Invoice Price?

[Cammyron]

Hi All. I am in the process of purchasing a 2010 Titanium TDCi and am trying to get an idea of the inovice price of the car for negotiating. I have been seraching endlessly and can not find it anywhere. I guess it may not be availible but if someone knows that woudl be great.

Also does anyone know what dealer incentives, if any, are being offered on the Mondeo range at the moment?

Cheers

Cam

[XtRmn8]

What do you mean by invoice price? Are you referring to the price that the dealer has paid for the car?

You should be able to get at least $2000-$3000 off RRP drive-away price, but this will depend on state and dealer. If you want a real bargain try and find a late 09 plated car and see if you can but it as an un-driven demo. That is what we did and got $7000 off RRP drive-away price.

[Cammyron]

Yeah i mean the price the dealer paid for it.

$7k off is a fairly decent saving Which state/dealer was this at?

[Polyal]

Knowing what the dealer paid for it would make no difference. If someone came up to me and offered anything near a buy price for a product id tell them to go jump, quickly.

I think your better off looking at carsales etc and seeing what the current asking price is. They are new cars after all, im sure you can haggle a little but you wont get anywhere near the buy price, because they gain nothing by selling it.

[obione980]

Hang in there Cammryron. Dealers will sell if they are making a profit - be it ever so small.

Be persistent and polite! Oh! And ask to speak to the Dealer Principal - or Sales manager in really big dealerships!!

[AlanD]

Hi,

There are so many things that go into determining the price a dealer is willing to sell a car to a customer for that the dealer invoice price can be a bit meaningless.

Here are just a few that can have an effect - and the purchaser is not likely to be aware of many of them.

1. Dealer monthly sales targets - if the dealer has not sold enough numbers, the deals tend to be better.

2. Vehicle in stock: likely to result in a better deal owing to less paperwork and trouble for the dealer.

3. Model change: A new but previous model in the dealer's inventory is likely to be discounted more heavily than the newer model.

4 Booming economy: Seems paradoxical, but when sales are brisk the dealer is prepared to make less on each unit sold because the overheads stay pretty much constant.

5. Stagnant economy: the reverse of 4 ( but exceptions can occur)

6. Vehicle in inventory for a long period: Tends towards a better deal because the car is costing the dealer money just sitting there. Most dealers use a dealer finance package to purchase the car so the repayments continue and the car is not generating cash flow. Our Mondeo fell into this category, this together with an upgraded model being released allowed us to negotiate a 9 grand discount from the normal list on road cost - but it was exactly the car we were looking for, might have preferred a lighter colour, but the blue looks OK to us.

7. Manufacturer incentives: There are times when a dealer will be receiving a rebate on the invoice price from the manufacturer to increase sales, especially in slow sales months (I believe these are usually January ie post Christmas and private purchasers are looking at the expenses flowing from that, and June/July, end of financial year slow down.

8.Demonstrator cars: Strictly these are second hand because they have already been registered and can't be sold as new - on the plus side the dealer is trying to make a good impression on a prospective purchaser and so the vehicle is well looked after - especially the more expensive "Up-market" versions. You can often get a very large discount from list price here. Our Territory was a demonstrator, four months old which we paid 40 grand for, but the factory and dealer fitted extras took the list price to 51 grand on the road.

9. Will you need finance? If you do, you might get a better deal on the price if you arrange this through the dealer, often they get a "commission" for writing the finance agreement, they might be prepared to share some of this with you by reducing the "drive away" price. Manufacturer's finance arms are normally quite competitive with other lease and hire purchase finance companies but the best deal is a personal loan via a bank, mainly because it reduces insurance costs (car not subject to finance), but make sure a bank loan is not secured against the car - if it is then the car is subject to finance and insurance premiums are likely to be higher and the bank or finance company will insist on the car being comprehensively insured.


When I'm shopping seriously I tend to identify the make , model and spec that I'm after (after taking some test drives if it is a race between differing maufacturers to identify which one I'll be purchasing from - no sense in comparing apples with oranges with pears) then visit three or four dealers, give each the same information and ask for a price, tell them that you will be visiting their opposition also and will write a deal on the lowest price you receive (But make sure that you are looking for a car that is within your budget). Try to find out if they have what you want in stock or will you have to wait (In stock is better, waiting stinks).

I never disclose a price I have been given to any other dealer and I make that commitment to the sales person. Remember that the price you get on the back of a business card is not binding and you will not be able to get the dealer principal or sales manager to sign a purchase agreement first - I've tried and have never been successful. The sales person will try to get you to sign such a document so "I can show the boss you are serious" - of course if you do then you have committed yourself to a purchase at the price on the contract. All the dealer has to do is sign the contract and you are now a car owner

Finally - trade ins - generally you will be disappointed with the valuation. The dealer will discount the trade in value below the red book value because they have to spend money getting the car ready for sale, make sure it is roadworthy, provide a guarantee etc etc. or more often they sell your vehicle into the secondhand market at dealer prices - this is typically 20 - 25% below the price you might see in a car yard for your car. If you can afford to, avoid trade ins and sell privately - pitch your price at 5-10% below what the trade offers but be prepared to take less for a quick sale. Private purchasers will always haggle. If you own a car and can sell it prior to purchase you will have a much better handle on the budget you have and thus, perhaps, a stronger position if you are a cash buyer (or have already arranged finance)

And if you knew all of this, sorry for trying to teach you how to suck eggs

Happy car hunting

[Simon_Koala]

Well summarised and very good information ...... thanks

[Cammyron]

AlanD,

Thanks for the info, very helpful. I was after the invoice price to give me a bit of a starting point. i understand they are not going to sell near that price but it would give me an idea of how much they are trying to screm me

[bathurst77]

Invoice price is only 1 cost in price of car.
Even if he is getting inviced mid to hi 20s on a Mondeo, the sale also has to cover standing costs such as the cost of running the yard (rates, power water etc), advertising, interest, pay for sales man and all the non sales staff.

[Smoke Pursuit]

Originally Posted by bathurst77

Invoice price is only 1 cost in price of car.
Even if he is getting inviced mid to hi 20s on a Mondeo, the sale also has to cover standing costs such as the cost of running the yard (rates, power water etc), advertising, interest, pay for sales man and all the non sales staff.

They cost more then mid to high 20's..

Typically you will be able to buy one with $500 - $1000 profit in the car. New cars arent profitable, its the used ones, aftermarket accessories and servicing where car dealers make their money.

True they do make money on new cars when people are not well educated on what they are buying!

[csv8]

Buy at the end of the month, when they are after the monthly sales target. Thats How I get a good deal..

[fordmondeoman]

If it helps i was able to get a 2010 Mondeo Ztec TDI with mats good tint and towbar kit. for $38500 was happy with that price although was mates with sales manager which helped

[ELGT4me]

Originally Posted by csv8

Buy at the end of the month, when they are after the monthly sales target. Thats How I get a good deal..

This man is wise, listen to him. _2: