How To Buy A New Car

[braumeister]

I am finding that about half of the Honda dealerships in Western NY do not have emails listed on their websites. Pictures of the sales staff and only phone numbers, no email to be found anywhere.
I am thinking that they just don't want to deal with buyers who want to use this approach.

Honda CR-Vs are so popular they don't have to give discounts on them.

 

[HadEnuff]

Honda CR-Vs are so popular they don't have to give discounts on them.

Indeed, this seems to be the case. Nevertheless, not all of the Honda products are running off the lots, so I'm surprised that the websites don't have email addresses.

BTW, I do have one player, a dealership 45 minutes away (vs 15 minutes) has come in with an offer $1700 lower. I have received no response from the guy who showed me the car.

 

[Midpack]

Honda CR-Vs are so popular they don't have to give discounts on them.

Indeed, this seems to be the case. Nevertheless, not all of the Honda products are running off the lots, so I'm surprised that the websites don't have email addresses.

BTW, I do have one player, a dealership 45 minutes away (vs 15 minutes) has come in with an offer $1700 lower. I have received no response from the guy who showed me the car.

Like most makes, Honda demand comes and goes as models, competitors and tastes change. The current Civic has sold much better than its predecessor. The Element, latest Insight, Ridgeline, CR-Z and original Accord Hybrid were all flops. I’ve gotten big discounts on some Honda cars, online and in person, over the years, and paid almost full MSRP for others.

Many brands have/had models with waiting lists, though Honda may have had more than their fair share (don’t know)?

 

[ncbill]

My next new car will be a lease, not bought.

And I'll almost certainly use a broker.

See leasehackr [sic] dot com for tips on negotiating the sales price (as important for a lease for a purchase)

Vehicle-specific forums are also good to find out what people are currently paying for the model/trim-line you want.

 

[HadEnuff]

My next new car will be a lease, not bought.

And I'll almost certainly use a broker.

See leasehackr [sic] dot com for tips on negotiating the sales price (as important for a lease for a purchase)

Vehicle-specific forums are also good to find out what people are currently paying for the model/trim-line you want.

I went into this process with the idea that if DW opted for anything other than a Honda or a Toyota, I'd lease. As it turned out, she wants the Honda, so I'll buy.

The lease cost would be about 14K over 3 years, and buying it will be about twice that, so for the extra 15K I'll spend, at the end of 3 years I'll own a 3 year old Honda...and not have to go through this process again.
But I don't think leasing is necessarily a bad way to go. you pay more, but in a sense, you get more.

 

[ncbill]

Plus there are always lease specials for whatever body type you want, as long as you're not picky about a specific model/trim-line, or a 2018 over a 2017.

E.g. a 2018 Subaru Forester would be closer to $9k over those same 3 years.

 

[wrigley]

With all the information that is at your finger tips today it's quite a simple process to buy a new car. Do your research, come to an out-the-door price you are willing to pay, secure your method to pay, and walk into/call a dealership and tell them what you are willing to pay for their car. If they say no.........walk!

Mike

 

[ExFlyBoy5]

With all the information that is at your finger tips today it's quite a simple process to buy a new car. Do your research, come to an out-the-door price you are willing to pay, secure your method to pay, and walk into/call a dealership and tell them what you are willing to pay for their car. If they say no.........walk!

Mike

Pretty much.

I am not in the market for a new (or used) car right now but I have decided that when it comes to replacing the current one, I will probably buy new, especially with all the information that is available to the consumer on pricing.

The glut of flooded cars that *may* hit the market and the ever increasing costs of technology related issues makes it too risky (for me) to buy something that is an unknown. I saw a report yesterday that close to 60% of the flooded cars in Houston were not insured, so any damage may not be disclosed.

Plus, since I am putting less than 5K miles a year on the car, it's very possible that any new purchase will last me a very long time thus reducing the annual costs of the new vehicle purchase. Nonetheless, hopefully my current ride lasts me several more years, then I won't have to worry either way.

 

[Midpack]

With all the information that is at your finger tips today it's quite a simple process to buy a new car. Do your research, come to an out-the-door price you are willing to pay, secure your method to pay, and walk into/call a dealership and tell them what you are willing to pay for their car. If they say no.........walk!

Mike

+1. Definitely. However, carmakers and dealers continue to throw up smokescreens to tilt the table their way - e.g. invoice price used to be useful, it's meaningless today (as discussed earlier in this thread).

 

[HadEnuff]

So...I told you all about the place a bit farther away that beat the local place by $1700. We are heading up today to see if it's real. I think it is, based upon our phone conversation. And, they don't mind finding one in the color of DW's preference.
So, I contacted the local guy who never responded to my email. He said "I get about a hundred emails a day", I asked why he bothered having the email on his card if he wasn't going to answer emails...never got an answer. So I filled him in, and offered him a one-time chance to match the price. He said "I don't do business over the phone. You have to come in so we can talk face to face, and if I have to go that low it will have to be one of our cars on the lot"....uh...no....buh bye....

