Car prices

[GAN]

Well, it’s a trade off. Higher car prices also get you higher trade in values. It doesn’t entirely equal out but it helps. If you’re buying a car for the first time then you’re just pretty much screwed. They don’t even hide it. The stickers are all reprinted with ADM — Additional Dealer Markup. If you don’t like it then feel free to exit through the same door you came through.

The only thing that was up for negotiation was my trade in which I negotiated up to the high end of the range.

I don’t know. My daughter just bought a Ford Bronco, which is one of the hottest vehicles out there right now(with 6-month waiting lists), and she paid MSRP …first car she ever bought on her own. I had heard Ford demanded that there be no sales over MSRP or the dealers risk losing deliveries on vehicles.

 

[tvguy]

I can't figure out why anyone would do this in the age of the Internet. When I know what car I want, I email every single dealer of that manufacturer in a 100 mile radius and tell them to give me their best and final offer, then I go with the lowest.

Try it today. The dealers will laugh at you. Not uncommon for the asking price to be $10,000 over MSRP. So $3,500 over is a BARGAIN.

 

[spiders]

I don’t know. My daughter just bought a Ford Bronco, which is one of the hottest vehicles out there right now(with 6-month waiting lists), and she paid MSRP …first car she ever bought on her own. I had heard Ford demanded that there be no sales over MSRP or the dealers risk losing deliveries on vehicles.

I can’t remember the numbers off the top of my head but a coworker had ordered a Corvette last year before everything started going up. He had a contract and when it came in, they called him and offered him — I think it was $10k to cancel it. He took it. They obviously knew they could get a lot more.

 

[Colleen27]

Used to work. I have done it multiple times. Now, not so much. My sister just bought a giant GMC SUV. She was at the mercy of whatever dealer could get her one. No way to try and get a better price from another dealer - no other dealer had any. She considered herself lucky to JUST pay MSRP. Others were paying over. If they could find one to purchase.

And the waiting times if you stick to your guns on MSRP are really prohibitive unless you're in the habit of planning car purchases way in advance. I'm looking at ordering my new - my very first brand new, actually!! - car sometime in the next couple weeks because I know I absolutely have to have it by *next May*. But I know what I want and a friend just got his, same make and model I want, 10 months after ordering it. The dealership we use is not upcharging, though I'm sure they could, but they aren't offering incentives either and delivery times are only an estimate. But right now, that same car is selling for more used than new... so if you want one right now, you can get it at 5-10K over MSRP with a few hundred or thousand miles on it.

In a perfect world, the plan was to buy the truck next year but with the way things are going, I don't want to wait too long and have to try to get one more cross-country trip out of my van when DD20 finishes school.

 

[EACarlson]

I'm sitting and waiting it out. Bought my wife a used SUV in June 2020. A local dealer is selling one almost identical for 35% more than we paid then. KBB lists value at half of what the dealer is advertising and about what I still owe on ours. I know what I want, and I think I'm going to buy new, but it's going to be at least another year.

 

[Mackenzie Click-Mickelson]

I can't figure out why anyone would do this in the age of the Internet. When I know what car I want, I email every single dealer of that manufacturer in a 100 mile radius and tell them to give me their best and final offer, then I go with the lowest.

You haven't been car shopping since May 2021 have you?

 

[Mackenzie Click-Mickelson]

I don’t know. My daughter just bought a Ford Bronco, which is one of the hottest vehicles out there right now(with 6-month waiting lists), and she paid MSRP …first car she ever bought on her own. I had heard Ford demanded that there be no sales over MSRP or the dealers risk losing deliveries on vehicles.

I believe it was only certain vehicles; I mean I know they sorta put a warning out in general but I believe the big push was with the Ford Lightning (and the new Bronco is a highly sought after vehicle too). I know the Ford Lightning had a huge controversy due to dealers trying to sell pre-orders sooooo high (like crazy high). Ford did put in some blocks on that though.

 

[Mackenzie Click-Mickelson]

Talk with an insurance agent (not a Gecko or Flo) about Agreed Value Insurance, you can decide which route you want to go and how much you car to pay.

The insurance company I worked for that was usually only for antique vehicles and such. Not really for your average everyday vehicle which was actual cash value and the like.

