prices - Search Car Prices & Values Online - Red Book). This gives you an idea what the dealer paid and work from there.

Dealers still want to make a profit so its a sliding scale between them and you. Thier trying to make money and your trying to get a good deal.

Tell the dealer that you have been looking at several vehicles and have narrowed it down to this type of vehicle. Know everything about the vehicle before going in as it shows you have researched the car.

Now with the price, lets say you offer them $16,500 and they keep you talking then your around the ball park. Be prepared to stick to your guns. One day it took my a whole 5 hours to purchase a car.

I will give you an example. 1997 Ford Fairlane sedan on gas with 150,000 on the clock (this was several years ago). It was marked down from $19,990 to $15,990. It had been on the lot for 60 days. (Bull****).

Now I offered them $11,990 which they flatly refused. I walked away but left them my number to call me if they wanted to sell the car. A week later I got a call from them saying I could buy the car for $14,990. I told them no, my offer of $11,990 stood. About a week later I got another call from them asking if I was still interested in the car.
A week later I got a call saying I could purchase the car for $11,990.

So time and a little bit of patience on your behalf and yeild great results. Just remember you have the money and they want to sell cars.

My last car purchase from Holden Rockingham, the dealer made a whole $450 dollars on a new car purchase.

Hope this helps

[minux]

Agreed with the above, I bought my Senator from a country Holden dealer, They had 38 on it. I told them I will pay 32 drive away. Knowing it had been at the yard for a little bit I was willing to walk away without hesitation. They rejected my offer, so I said no worries, catch you later and left them my card if they changed their mind(they knew I had driven 300k's to get there).

15 minutes later I get a call saying they will accept what I offered

Never be scared to walk away.

[vnv8driver]

If in doubt get an RACQ-V van out to do a full inspection, if the dealer refuses it might be because theres something dodgy going on. Thats the best way if you dont know what your looking for, most car yard WILL sell you a car with soemthign wrong with it but still comes with a roadworthy so be careful even though its a new car.

[anonymousmoose]

Very very good advice... what would you guys offer on a WK V6 Statesman 2004, 75km but the paint does show some wear and the interior looks clean but a little worn, not over the top though.

Their Yard Price: $26,XXX Their Internet Price: $18,990

I just don't want to make too low an offer...

Plus I want it RAC inspected before I buy it. Would you guys mention that after the haggling or before? I know they are an AHG dealer but I still want it inspected.

Redbook Data:
Valuation Prices
* Private Price Guide $17,500 - $19,600
* Trade In Price Guide $13,800 - $15,900
* Average Km 60,000 - 100,000
* Price When New (RRP) $53,990

[VT-565]

Find out a few known problems or facts about the car, something you're sure will baffle the sh*t out of the salesperson. I do this and and go over the car like crazy in front of them, even though in my mind i'm crazy about the car, i'm quick to pick out flaws in it and NEVER say anything good about the car i.e: (I like this shape or this model, i like the engine in these things blah blah blah)....

I've had a funny experience with dodgy cars before, a mate of mine traded his VX GTS for a statesman, car stayed on the lot and didn't leave town, as soon as they had detailed it, I went in for a skizz. Spotted the power steering pump had a leak on it, pointed it out to the salesman at the time (also a mate of mine)....the car was on the lot for at least another 4 months, I thought i'd go and see how desperate they were to sell it, had a look under the bonnet, alas, same power steering pump leak. The new salesman came out and gave me the usual sh*t (how are you going, are you interested yada yada) I said i might be if you fix the power steering pump leak...he proceeded to look on the wrong side of the engine bay til I had my laugh and told him where to look, once he spotted it, he promptly shut the bonnet in my face!! So i've made my mind up about that dealer

Sorry for rabbling on, but it's a good story lol

But yeah, give them (dealers) hell, they want your hard earned, make them WORK for it.

[faroogoo]

I allways get a motorcheck (RAA) done on every car i've bought yard or private.

My youngest brothers a little nieve when it comes to buying cars,he thinks you cant bargain people down etc...

I went with him on his last purchase,he loved the car & the first thing he said to me was "i need to go the bank to get more money".

After a little bargaining he bought the car & still had 1k in his pocket...Hes got a lot to learn.

[Reaper]

Very very good advice... what would you guys offer on a WK V6 Statesman 2004, 75km but the paint does show some wear and the interior looks clean but a little worn, not over the top though.

Their Yard Price: $26,XXX Their Internet Price: $18,990

I just don't want to make too low an offer...

