Is there anyone who has advice on what percentage below msrp to shoot for. Does it vary by make or is there a general rule of thumb. Thanks.
Yes it does vary greatly by many factors including make, year and model.
You need to search latest threads of this forum to see what comes close to what you are looking for.
I have searched. But I haven’t found the answer. I am concentrating on 2 brands. Both 18’s vw tiguan sel and Mazda gt mx5. Would love any insite. Thanks.
I’m debating same thing with a Chevy Colorado with an MSRP of $35.9k. They offered up $33.7k off the bat. I bet there’s more room. $32k?
Search through threads on here that relate to the car(s) you’re considering. You can also research NADA, KBB, Edmunds, TrueCar, etc. to get an approximate idea of what the vehicle is selling for. When I leased my last car the information there was pretty close to what I saw people posting on various forums.
Also when reaching out to Edmunds to validate the RV and MF look through the lease thread for the car(s) you’re looking at to see what discount others were able to get. You’ll need to factor in geography (a RWD C300 would likely sell for less in the Northeast than in LA for example) but you’ll get a rough idea of what people are netting as far as discount off MSRP.
% off MSRP is so irrelevant these days because of the holdback, rebates, conquest, etc.
The only ones trying to sell you on giving you a good deal is the dealer who will use MSRP discounts to convince you that you’re getting a good deal. It doesn’t mean much these days.
Not unless you use %% off before all incentives. For example, if standard for a brand from MSRP to (invoice - holdback) is 12%, then you can shoot for 10-11% before all incentives.
1 Like
So how can I estimate the hold back. I leased a Nissan pathfinder and I was able to get 12% off msrp. I think there was only a few hundred in incentives. To me that was a good deal. Quotes I have been getting on the 2 brands I am looking at are 5 to 6 percent off msrp. I also don’t like just settling on a comfortable monthly because it may be too high. I have done that in the past and afterwards found out I got killed.
1 Like
Ok. Thanks for that. I understand now about holdbacks advertising money etc… So one last question. If I am looking at a vw tiguan with an msrp of $33690. Edmunds tmv says $30800 is average price. Should I shoot for that number as the sale price of the car then ask for the
$800 Lease Cash on top of it or should that include the lease cash. My calculations come out to $350 at $30800 and $325 per month with the additional $800 taken off. Maybe a few bucks more for tax on the rebate. When I originally came out and said $330 a month to the dealer he looked at me like I had 8 heads. I am rolling everything in including nys tax just dmv and first month out of pocket.
Edmunds TMV and such are for reference only. Check also TrueCar and try for the lowest you see there, and read on Edmunds Tiguan forum to see what others pay. $800 lease cash should be on top of any price you get from the dealer, if you don’t tell them you want to lease first.
Yea the cat is already out of the bag. When I negotiated the price and I said what about the 800 Lease Cash he said oh that’s in there already. I will play their game and see what I can accomplish. Thanks for your help!
Well, if you didn’t tell him about lease first, then it’s not. Lease cash does not get included in the sale price “by default” because they always quote you purchase price (if they don’t know you are leasing).
Yea that was a mistake. I should have negotiated like I was purchasing first. I didn’t do that.
Just find another dealer further away with the same vehicle, restart negotiations with them (Don’t mention lease), when you have gotten them down as low as they will go, bring that offer back to the original dealer.
Yea. I was thinking that as well. But in the past 2 weeks I managed to go to 4 or 5 vw dealers close to me. I have to see if there are any more in a comfortable range. I never thought about negotiating a price before leasing. Makes alot of sense.
And you should only go to a single dealer in person, to ensure you actually like the vehicle, as opposed to something else. The rest of the negotiations should be remote (email, text or phone) at least until you are down to the very end. Otherwise it’s just wasting time.
1 Like
I have been doing that. Negotiating by email. Playing the he gave me this price so what can you do game. Seems to be working thus far.