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Buying a Car Tomorrow
Old 01-23-2019, 12:59 PM   #1
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Buying a Car Tomorrow

It looks like we are buying a car tomorrow. It's something we do every 10 years. We did find the car we like: a 2019 Subaru hatchback (Limited) with all the bells and whistles.
Actually, it has a few bells and whistles we don't want--such as a sun roof and navigation system, but we want the rear-cross traffic assist and leather trim and it seems they only come with the navigation system and sunroof, (which will cost us an extra $2000 or so and is included in the price below).

We are buying the car through Costco.
So, here are the few facts I have:
MSRP: $30,423
Costco Savings: $3,280 (it says it right there on a printed sheet the dealership gave us).
Cash Discount: $500

Costco member price: $26,643
Out the door price (tax, lic, reg.): $29,706

Reasonable, not reasonable? How much am I missing?
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Old 01-23-2019, 01:05 PM   #2
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Quote:
Originally Posted by redduck View Post
It looks like we are buying a car tomorrow. It's something we do every 10 years. We did find the car we like: a 2019 Subaru hatchback (Limited) with all the bells and whistles.
Actually, it has a few bells and whistles we don't want--such as a sun roof and navigation system, but we want the rear-cross traffic assist and leather trim and it seems they only come with the navigation system and sunroof, (which will cost us an extra $2000 or so and is included in the price below).

We are buying the car through Costco.
So, here are the few facts I have:
MSRP: $30,423
Costco Savings: $3,280 (it says it right there on a printed sheet the dealership gave us).
Cash Discount: $500

Costco member price: $26,643
Out the door price (tax, lic, reg.): $29,706

Reasonable, not reasonable? How much am I missing?
Of course we'd have to go through the details (trade in or nonsense taxes/fees/extended warranties) but I bought a 2018 Outback Touring last Feb and got $4900 off (the Costco deal was $3300 off at the time), and I negotiated on a 2019 Outback Limited for my sister in Nov and got $3800 off. Also got $4100 off on DW's Honda Accord Hybrid Touring in Dec FWIW.

The Costco deal you show is decent, but I think you can do better. Have you put your info on edmunds.com or an equivalent? You'll get a barrage of phone-text-emails, and they may say "when can you come in for an appointment" without talking $. But if you say you're not coming in until they make an opening $ offer, I'd be very surprised if you don't get a dealer who offers better than the Costco discount. The whole exercise takes less than 24 hours. Go to the dealer with best discount, or better yet, go to the dealer with the second best offer and tell them to beat the best offer (you have in an email) by $300-500 or you'll go to dealer one.

And if you're worried about dealers pestering you long after, as soon as you tell them you bought somewhere else, they disappear.

And BTW your timing is good. Dealers are often more inclined to deal end of month if they're near a sales goal, they might be less so on Feb 1.

Good luck.
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Old 01-23-2019, 01:06 PM   #3
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When I bought a car two years ago, I started with the Costco price and negotiated down from there. I did it by emailing dealers and saying can you beat this price? When you get a lower offer, repeat until you are happy or they drop out.
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Old 01-23-2019, 01:18 PM   #4
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If you are willing to do more work, you can get a better price.
The Bogleheads forum has multiple discussions about car buying.
Such as this one https://www.bogleheads.org/forum/viewtopic.php?t=124638
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Old 01-23-2019, 01:20 PM   #5
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Originally Posted by davebarnes View Post
If you are willing to do more work, you can get a better price.
The Bogleheads forum has multiple discussions about car buying.
Or this one on ER.org

How To Buy A New Car
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Old 01-23-2019, 01:21 PM   #6
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Thanks guys, I will email the two other local Subaru dealers in the area and we will see what happens.
Midpack, you were the inspiration for the Subaru. They seem to be a very nice car for the money (I guess it depends on how much money, but, whatever...).
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Old 01-23-2019, 01:23 PM   #7
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Thanks guys, I will email the two other local Subaru dealers in the area and we will see what happens.
Midpack, you were the inspiration for the Subaru. They seem to be a very nice car for the money (I guess it depends on how much money, but, whatever...).
It is a nice car. You may know the Outback is slated for a complete redesign in 2020, just in case you're one of those buyers who doesn't like owning a previous model (looks or new bells and whistles) less than a year after buying.
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Old 01-23-2019, 01:28 PM   #8
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Is the Impreza 5-door hatchback slated for a complete redesign?
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Old 01-23-2019, 01:32 PM   #9
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One thing you're missing is telling us which Subaru model this is. I'm guessing Outback?
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Old 01-23-2019, 01:33 PM   #10
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What, you are not buying a Tesla?
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Old 01-23-2019, 01:37 PM   #11
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One thing you're missing is telling us which Subaru model this is. I'm guessing Outback?
Yes, model is important... if it is an Outback, then it is less out the door than I paid for my 2016 Outback Limited 2.5i and better equipped... and I thought that I got a pretty good deal.
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Old 01-23-2019, 01:40 PM   #12
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Redduck, enjoy your new Subaru! Hope to hear the details of your final deal.


I'm enjoying my 2 year old Forester. I bought through the auto broker with AAA. Probably could have done a bit better, but it was completely stress free and I took delivery at the local AAA office.
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Old 01-23-2019, 01:46 PM   #13
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That's one brand I know just about nothing about. I know they're big sellers in the far north for the AWD, but we seldom even see any Subaru's in the Deep South since we seldom see snow.

They get good reviews, especially from the prior owners. They're a very tight bunch of owners.
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Old 01-23-2019, 01:49 PM   #14
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One thing you're missing is telling us which Subaru model this is. I'm guessing Outback?
Whoops. It will be my beloved's car, an Impreza hatchback.
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Old 01-23-2019, 01:51 PM   #15
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I can't find an outback 2.5i limited with a msrp that low

must be a good deal...
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Old 01-23-2019, 01:53 PM   #16
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Whoops. It will be my beloved's car, an Impreza hatchback.
ah, that makes sense, that's one of the top of the line in that model

I drove one as a loaner last year, I actually liked it - really roomy and fun to drive

I think you are getting a good deal
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Old 01-23-2019, 01:57 PM   #17
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Are there any fees in the other line (tax, lic, reg) that aren't PERFECTLY clear to you? Dealers like to 'add' things in this area to booster the profit (e.g. "dealer prep"). BE SURE.

I have a 2006 Outback and have been overall pleased with it.

Although this is a meaningless data point, I bought a Ford F150 in January 2016 (2015 model year) @ 23.1% off MSRP (including incentives and w/o Tax & Registration - which vary by state and so are not important in terms of comparison). That was a deal I couldn't say no to (although I took a couple days to decide).
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Old 01-23-2019, 01:59 PM   #18
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Congrats! We bought a new car last year. The Costco price was middle of the road, but a good benchmark. We achieved a better price by getting prices at several dealers. The final price was $1,100 less than the Costco price. This was on a vehicle with a purchase price in the low $30k's. However, it was not a Subaru.
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Old 01-23-2019, 02:07 PM   #19
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Didn't realize the Impreza costs that much, even top of the line. Have you double checked prices at Edmunds.com and kbb.com, places like that? If they've added on a bunch of bogus extras like undercoating, that's a padded MSRP and less of a discount than you think.

Roomy is not the word I'd use for an Impreza, but my son likes his. I've driven it. Felt a little cramped compared to my Forester, but it can definitely be the right size for some. Smaller is easier to park for one thing.
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Old 01-23-2019, 02:08 PM   #20
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OK, I e-mailed the other two Subaru dealers that are reasonably close by. Waiting for a reply. We will see.
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