My only counter to this, is that if I come in and decide I’m am going to pay cash for the vehicle they still don’t make the mf profit. At this point I am debating this, since residual is low anyways.
Would they really refuse selling this car to me at msrp with cash? If not, then why not lease the vehicle at the buy rate?
Not sure if this is what you meant, but the difference between a soft inquiry and a hard inquiry is simply who can see it on a future credit report.
Hard inquiries are visible by anyone who pulls your report in the future (and these inquiries scoreable by FICO algorithms – although the impact is almost [or actually] nothing), while softs are only visible to the subject consumer when viewing their own report.
Fun(?) fact: the FCRA makes no distinction between the two, it only spells out what constitutes permissible purpose for accessing a consumer’s credit file.
If their goal is to make X over, of course they will.
All your posts reveal this unstated assumption that MSRP means something. It doesn’t.
I obviously don’t understand the game then. If going into a local dealership and paying msrp for a mass produced car in cash isn’t enough anymore, then what’s the point of the dealer? The Tesla system seems better at this point, just pay msrp and move on.
Mark ups on high demand products are common. If the market dictates a higher selling price, the msrp doesn’t matter, just as if the market dictates larger discounts.
The tesla model just puts a larger time delay on response to market demands and ignores local market differences.
I know I hear that these gle 63s are in high demand and are flying off the shelves. But he has 4 of these on his lot, and the other two dealerships in the area have 5 more each. This seems like a good amount of $125k+ cars to have in stock this late in the year.
My background is real estate, and I probably just need to stick to that. They, and you guys know much more than I do about these things, but from an outsider looking in, it seems like they will end up losing money on this car.
If they don’t want to hit the numbers you want, go to a different dealer. If no one will hit the numbers you want, revisit your numbers. No need to make it so complicated.
Do you always accept the 1st offer on a home, even if it’s at the full asking price? If you know there’s demand for a home, would you hold out hope for a better offer coming in? Same thing can apply in-demand cars.
I am not in residential, but I get your point. I just don’t beleive the demand is anywhere near what they are making it out to be, the supply is obviously there.
This explains everything.
It’s only a game in as much as anything in free market capitalism is a game. There’s no deal unless all parties agree to the terms.
Hire a broker if they can get a better deal.
But expect it to be only slightly less atrocious
I know you guys are sick of me by now, but now I am even more curious.
I reached out to a dealer in Dallas, a bigger city, on pretty much the exact same car. His original offer to me was a couple % under msrp and a little lower mf than the dealer here, but still not buy rate. He already got under my number with out me saying anything, but I asked for another $100 off a month and he agreed. This was all done in about a hour.
I am trying to wrap my head around why these two encounters were so different. The Dallas dealership only had this one 63 suv left on their lot. Common sense would make you think it should have been harder to deal with the Dallas dealership.
Do different dealers have different overheads? Different margins? Different kick backs? It doesn’t really seem to be all about supply and demand.
Yes to all of the above. Of course two independent businesses in different regions are going to have different costs of doing business. They’re also going to have different business models, different profit structures, different bonuses based on sales volume, etc
Yes, that’s why you need to cast a wide net until you can find a dealer who will do the deal that you want and are happy with.
Please post it in shared deals. congrats!!
Congratulations on getting the price you wanted. Most people on this forum are looking to get 20% discount pre-incentive on a 5,000 mile base Volvo/BMW loaner. You got the car you wanted at a price you were willing to pay, so awesome that we could help in the process.
Not only that, you could make the same offer to the same GM at the same dealership on two different days and get two different answers.
Supply and demand in the auto business aren’t like the lines or curves my Econ prof drew in Econ 101. They are based on perceptions. And perceptions are subject to human emotion. Some days they are bullish about hitting a home run, some days they’re ready to throw in the towel.
Like @chrishs2000 said, share the details of the lease.
Congrats! Share pics! Always nice to see GLE63’s… 
There’s evidently a reason your local dealer has 4 of these and the Dallas dealer will soon have none.
The best part will be when your local dealer calls you back later this week finally offering the base MF deal to try and ink a deal before month end and you can say “thanks but no thanks…” Hopefully you’ll be driving the new truck when they call. 
“Thank you, but I did better on my target deal with your competitor “ is a righteous response if the other dealer reached out to you.
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