When is the best time to buy a NEW car?

[mb]

Originally posted by: DingDingDao

Originally posted by: Taggart

Originally posted by: DingDingDao

Originally posted by: Taggart
I agree with supafly. You can get good deals on used cars at places like Carmax IF you use your brain and do your homework. The dealer will always rape you when selling you a new car, you have no idea what their cost was from the manufacturer. There is a built in premium for new cars that disappears when you drive it off the lot.

Um, actually, there are plenty of sources for determining the dealer's cost on a vehicle. If you don't know how much the dealer paid for a new car when you go to negotiate, you're really starting off badly.

And I'm not talking about invoice, since we all know that even at invoice a dealer is making money.

But alas there are 'marketing' dollars and other kickbacks that the dealers get for selling you that car you will never know about. A dealer will always secure a nice profit from you, no matter what Edmunds or Kelly Blue Book say.

And you don't think that Carmax makes a VERY healthy profit on every car they sell?

While they make a profit, the average is not "VERY healthy" as you say.

 

[Taggart]

Originally posted by: DingDingDao

Originally posted by: Taggart

Originally posted by: DingDingDao

Originally posted by: Taggart
I agree with supafly. You can get good deals on used cars at places like Carmax IF you use your brain and do your homework. The dealer will always rape you when selling you a new car, you have no idea what their cost was from the manufacturer. There is a built in premium for new cars that disappears when you drive it off the lot.

Um, actually, there are plenty of sources for determining the dealer's cost on a vehicle. If you don't know how much the dealer paid for a new car when you go to negotiate, you're really starting off badly.

And I'm not talking about invoice, since we all know that even at invoice a dealer is making money.

But alas there are 'marketing' dollars and other kickbacks that the dealers get for selling you that car you will never know about. A dealer will always secure a nice profit from you, no matter what Edmunds or Kelly Blue Book say.

And you don't think that Carmax makes a VERY healthy profit on every car they sell?

Again, if you do your homework you can get a good deal on certain cars. I know Carmax gets the Clark Howard seal of approval. That alone gives me confidence

 

[DingDingDao]

Originally posted by: supafly

Originally posted by: DingDingDao

Originally posted by: Taggart

Originally posted by: DingDingDao

Originally posted by: Taggart
I agree with supafly. You can get good deals on used cars at places like Carmax IF you use your brain and do your homework. The dealer will always rape you when selling you a new car, you have no idea what their cost was from the manufacturer. There is a built in premium for new cars that disappears when you drive it off the lot.

Um, actually, there are plenty of sources for determining the dealer's cost on a vehicle. If you don't know how much the dealer paid for a new car when you go to negotiate, you're really starting off badly.

And I'm not talking about invoice, since we all know that even at invoice a dealer is making money.

But alas there are 'marketing' dollars and other kickbacks that the dealers get for selling you that car you will never know about. A dealer will always secure a nice profit from you, no matter what Edmunds or Kelly Blue Book say.

And you don't think that Carmax makes a VERY healthy profit on every car they sell?

While they make a profit, the average is not "VERY healthy" as you say.

I'd say 500% profit is pretty healthy

 

[mb]

Originally posted by: DingDingDao

Originally posted by: supafly

Originally posted by: DingDingDao

Originally posted by: Taggart

Originally posted by: DingDingDao

Originally posted by: Taggart
I agree with supafly. You can get good deals on used cars at places like Carmax IF you use your brain and do your homework. The dealer will always rape you when selling you a new car, you have no idea what their cost was from the manufacturer. There is a built in premium for new cars that disappears when you drive it off the lot.

Um, actually, there are plenty of sources for determining the dealer's cost on a vehicle. If you don't know how much the dealer paid for a new car when you go to negotiate, you're really starting off badly.

And I'm not talking about invoice, since we all know that even at invoice a dealer is making money.

But alas there are 'marketing' dollars and other kickbacks that the dealers get for selling you that car you will never know about. A dealer will always secure a nice profit from you, no matter what Edmunds or Kelly Blue Book say.

And you don't think that Carmax makes a VERY healthy profit on every car they sell?

While they make a profit, the average is not "VERY healthy" as you say.

I'd say 500% profit is pretty healthy

Hah!
I'm not going to say how I know, but that is soooooooooooooooo far from the truth.

 

[StageLeft]

My personal experiences with carmax were: three appraisals on three cars:

1) 93 sentra trade-in KBB at $500 for trade-in by KBB. Carmax offered $900. I sold private party $1200. Thumbsup to them for that offer; it was good.
2) 97 maxima KBB at $3400 for trade in by KBB. Carmax offered $4700. I sold private party at $5500. Again, a good offer on their part.
3) 00 Maxima KBB at $6400 trade in by KBB. Carmax offered $5500. Another dealership offered $8800. FVCK THAT. They had a car almost exactly the same on the lot for $12k. Mine was a touch lower in amenities, so it would have gone on their lot for $10-11k. I call that a "VERY healthy" profit.