Plus I want it RAC inspected before I buy it. Would you guys mention that after the haggling or before? I know they are an AHG dealer but I still want it inspected.

Redbook Data:
Valuation Prices
* Private Price Guide $17,500 - $19,600
* Trade In Price Guide $13,800 - $15,900
* Average Km 60,000 - 100,000
* Price When New (RRP) $53,990

I'd start at $13k and work from there. Worn interior is difficult and expensive to get back to par.

Reaper

[anonymousmoose]

I'd start at $13k and work from there. Worn interior is difficult and expensive to get back to par.

Reaper

If I can get it for 13k...

Interior is not that badly worn, but the steering wheel leather is showing signs. The seats look fine. But the STATESMAN badge is missing from the glove compartment panel which would annoy me, but I know I can pick on up for cheap at the holden dealer.

[STEALTHY™]

I've found redbook to be completely off the mark regarding 2nd hand cars.

[Grennan]

Yeah ive noticed that they are about 2 grand under priced (judging by the average sale price of cars ive been looking at).

[arrow]

I agree i think redbook are a bit off the mark with prices

[CHEETR]

i've been a carsalesman for about 4 years in total, i've been at holden, ford, suzuki, skoda and volkswagen.

this is by far the best way to go buy from someone on the inside

- look up the trade in value of the car your looking at buying on redbook

- now say you are looking at at vs clubsport for 16k(plus your 4% stamp duty) and the trade in value on redbook is about say 9500

- dealers either put cars on the lot that are traded in or bought from auctions, so this will give you a pretty acurate indication of what they payed for the car

- now from that 9500, you need to add around 1500 for reg and roady and anything needed doing to the car to be safe

- 9500 + 1500 is 11,000 then add your 4% stamp duty is 11,440 and $50 vic roads admin fee, brings you to 11,500

- a dealer will always use this method to see if it is worth selling the car to you, or wholeselling it back to the wholesalers.

so for this car, i would put down a offer of 11,000 knowing full well it owes them about 12,000 , they will come back with high offers, but stick to your guns on 11 untill they bring their offer down to 12.


best way to do it, is once they sort of get down to around say 13, tell them 12k drive out now and you have a deposit from me.


people seem to get this immpression that they get cars cheaper for cash, maybe 20 years ago, but now its more if you finance with them its cheaper to buy the car but more in the long run for the finance.

do not show any movement on the 11k untill they are almost at your 12k.

and the best thing to say when you make that offer of 11k, is you sell me the car at 11k driveaway, and you have a DEPOSIT from me now, thats all that matters in the car game, none of this cash crap, no one cares how you pay anymore because most of the time the money is borrowed from the bank anyway.


so stick to your guns, hand them a business card if they say no and say get back to me, because 9 times out of ten they will either get you to sit down and start talking resonably, or call you back in 10minutes with a deal.



if its a dealer like holden, then generally have alot of accessories lying around, so be sure to negotiate things like, carpet mats ec... as it costs them bugger all to steal out of other cars on the yard, rims is also a big one if you see rims on another car on the yard, negotiate them onto your car.



hope this helps.

[Grennan]

Wow thats really helpful Cheetr. Definallty keeping this in mind when im looking for the Clubby.

[CHEETR]

I've found redbook to be completely off the mark regarding 2nd hand cars.

redbook is not completly off the mark so to speak, redbook is only a GUIDE, people use it to the exact dollar which is near immposible when facting in kms, condition and mods.


but on a stock vehicle, redbook is fantastic and every dealership i have been at we use it atleast 10times a day.



yes there are a few cars now that redbook is not up to date on, because generally they depreciate cars by year when new vehicle comes out, and the problem now is the fuel prices where large cars are depreciating 4 times as fast as they used to.



for instance i traded in a FORD TERRITORY GHIA, black, turbo, black leather, sat nav and reversing camera with 24,000kms

this car was 14 months old and purchased for around 60k, i had th ebest trade in value for the car out of 5 dealerships they took it to (using a bit of margin also in the new car i was selling) and i struggled to get $34,000 off my wholesalers.

to loose nearly half a cars value in 14months is rediculous.

cars i would say to watch out for if you are looking at buying something for a family ec.. in terms of resale value

- subaru forester
- ford territory
- mazda CX-7 ( by far one of the worst)
- volkswagen taoureg
- pretty much any BMW or Mercedes (since their cars have started being manufactured in foreign countries) their resale value is shocking.
- subaru liberty B4

their is alot more, bu tthey are the worst, the territories are pretty much loosing $2000 a month in value same with the cx-7

[anonymousmoose]

Awesome reply my friend.

