Car shopping in today’s world...

MZ DAIZY

Thinking about upgrading wife’s war wagon. She’s got a 2011 Kia Forte hatchback with 32,000 miles on it. Runs fine and only had one problem with it (CEL) which was fixed for about $500, About a year ago. She wants the creature comforts of today’s cars, like LED’s, heated seats, remote start, etc...

Called the local Honda dealer. They have a 2023 HR-V AWD which would suit her needs (and mine) to a tee. MSRP of roughly $29,000.

So far so good...

Comes to financing now. $602 a month for 72 months with $4,000 down.

Me: uh, excuse me? What’s the interest rate?
Dealer: 5.9%
Me: ok, how do you come up with that number?
Dealer: $4,000 down on a $39,000 vehicle?
Me: $10,000 over sticker price?
Dealer: we’re not the worst ones out there.
Me: Stick it up your ***.
Dealer: sir, you don’t understand...
Me:say hello to Mr. dial tone. :click:

I’ll wait a couple of months, years when we go back to “negotiating” a price. This clowns should be run out of business by the manufacturer’s.

Next to a lawyer or politician, I can’t think of a lower life form than a car “dealer”.

:rant off:

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xxAGAVExx

Yeah they suck, just bought a used car a few weeks ago for our new Au Pair. Found a 2020 Hyundai Sonata for $15k, test drive it, had my wife drop me off so I could do the paperwork, final out the door price almost $20k. I was like how do you get that number? Come to find out they had a high dealer fee and a $2k refurbishment fee or some BS like that. Walked right out. I guess this is somewhat common at used dealerships, haven’t bought used in a while. Needless to say I bought a used Kia from a dealership with no BS fees. Ugh.


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MZ DAIZY

Worst part was they wanted more for a used one with 23,000 miles on it.

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Stillen Gen 3 CAI, Fast Intentions CBE, Z1 34 Row Oil Cooler, Ecuteck Tuned by Dave at Z1, Clear Bra, Z1 Hood Stuts

BORNGEARHEAD

My dealership sells everything at sticker price while other dealerships in the area are selling @ $5k over sticker. - Madison area

Inventories are starting to fill back up and the prices are starting to come down.

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'20 370Z Sport - '15 Frontier - '04 350Z Roadster - '79 Datsun 620

Spooler

I hate having to go buy a car also. I can't stand it. When I bought my 2013 Nismo I did it all over the phone and had the car shipped to me. That was easy enough. LOL

Rusty

My '99 Ram 1500, 08 Power Wagon and '13 Grand Cherokee TrailHawk. I used my employee discount. All 3 was special ordered. Bought my Nismo used. Dealer wanted $39,000. I offered $35,000, and they took it. My '22 Jeep Gladiator. I special ordered it too. I used my Tread Lightly membership on it. 1% under dealer invoice.

New Bronco's are ridiculous. Anywhere from $5K to $15K over dealer.

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浪人 - 殺し屋
"The Difficult Anytime, The Impossible By Appointment Only"
http://www.the370z.com/members-370z-...o-journal.html

vtec to vvel

My opinion:

We're in a bit of a weird spot. On one hand, due to COVID, there still is a global supply/parts/labor issue. On the other hand, the feds are trying to fight inflation and raising rates beyond belief (three 75 bps raises YTD), with a few more increases expected by the end of the year. While the feds are trying to discourage spending to bring inflation under control (which is good for a still qualified buyer, as the dealership knows there will be less potential buyers and in theory should be more likely to work with a buyer to get their business), this still doesn't help with the supply/inventory side. At least in real estate, this contributes to the inflated home prices and values, and I would imagine this would be the same concept for the auto industry with elevated car pricing and values.

In regards to the 5.9% rate, was that the bank/lender talking or a car salesperson that gave you a random number? Especially in today's climate of a rate-rising environment, what you could do is go to your local bank and see if they have an option to do a soft-pull on your credit and see what you could qualify for in terms of loan amount and rate - that way, you have an idea of where you stand and not just relying on the F&I Manager of hopefully doing their job. Just keep in mind though that the F&I Manager may be able to offer a better rate through his lender network than what your bank/lender could offer (this is the reason for the soft-pull as you don't want your score potentially decreasing). Think of it this way: if you get pre-approved through your bank, you are a $29K customer vs the dealership being a $1 million+ customer to the bank, so who's more likely to get a better deal?

I come from mortgage lending, so things may be a bit different in auto lending. When it comes to rate, no bank/lender has a magical rate, and should be relatively the same across the board. For example, if you see 4 gas stations at an intersection, there is a good chance they may offer different pricing for gas, but by a few cents difference and not by a dollar - same principle with interest rates.

I will say that I think you do have some leverage to negotiate because you are going in with a trade-in and you have the potential to the dealership to be the starting domino effect of yielding multiple deals for them because of your trade-in.

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MZ DAIZY

You think the Broncos are overly marked up, you should see what they’re asking/getting for the new Z. Oh, wait....

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Stillen Gen 3 CAI, Fast Intentions CBE, Z1 34 Row Oil Cooler, Ecuteck Tuned by Dave at Z1, Clear Bra, Z1 Hood Stuts

MZ DAIZY

All good advice, but my issue wasn’t with the financing, it was with the $10,000 markup on a $29,000 vehicle. That’s a 35% markup!

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Stillen Gen 3 CAI, Fast Intentions CBE, Z1 34 Row Oil Cooler, Ecuteck Tuned by Dave at Z1, Clear Bra, Z1 Hood Stuts

Rusty

One other forum I'm on. Guys have traded in their 2020 for a 2022 model. They got more on traded in for their 2020 than what they paid for it. Plus got a hell of a deal for the 2022. Unreal.

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浪人 - 殺し屋
"The Difficult Anytime, The Impossible By Appointment Only"
http://www.the370z.com/members-370z-...o-journal.html

xxAGAVExx

Haha, that’s just crazy


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vtec to vvel

Gotcha. Yeah, in today's world, unfortunately, crazy mark-up's are the norm at least for now until sh!t starts to go back to the pre-COVID era.

I had a client that paid $85K over the appraised value of a home

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MZ DAIZY

I paid almost $100K over.

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Stillen Gen 3 CAI, Fast Intentions CBE, Z1 34 Row Oil Cooler, Ecuteck Tuned by Dave at Z1, Clear Bra, Z1 Hood Stuts

ZeeingAround

7% credit union loan for my kid. His Altima died. He bought a used 2004 2500 Silverado for $6500.00. dented, scratched, broken tail light, rusted rockers.
Market is efing crazy.

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MZ DAIZY

I’m working with a Mazda dealer who actually took $2,000 OFF the MSRP. He’s got tons of stock. I’ll wait for even more stock before we finalize a deal.

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Stillen Gen 3 CAI, Fast Intentions CBE, Z1 34 Row Oil Cooler, Ecuteck Tuned by Dave at Z1, Clear Bra, Z1 Hood Stuts