Can you deal on new cars any more?

[jeryst]

My daughter is out of college and wants to buy hew first new car (a GMC Terrain SUV). We went to two dealers, one in the small town where we live, and the other in Pittsburgh. The car she is looking at is around $40k and she has no trade, so it would be a straight deal.

Both dealers told us the same thing. That other than a small $500 rebate, they could not sell the car for less than the sticker price.

Now I haven't bough a new car in a long time, but whenever I did, I was always able to get a couple thousand off of the price, especially on a straight deal.

So has everything changed since I bought my last new car, or is this some new tactic to get full price for all of the cars they sell? I told them that if they knocked $2k off of the car, we would buy it right now, but they said no, yet there are truck rebates that are in the $6k to $9k range.

They said they only make a couple hundred dollars on a new vehicle, and they would get fined if they sold them for any less. Both dealers told us pretty much the same thing.

I find it hard to believe that they arent making at least $5k on this vehicle. Have cars become a commodity and now none of the dealers can be competitive, or have they just decided to stick together and stick to this story even though it means the loss of a sale?

I'd really appreciate some guidance on this. (BTW, I know its not a Chrysler, but its her money, and its what she likes, lol).

 

[ramenth]

You'd be surprised at the low mark-up on a new car, though there should be a little more wiggle room than what you're being told.

While I was at Ford, we had a purchase program that would allow us to buy the vehicle for dealer cost. Sometimes that would only be $2000-$3000 less than sticker, depending on the vehicle. Some of the more popular vehicles like the Ranger, could be had for more of a savings.

There are some manufacturers who allow even less of a mark-up. Hyundai is one of them. When I was at Hyundai I was told that some of the cars, like the Elantra, only have a $500-$1000 mark-up, depending on options.

Take a look at a lot of new car dealerships. See all those used cars on the lot? Why do you think all the used cars are there? A Dodge isn't sitting on the Chevy dealer's lot to try you on to the lot and try to convince you to buy a new Chevy. It's there, because after getting the car wholesale, they can make a helluva lot more money on that low mileage used Dodge than they can on the brand new Chevy. Our biggest new car dealership here, is also our biggest used car dealership. Think about it.

And don't even get me going on idiot salesmen who are more set on making the deal on that used car for the bigger commission, when the buyer really should be in a new car.

It might be worth the trip to other areas to larger dealerships who have more buying power than to stay somewhat local. There's a reason the larger dealerships have the ability to mark down more on MSRP. When you have the buying power it's cheaper to buy fourty than it is five, giving the dealer more wiggle room on the final sales prices.

How set is she on this particular car? Might be time to do some comparative test drives with other brands and then start playing the dealerships against each other. "I can buy this Ford for $3000 less than your Chevy..." Get an offer sheet from other dealerships, compare prices, then go back to Chevy and see if they change their tune.

 

[kursplat]

try looking at the used ones
http://www.edmunds.com/gmc/terrain/2010/

at the very least she should be aware how much it's going to drop as soon as she signs for it.

chevy, like a rock. because that's what the value does...

 

[74 challenger]

My friend bought a new car and got a killer deal. The trick was buy at the end of the year when they need to get the cars off the lot.

 

[Avalanche]

The end of the month is always a good time to buy, since the salesmen are trying to meet quotas.
Or just be patient, Chevy will run promotions.
Call around to see if any dealer has a leftover 2012 on the lot

 

[VeteranCosmicRocker]

My daughter is out of college and wants to buy hew first new car (a GMC Terrain SUV). We went to two dealers, one in the small town where we live, and the other in Pittsburgh. The car she is looking at is around $40k and she has no trade, so it would be a straight deal.

Both dealers told us the same thing. That other than a small $500 rebate, they could not sell the car for less than the sticker price.

Now I haven't bough a new car in a long time, but whenever I did, I was always able to get a couple thousand off of the price, especially on a straight deal.

So has everything changed since I bought my last new car, or is this some new tactic to get full price for all of the cars they sell? I told them that if they knocked $2k off of the car, we would buy it right now, but they said no, yet there are truck rebates that are in the $6k to $9k range.

They said they only make a couple hundred dollars on a new vehicle, and they would get fined if they sold them for any less. Both dealers told us pretty much the same thing.

I find it hard to believe that they arent making at least $5k on this vehicle. Have cars become a commodity and now none of the dealers can be competitive, or have they just decided to stick together and stick to this story even though it means the loss of a sale?

I'd really appreciate some guidance on this. (BTW, I know its not a Chrysler, but its her money, and its what she likes, lol).

In my personal opinion, there is not a more untrustworthy being, than a new/used car salesman. "Fined" ? by who, the SMPD (Sales Manager Police Dept) ? Those peope are sheisters, crooks & scammers who spend their idle time thinking of ways to bamboozle buyers.