 

[olds]

I should have my wife post here. She is a Finance/Internet Manager for a Chevy dealership. When I tell/show her these threads, she always gets a chuckle out of the misinformation.
Hmmm... if she posted, ATOT could get owned by the oldsmoboats instead of just oldsmoboat. We could make it a family affair.
On a side note, there is some good info here. But there is so much bad info it drowns the good out.

 

[Illusio]

best time to buy a car is usually at the end of the month. Thats when dealers want to get the last minute sales in before incentives end and to help them meet monthly sales goals. Model year end is in August, which is another good time, they want to get rid of last years models to make room for the new. If your going new, and can wait, wait till you see a really good APR rate advertisied. Lots of times manufacturers will have like Zero APR for 1 weeked only or something. Thats the time to jump on the deal.

 

[DingDingDao]

Originally posted by: supafly

Originally posted by: DingDingDao

Originally posted by: supafly

Originally posted by: DingDingDao

Originally posted by: Taggart

Originally posted by: DingDingDao

Originally posted by: Taggart
I agree with supafly. You can get good deals on used cars at places like Carmax IF you use your brain and do your homework. The dealer will always rape you when selling you a new car, you have no idea what their cost was from the manufacturer. There is a built in premium for new cars that disappears when you drive it off the lot.

Um, actually, there are plenty of sources for determining the dealer's cost on a vehicle. If you don't know how much the dealer paid for a new car when you go to negotiate, you're really starting off badly.

And I'm not talking about invoice, since we all know that even at invoice a dealer is making money.

But alas there are 'marketing' dollars and other kickbacks that the dealers get for selling you that car you will never know about. A dealer will always secure a nice profit from you, no matter what Edmunds or Kelly Blue Book say.

And you don't think that Carmax makes a VERY healthy profit on every car they sell?

While they make a profit, the average is not "VERY healthy" as you say.

I'd say 500% profit is pretty healthy

Hah!
I'm not going to say how I know, but that is soooooooooooooooo far from the truth.

Clearly, my fiancee's situation was (hopefully) extreme, but when you offer someone $2200 for their car, and sell an almost identical car for 5 times as much ($10,995), I don't care what you do to the car, you are NOT going to spend $9000 on making the car "Carmax certified" or whatever they call it. My fiancee's car is mechanically sound, no leaks, no problems, the paint is good, as is the interior. Unless they make it a routine to replace the engine and the body panels, I can't honestly figure out where $9000 profit is lost.

 

[Taggart]

Originally posted by: oldsmoboat
I should have my wife post here. She is a Finance/Internet Manager for a Chevy dealership. When I tell/show her these threads, she always gets a chuckle out of the misinformation.
Hmmm... if she posted, ATOT could get owned by the oldsmoboats instead of just oldsmoboat. We could make it a family affair.
On a side note, there is some good info here. But there is so much bad info it drowns the good out.

You are such a tease, please enlighten us

 

[mb]

Originally posted by: DingDingDao

Originally posted by: supafly

Originally posted by: DingDingDao

Originally posted by: supafly

Originally posted by: DingDingDao

Originally posted by: Taggart

Originally posted by: DingDingDao

Originally posted by: Taggart
I agree with supafly. You can get good deals on used cars at places like Carmax IF you use your brain and do your homework. The dealer will always rape you when selling you a new car, you have no idea what their cost was from the manufacturer. There is a built in premium for new cars that disappears when you drive it off the lot.

Um, actually, there are plenty of sources for determining the dealer's cost on a vehicle. If you don't know how much the dealer paid for a new car when you go to negotiate, you're really starting off badly.

And I'm not talking about invoice, since we all know that even at invoice a dealer is making money.

But alas there are 'marketing' dollars and other kickbacks that the dealers get for selling you that car you will never know about. A dealer will always secure a nice profit from you, no matter what Edmunds or Kelly Blue Book say.

And you don't think that Carmax makes a VERY healthy profit on every car they sell?

While they make a profit, the average is not "VERY healthy" as you say.

I'd say 500% profit is pretty healthy

Hah!
I'm not going to say how I know, but that is soooooooooooooooo far from the truth.

Clearly, my fiancee's situation was (hopefully) extreme, but when you offer someone $2200 for their car, and sell an almost identical car for 5 times as much ($10,995), I don't care what you do to the car, you are NOT going to spend $9000 on making the car "Carmax certified" or whatever they call it. My fiancee's car is mechanically sound, no leaks, no problems, the paint is good, as is the interior. Unless they make it a routine to replace the engine and the body panels, I can't honestly figure out where $9000 profit is lost.

If that other car (the $10,995 one) had been sitting on the lot for a while, it wouldn't be to their advantage to offer much on a similar car if it's not going to move either. There could be other reasons as well, but I don't know the circumstances.