 

[travelover]

.......... He said "I don't do business over the phone. You have to come in so we can talk face to face, .......

I got this from a few dealers when I bought, too, and my response was the same. Good luck with that strategy in the internet age.

 

[RobLJ]

I bought a Silverado 1500 CrewCab this weekend. None of the Reno dealers had a 2017 model (the 2018s are now shipping), so I drove 80 miles, but got $9500 in cash back rebates, only available on the one 2017 Z71 that the dealership had in stock.
It turned out that a local offered to buy it while I was driving there, but the salesman kept it for me. A similar 2018 would have been about $8000 more.
I was going to shop for another couple weeks but one of the $750 rebates was only good through the weekend.
I originally wanted a midsize Colorado, but the Silverado was only about $1000 more (the Colorados are selling quickly, apparently).

 

[HadEnuff]

So, the deal is done. Got the $1700 discount just by sending a few emails. DW reports that Mr. "I don't do deals on the phone" has left a few messages for her.

 

[Eagle43]

I have 2 old vehicles, both long paid for. Both are running just fine. Just 2 weeks ago I went on a 700 mile roundtrip. Instead of risking a breakdown on the road, I rented a new car for the trip. I'm thinking for the small rental fee, I could do that several times a year and never spend $30000 for a new vehicle. I like the Honda CRV, but who knows, maybe I'll get one when I rent.

 

[rayvt]

I have 2 old vehicles,...Instead of risking a breakdown on the road, I rented a new car for the trip..

If you are not confident in your car, it's time to retire it and get a new one that isn't worn out. Plus, every physical component of a car is the same age. When one part breaks, it is a signal that all the parts are old & worn and getting closer to their end-of-life.

You will get a better trade-in on your old car if you drive it into the dealer, instead of having to towed in.

*Looks at name of board*
Poor people with no money have to drive whatever P.O.S. they can afford. Financially independent people don't Just like they don't have to buy day-old bread and scrape off the green parts.

Anyway....somebody will be buying a new car with your money. Either you or your heirs. Might as well be you.

 

[HadEnuff]

If you are not confident in your car, it's time to retire it and get a new one that isn't worn out. Plus, every physical component of a car is the same age. When one part breaks, it is a signal that all the parts are old & worn and getting closer to their end-of-life.

You will get a better trade-in on your old car if you drive it into the dealer, instead of having to towed in.

*Looks at name of board*
Poor people with no money have to drive whatever P.O.S. they can afford. Financially independent people don't Just like they don't have to buy day-old bread and scrape off the green parts.

Anyway....somebody will be buying a new car with your money. Either you or your heirs. Might as well be you.

agree. the tipping point for us was that DW has to travel two hours each way, several times a year to follow up on breast cancer treatment (everything is great on that count), and we just didn't trust the vehicle anymore. Upstate NY, in the winter, you don't want to be breaking down in an 11 year old Subaru. This peace of mind is part of what we worked for all of those years.

 

[HadEnuff]

I have 2 old vehicles, both long paid for. Both are running just fine. Just 2 weeks ago I went on a 700 mile roundtrip. Instead of risking a breakdown on the road, I rented a new car for the trip. I'm thinking for the small rental fee, I could do that several times a year and never spend $30000 for a new vehicle. I like the Honda CRV, but who knows, maybe I'll get one when I rent.

Not a bad strategy I suppose, but realistically the car is more likely to breakdown on the way to the mall, or the golf course, because the trips around town are where you burn the most miles. My time is too precious to me to be wanting to spend much of it arranging for a tow, and re-arranging my and DW's schedule around only having one car etc etc

 

[dd564]

I recently bought a Honda Pilot Touring. I emailed about 50 dealerships in over 20 states.

I'm in MN but ended up buying from a dealership in Dallas. I paid the $80 Spirit Airline flight and the $120 hotel room and $40 UBER.

Dealer picked me up from the hotel and I saved about $3,000-$4,000 over the lowest local offer.

Drove it back same day I bought it. It cost me 1,000 miles, but we'll keep it until it has 150k on it, so driving it for the first 1,000 didn't seem so bad.

 

[omni550]

I recently bought a Honda Pilot Touring. I emailed about 50 dealerships in over 20 states.

I'm in MN but ended up buying from a dealership in Dallas. I paid the $80 Spirit Airline flight and the $120 hotel room and $40 UBER.

Dealer picked me up from the hotel and I saved about $3,000-$4,000 over the lowest local offer.

Drove it back same day I bought it. It cost me 1,000 miles, but we'll keep it until it has 150k on it, so driving it for the first 1,000 didn't seem so bad.