What do you think would be a good price to start haggling with on a statesman v6 04 that was $26k on the windshield an now advertised for $18990?

redbook is not completly off the mark so to speak, redbook is only a GUIDE, people use it to the exact dollar which is near immposible when facting in kms, condition and mods.


but on a stock vehicle, redbook is fantastic and every dealership i have been at we use it atleast 10times a day.



yes there are a few cars now that redbook is not up to date on, because generally they depreciate cars by year when new vehicle comes out, and the problem now is the fuel prices where large cars are depreciating 4 times as fast as they used to.



for instance i traded in a FORD TERRITORY GHIA, black, turbo, black leather, sat nav and reversing camera with 24,000kms

this car was 14 months old and purchased for around 60k, i had th ebest trade in value for the car out of 5 dealerships they took it to (using a bit of margin also in the new car i was selling) and i struggled to get $34,000 off my wholesalers.

to loose nearly half a cars value in 14months is rediculous.

cars i would say to watch out for if you are looking at buying something for a family ec.. in terms of resale value

- subaru forester
- ford territory
- mazda CX-7 ( by far one of the worst)
- volkswagen taoureg
- pretty much any BMW or Mercedes (since their cars have started being manufactured in foreign countries) their resale value is shocking.
- subaru liberty B4

their is alot more, bu tthey are the worst, the territories are pretty much loosing $2000 a month in value same with the cx-7

[andyman]

when i was looking for my current car, i was looking at a 4x4 hilux, they had 21g on it, as far i know it was on the lot for 3months, i walked in, sat down with the lad that had sold my parents 3 cars, (at a toyota dealer) i offered 16,500, they said no, i gave my number, i never heard from them:my:


needless to say i wasnt going to pay 21g for a n/a diesel hilux with 200,000km at 8 years old, it was on the lot for a little while after that, someone local bought an i see it pretty often driving around

[pip78]

really good info everyone...... wish i knew this before i bought my car lol.....oh well its definitely something to hold onto for future purchases

[anonymousmoose]

I drove the car but didnt end up buying it. We got the dealer down to $17,000 but I wasnt comfortable.

There were a few things about the car.

1. when switching the aircon vents it made a louder then normal noise
2. the back stereo/sub made a horrible noise, when turning off the stereo the noise stayed for about 10 more seconds
3. It veered left more then it should. Also had uneven tyre wear.
4. Needed new tyres very soon.

I would have bought it for $15k. $17k was a good deal (the dealer said he will fix the issues) but my gut said no.

The dealer also said he will wholesale it tomorrow for $16,500 so he wont go below $17,000. He offered $6,000 trade in on my commodore VX 2000 V6 exec 136k km.

Thanks for all your help guys, I really now know how to stick to my haggling guns.

[commsirac]

It is a seller's market at the moment and is likely to be for quite some time.
What the dealer paid for the car is irrelevant to what you should offer them. If the market has turned and the car is worth less, they have to (if they want to survive) take a loss, just like you or I do. If they got it for a bargain and make $10K out of it and you still believe you got a bargain, then that is all that matters too!

Just put your ear plugs when they start talking about the car owes us X, and thats as low as we can go......

As stated ^, be prepared to walk away, there will be other cars to choose from......but make your offer, they at least know they have someone that actually wants to walk away with the car and they have a sale if they agree to your price!.

For things that need fixing, its worth specifying and putting conditions on it.
ie type of tyre fitted, if the ac doesnt work, get the a/c warranted for any defects for 2years written into the deal.
Them getting it charged up and working for when you collect it and you having to pay for an expensive repair to get the leak fixed when it runs out of gas again is money you dont need to separate with.

Its definitely worth getting them to fix all the little problems you notice, they are going to get it done much cheaper than you could ever negotiate with private repairers. But do check the quality of the work that has been done, if it still doesnt steer straight, dont take the car.
But there are some items that arent worth getting them to fix unless it really worries you....ie like a small imperfection in an expensive bit of the car.....its going to cost them a lot to fix that and wont help your bargaining. If you could live with that imperfection buy the car, but point out the fault to use in your overall bargaining process.

Good advice CHEETR about getting them to throw on wheels from other cars on the lot etc.

[Reaper]

It is a seller's market at the moment and is likely to be for quite some time.

Sellers market???? I would have thought it's a buyers market right now.

Reaper