To get the most money, it's always best to sell privately. When you sell to a dealer they resell it to make money. When you sell privately, it's usually to another private user, who isn't buying to resell.

 

[farmercal]

My wife said that the best time of the year to buy a new car is August. This is what the experts said on a report she saw not long ago.

 

[olds]

Dealers make more money on used cars than they do on most new cars. Exceptions are Corvettes and other high demand models.
My wife sells other vehicles for $500 over invoice all the time. It depends on demand.
The end of the month is the best time to buy. Most dealers can't buy the cars outright and pay "flooring" which is basically interest. Each month the bank comes by and inventories what is on the lot.
Yes there are dealer incentives/hold backs/advertising dollars that the dealer gets that the buyer doesn't know about. The disadvantage for the buyer is that you won't know how much wiggle room they have and the dealer will. The dealer is in business to make money, not give cars away. They have high overheads. Car lots are usually in prime real estate areas. There are utilities to pay, office workers to pay (they don't generate commission) and a host of other things.
Salesmen cannot set prices. Fleet managers can. In the olds days it was best to just deal with the Fleet manager. Now days most of them still will deal with you but may "turn" you to a salesman if they are very busy.
If you go into a dealership with an arm load of papers and acting like you know what you are doing, you will likely be "shopped". They will size you up as a problem child and not take you seriously. They assume that you are just there to get info/prices and will buy somewhere else and they don't want to take the time to give you the best price and then have you go down the street and ask another dealer to beat their price by $50. A good salesperson will humor you.
Definitely go in knowing what you want and what you will pay. But don't act like you are some kind of car buying pro. They do it for a living. It's great to be knowledgeable but not arrogant. It isn't ATOT.

 

[Hammer]

find out what day they close the books every month, and buy the day of.

 

[phreakah]

i'll admit i was a bit of an ass when i bought my car, but it was worth it.. got them to give me the price i wanted

however, none of the the salesmen really knew anything about the car i was buying (and i bet they didnt know anything about any of the other models, either).. so i was already pretty pissed about that. it's crazy

 

[Drakkon]

Originally posted by: oldsmoboat
Dealers make more money on used cars than they do on most new cars. Exceptions are Corvettes and other high demand models.
My wife sells other vehicles for $500 over invoice all the time. It depends on demand.
The end of the month is the best time to buy. Most dealers can't buy the cars outright and pay "flooring" which is basically interest. Each month the bank comes by and inventories what is on the lot.
Yes there are dealer incentives/hold backs/advertising dollars that the dealer gets that the buyer doesn't know about. The disadvantage for the buyer is that you won't know how much wiggle room they have and the dealer will. The dealer is in business to make money, not give cars away. They have high overheads. Car lots are usually in prime real estate areas. There are utilities to pay, office workers to pay (they don't generate commission) and a host of other things.
Salesmen cannot set prices. Fleet managers can. In the olds days it was best to just deal with the Fleet manager. Now days most of them still will deal with you but may "turn" you to a salesman if they are very busy.
If you go into a dealership with an arm load of papers and acting like you know what you are doing, you will likely be "shopped". They will size you up as a problem child and not take you seriously. They assume that you are just there to get info/prices and will buy somewhere else and they don't want to take the time to give you the best price and then have you go down the street and ask another dealer to beat their price by $50. A good salesperson will humor you.
Definitely go in knowing what you want and what you will pay. But don't act like you are some kind of car buying pro. They do it for a living. It's great to be knowledgeable but not arrogant. It isn't ATOT.

so true so true...i went in this weekend looking like i knew nothing...in my pocket i had a little flip book and a calc when i went in to negotiatie i showed him all the previous notes from other dealers...said beat this guys price...started playing with the calc to show him some numbers and was willing to play around with him...ended getting my new truck for 5K under invoice + a free trip + free oil changes for 3 years + $500 off extended warrenty package (7/70)

 

[Taggart]

Isn't it true that the bank owns all the cars on a dealers lot?

 

[DeviousTrap]

Originally posted by: Taggart
Isn't it true that the bank owns all the cars on a dealers lot?

For most dealers it is as the dealers can't afford to buy the cars outright. They basically pay interest on cars when they sit on the lot and then pay back those loans once the cars are sold.

 

[compuwiz1]

A good deal is a state of mind! Really, if you are the type of person who must go from dealer to dealer, just trying to save $50, you probably drive yourself crazy and the people around you even crazier. There is no such thing as a free lunch. If you like the person you dealt with, got good service and the deal seemed fair, isn't that enough?

Most people are not asses, and most understand that a profit will be made and are fine with that. That being said, the best time to buy can be anytime. Year end clearance is the best, if you don't mind buying a model from last year or old age inventory. The longer a vehicle has been in stock, the more willing the dealer will be to cut it loose.

The model you have chosen and the supply will matter as to what kind of a deal you can get. Right now, as an example, you can expect to pay over sticker for an 05 Mustang Gt, but could buy an 04 for less than dealer invoice, if you found it.