Sounds like a good deal.

How specific were you on the options and color in your email for quotes?

How many dealers responded?

How long did the bid process take? Any tips?

omni

 

[dd564]

Sounds like a good deal.

How specific were you on the options and color in your email for quotes?

How many dealers responded?

How long did the bid process take? Any tips?

omni

I usually start researching cars a month or two in advance.
I kept a spreadsheet of all local inventory. I knew make, model, trim, and color I was pretty open on. Just one or two colors I wanted to avoid.

I tracked local inventory changes daily and would talk most with the ones with the oldest stock on the lot, but locally it still didn't end up mattering.

I was traveling for work, so it was by chance I tried out of market pricing and I had read on a Honda forum that someone else got a good deal out of Tx. So I priced a lot of metros where I could get a cheap flight.

Most of the pricing was done just clicking on the dealer links asking for their price, then wait for those to come in. Then reply back with a lot of emails. Tell them you have a better price. Include the specific number you have... not just around 22k. If you're specific, they'll get more specific. If you're vague, they'll stay vague.

 

[Bamaman]

Will these techniques to obtain the lowest price work for a lease? My experience has been that all pricing goes out the window when lease is mentioned. This is because most leases are handled by the manufacturers finance arm.
Has anyone successfully negotiated a lease price. What were the steps involved?

Leasing is negotiating the payment. Trouble is when they try to get you on back end inspection charges and turn in fees--ridiculous. Not all brands do that, however.

Lease payments are usually quoted at MSRP which is usually excessive profit. Offer them less per month. They can take less, as it is the dealer charging the front end acquisition cost.

 

[Bamaman]

Just to point out, the 1% is a target rate I use. High demand vehicles will demand you pay more

However, slower moving vehicles can really be had for a bargain. As an example, I had priced a 2017 Chevy Equinox. MSRP was $29,975 (pretty basic) but had some great incentives. Had offer from dealer of $155/mo lease (36/12K) with $1,070 down, or net $185/mo - that was 0.06% of MSRP!

There are times when you jump on a lease. The best deals are often on units that have a bunch of easy order group discounts that increase the MSRP but are free. That makes the lease end value higher and the payment lower.

And the lower depreciating cars like Accord or a Camry are better leases than say a Chrysler 200, Malibu or a comparable Hyundai or Kia.

But of all leasimg, Ford Credit's Red Carpet Lease is the most transparent and straightforward of all bramds. Tney literally wrote the book on retail leasing.

 

[Bamaman]

I forgot to say I was talking to my used car wholesaler friend the other day. He runs the big car auctions all the time.

He said there are thousands of Chevy Equinox's on the ground, and it looks like many are being sent to Texas and Florida. I would bet GMAC also has a bunch of Equinox lease returns they need to dump/liquidate.

 

[aja8888]

I forgot to say I was talking to my used car wholesaler friend the other day. He runs the big car auctions all the time.

He said there are thousands of Chevy Equinox's on the ground, and it looks like many are being sent to Texas and Florida. I would bet GMAC also has a bunch of Equinox lease returns they need to dump/liquidate.

Tx and FL had a lot of very wet cars. No wonder inventory is headed this way. Dealers are all over the TV offering flood incentives ($1000 off, etc).

 

[Midpack]

FWIW I bought a new car this morning and used the suggestions outlined in post #1, though I compressed the whole purchase process to less than 24 hours. I requested a price thru Costco at a nearby dealer yesterday, and requested internet pricing from 3 other nearby dealers. I was immediately flooded with interest via email (they all called too, but I didn’t answer) with some huge discounts, and some pitiful attempts too (the worst was $500 off MSRP ).

I’m not going to disclose the MSRP or invoice (they’re kinda meaningless these days anyway). If you’re really curious, I bought a loaded Subaru Outback Touring with $1025 in additional options - that’ll get you in the list price ballpark.

You don’t see the Costco price until you go to the dealer and pick a car. The Costco price was $3318 below MSRP. Not bad, and probably a good way to go if you’re averse to haggling - I’m not. Another benefit of the Costco approach, I’ll get “15% off parts, service and accessories for any household vehicle at participating service centers nationwide.” But as you’ll see, haggling pays...

After a few hours, I ended up signing at $4900 under MSRP. They made a good offer on my trade in (just above KBB, NADA & Edmunds), and when I told them I was going to another dealer, but I’d be back if theirs was the best offer, they gave me another $300 on my trade. Done.

I pick up the car tomorrow. I don’t buy cars often, my trade in was a 2007 - but I’m one of those odd ducks who thinks negotiating on cars is just an interesting challenge/puzzle, not hard or confrontational with just a little preparation, will and patience. The process in post #1 works very well for those who hate haggling, though you can compress it considerably, it’s a good roadmap to save thousands.