Aggressive initial offer - you WILL get push back at 11.4%. Dealers have limited inventory so be ready to settle on something short of your target if/when you get shut down. Best thing to do is look at deals in the past 2–3 weeks and see what is possible in today’s market. I don’t track current Volvo pre-incentives closely but if memory serves wrap your head around 9-9.75% as a possible “best you can do” figure. Be ready to settle on pre-incentive discount less than 11.4. Do your homework - which you are doing now.
MF 0.00067 - I trust you verified this is the buy rate in your region. Keep an eye on the MF the dealer puts in your deal. Be alert to any mark-up.
You’ll get more help here if you make a best-effort attempt to make the numbers accurate
There is no reason to assume any of those things. You can literally call the dealer up and ask what their doc fee is or look for it on their website.
Making an offer is useless without being close to accurate, for example a dealer could agree to a payment and DAS that includes 9% tax because he knows it’s really 3% and he can pocket the rest
We did go test drive the vehicle last night and he beat me to the punch with an offer.
$51,905 MSRP
$46,840 Sell Price (He couldn’t tell me the breakdown of dealer discount, incentives, etc.)
$3,000 down
$32k for trade
10k @ 36 months
$636/month
I asked for a breakdown of the numbers (including tax and fees) and that caught him a bit off guard…Once I see the breakdown I’ll be able to see where they might be taking advantage.
They offered you a price on something you enquired about. They were not taking advantage of anything aside from the fact that you gave up leverage by stepping foot inside to talk there.
He gave me the breakdown which is essentially exactly as you commented.
$ 2,250 Volvo-to-Dealer Incentive
$ 2,815 Dealer Discount
5.4% Pre-Incentive Discount Offered
HOWEVER, the MF he gave me was .00104 or 2.5% and RV was 55%.
These numbers were off compared to what I got on Edmunds this morning. He asked me where I came up with those numbers and I drew a blank…lol. How do I explain that without saying “off a forum on Edmunds” lol
There is usually no funny business with RV. Off by one is usually difference between 10k and 12k. Or sometimes different models, T5 vs T6 for example (I am not saying this is the case). Double check your work.
If you want a good deal in this market you need to approach multiple dealers. See what the next one says.
You want the current RV, RV plays a big role in your payment.
Make sure the RV from Edmunds and from the dealer is for the same mileage. If you don’t specifically ask, Edmunds gives you based on 15k and you add 2% for 12k miles.
Did you get a quote from Carvana and Vroom for your current car? If you have cash on hand, you might minimize your negative equity by working with someone other than the dealer. At a minimum, you can use better offers (if they come) as leverage with the dealer.
Then save cash on inceptions fees by rolling them all into your new lease.