 

[MillauFr]

Not sure why the car manufacturers start buying out stealerships and moving towards a direct sales model like Tesla. No reason why you shouldn't be able to buy online and have it delivered to your house cutting out the middle man. Everytime I think of stealerships I think of Jerry Lundegard from Fargo ripping off the rubes on the Trucoat.

 

[EACarlson]

Not sure why the car manufacturers start buying out stealerships and moving towards a direct sales model like Tesla. No reason why you shouldn't be able to buy online and have it delivered to your house cutting out the middle man. Everytime I think of stealerships I think of Jerry Lundegard from Fargo ripping off the rubes on the Trucoat.

In some places it's not legal. For instance in WI automobile manufacturers are not allowed to sell their vehicles directly to customers. That is the number one reason you have to go to Illinois or Minnesota to buy a Tesla.

 

[MillauFr]

In some places it's not legal. For instance in WI automobile manufacturers are not allowed to sell their vehicles directly to customers. That is the number one reason you have to go to Illinois or Minnesota to buy a Tesla.

I'm sure Tesla will just do when they did in New Mexico and open dealerships on Tribal Land that is outside of state control.

 

[EACarlson]

I'm sure Tesla will just do when they did in New Mexico and open dealerships on Tribal Land that is outside of state control.

They are welcome to try it. However in the NM case it was a short distance from the primary market to the reservation. In many areas that won't work. The primary markets in WI are Milwaukee and Madison. It's 150 miles from Milwaukee to the nearest reservation, Oneida in Green Bay. I think it's one of the stupidest laws out there, right along with not being able to sell a vehicle on a Sunday.

 

[tvguy]

Not sure why the car manufacturers start buying out stealerships and moving towards a direct sales model like Tesla. No reason why you shouldn't be able to buy online and have it delivered to your house cutting out the middle man. Everytime I think of stealerships I think of Jerry Lundegard from Fargo ripping off the rubes on the Trucoat.

Who would service their cars then, and do warranty work? Kid across the street works for Tesla service, and their service system is a mess.

 

[MillauFr]

Who would service their cars then, and do warranty work? Kid across the street works for Tesla service, and their service system is a mess.

The same people that service them now.

 

[MillauFr]

They are welcome to try it. However in the NM case it was a short distance from the primary market to the reservation. In many areas that won't work. The primary markets in WI are Milwaukee and Madison. It's 150 miles from Milwaukee to the nearest reservation, Oneida in Green Bay. I think it's one of the stupidest laws out there, right along with not being able to sell a vehicle on a Sunday.

The Potawatomi tribe has a casino 3 miles from downtown Milwaukee. Not sure why they couldn't put a Tesla dealership at that location as well.

 

[tvguy]

The same people that service them now.

Not sure how that would work. The franchise to sell cars is what draws in the people needing service.

 

[DLgal]

AFAIK, car insurance has always paid out based on current car valuations. So I would imagine payouts have increased as car prices/resale values have gone up.

Some insurance policies also have an add on where they will pay you a set amount OVER KBB used car values in order to cover the gap of depreciation when you need to buy a replacement vehicle. Our insurance offers this coverage for few dollars per year per car and its 20% over current value.

 

[MillauFr]

Not sure how that would work. The franchise to sell cars is what draws in the people needing service.

Aren't most Tesla service issues fixed via a software update? They have far less moving parts compared to a typical car that need service. Plus that decision on how to handle service and maintenance issues should be up to Tesla not some government agency.

 

[EACarlson]

The Potawatomi tribe has a casino 3 miles from downtown Milwaukee. Not sure why they couldn't put a Tesla dealership at that location as well.

Potawatomi has an agreement with the city to operate there, it is not tribal land. In fact, the Potawatomi do not have any tribal lands in WI. By treaty they were all supposed to leave WI for KS.

 

[_19disnA]

Most people aren't familiar with or don't understand dealer franchise laws. Many aspects are there to protect the dealership/owners. No one would ever invest the money to build a dealership (land, buildings, people, parts, equipment, inventory) if a vehicle manufacturer was able to open a 'company store' a few miles away and undercut the price. Selling direct sounds like a great idea until you need service. Doubt most Tesla owners think about that until their car needs service/repair/warranty work and requires access to the vehicle when the nearest authorized service location is hours away or they have to wait months to get needed repair parts. Buying a car isn't like buying a toaster or coffee maker.