I’m interested in purchasing a 2022 Volvo XC90 Recharge PHEV Extended Range, base trim - MSRP about $70k. Located in Los Angeles but open to getting it elsewhere in CA or another state.
A fair number of these are in stock in SoCal, so it should go for MSRP or less. But the question is how much under MSRP I can shoot for in this market. FWIW, I have Costco and Affinity incentives.
The 2023 XC90s are being released soon, not to mention the brand new Embla is around the corner. Am I better off waiting and shooter for a deeper discount on the 2022 XC90 extended ranges?
There is no Costco incentive currently, their car buying service won’t be able to help you.
There is currently $500 loyalty and another $500 A Plan if you are also eligible — that’s it for trunk money. Volvo is not currently passing any of the EV tax credit as a lease incentive, you must purchase to be eligible, assuming you have enough tax liability. There is also $750 in CCFR (lease or purchase), no CVRP or CVAP even if you’re eligible.
I’ve also been tracking inventory levels out here since the end of April: definitely more XC90s than XC60s, and inventory levels have slowly gone up. But we aren’t talking a glut either - like the X5e, for those eligible, it has both $7500 in Federal clean fuel, plus it’s Section 179 eligible.
You can look at the Marketplace to see what other brokers are offering and take your best shot. I think starting with invoice (~7%) with a target of closer to 4% is reasonable, but Volvo and most dealers missed their numbers in May. Finding one that isn’t stuffed with equipment is a challenge if this dealer won’t play ball. Luckily there are high single digits dealers with double-digit inventory to work with.
Others may have different opinions, and keep us posted how you make out.
You’re not getting a discount on one. DC area has been sold out of these for like a month. Nothing in Richmond or North Carolina either. They sell themselves without a discount - with gas prices as they are, everyone wants a car with a plug. Why would they discount it to sell to you when they could sell to someone at MSRP without any issue? Penske seems to have the most of them. If they wont discount, nobody will.
The inventory that has built isn’t plug in hybrids though. It is gas. You might get a discount on a T6 but not a T8.
2023s don’t have many changes based on what my dealer said. XC90 gets the Google system that my XC60 has and the trims are completely changed to match XC40 Recharge
Great thoughts, thanks. I will give it a try and keep everyone posted.
For a base XC90 extended hybrid, the MSRP is about $65k and invoice is $61k. So a discount of $4k could be asked for. Agree that the add-ons are annoying (most I don’t want or need) and are pushing the base models close to $70k.
This is a big chunk of change with a likely recession coming, so maybe opportunities are out there. Seems the conventional wisdom is that summer is a bad time to buy cars, so maybe I should wait a couple of months for the 2023s to roll out. But with scarcity, the 2022s may be gone by then and wouldn’t be able to get the color I want.
Good thoughts, which is why the thought of dropping maybe $80k out the door is scary.
But the PHEV aspect and esp. extended range seems important. Rare on a 3-row SUV, which is what we need. Wouldn’t underestimate that and not sure why you say it’s not worth it. The PHEV isn’t even that much more than the gas version. If for gas, I wouldn’t look at the XC90 in the first place. Infiniti QX60 or Telluride/Palisade seem like better options.
They’re both PHEVs eligible for the clean fuel credit and Section 179. They have built-in demand - even if there is inventory (and there is for the first time in a long time) don’t expect a huge discount.
