I will let everyone in on a little secret and it’s very simple when you’re going to look for cars at a dealership look at the inspection sticker because when the car arrives at the dealership they inspect them so that will tell you how long that car has been there look for the one with the oldest one that’s the one that they want to get rid of that’s where you will get a deal..
but what if it was a wrong color? I'm sure some people still look for certain features on the car and it the car has the oldest inspection date, you're in luck, but if not, I think you should get the car you desired
1.) Don't buy new (unless your leasing), you lose a large amount of money as soon as you drive off the lot. Plus a new car becomes a used car within 1 second of you driving it off the lot anyway 2.) Do your homework and know what that car sells for, what others in that area sell for. Carfax? Any issues with the car? Any warranty left on the car? 3.) Large automotive groups have a LOT more ethical practices Carmax, Autonation, they can not afford to have a tarnished reputation. As opposed to Fast Eddies Used Cars... 4.) If you are going to finance, get pre-approved. Know what kind of interest rate you are capable of getting. This has a huge impact on your monthly payments. Increases your leverage 5.) Get the price as close to it's actual value as you can. $30k car being sold for $40k? That means you are going to be at least $10k upside in your loan right off the bat. 6.) Dont let them hide the numbers from you, they will bring out a piece of paper with some high ass monthly payments and say Which one do you like? You want to see ALL the numbers 7.) GET EVERYTHING IN WRITING. In the dealership world, it's called a WE-OWE, means they owe you something like floor mats or new tires, or first oil change free. DONT TAKE THEIR WORD! 8.) Be willing to walk away if you don't like the terms. They will run after you in the parking lot, or call you an hour later. If you need a car right away, rent one while you shop, dont rush into a bad deal 9.) No finance company will require you to purchase aftermarket warranties, gap protection, paint protection, etc... Don't fall for that line. 10.) Negotiate on the interest rate, this will end up saving you thousands. When they ask you for something, you ask them for something. If I can will you: (5 free oil changes) etc... 11.) Buy at the end of the month, this is when dealerships are pushing hard to make their month look as good as possible. If possible, last day of the month on the last day of the year!!!! 12.) A good deal doesn't always mean a rock bottom price, sometimes it means getting a great car at a fair price from a good dealership that will be there if you have any issues. Check their Google reviews, check their Yelp reviews. Is everyone saying they have crap cars? Don't go there.... 13.) Have cash for a car but bad credit? Finance it anyway, it will help your credit history. Plus you can build your credit over 12 months and refinance the car with another bank for a lower interest rate. Or take that cash and setup a bank account with auto-draft and lease a vehicle with the payments being auto-drafted every month, you are building your credit and don't have to worry about it. Side Note: If you are trading in a car where you are massively upside down (meaning you owe way more than the car is worth). Do a 3 year lease on an inexpensive vehicle, dump the negative equity from the upside down vehicle into the lease payments and you will chip away at that negative equity over the next 3 years, then it's done... Yea, you may pay $500 / month for the next 3 years but after that the negative equity will be gone. No use in trading negative equity for more negative equity.... It's a vicious cycle.
IWillSurvive truth.... leasing is the easiest way for them to scam you. car worth 25k, they give you 3 options, one option cost less than that value of 25k but you end up not owning the vehicle and the dealership owning that other half. might aswell try to decrease that car value to something like 22k and you own it.
@@wow-oq6jc Leasing can be a good deal if it is right for your circumstances. Remember on a lease. You are paying for the depreciation value. The calculated depreciation (usual 48% - 50%) over the next 3 years. Your payments are lower because you are financing 50% of the value of the car instead of 100%. Plus with a lease, you always have the buyout option where you can purchase it at the end of the lease. Most people who “buy” their cars trade out of their cars before the full finance term anyway. So in essence, your doing the same thing as a lease. But did not get the benefits of the lower payment. I have seen some great lease deals. But you have to know the numbers and what works for your situation. And a side note: When your leased car is ready to be turned in. The dealership will more than likely want that car very bad because they can clean it up, make it a “certified used” car, and fetch more money for it than a regular used car. So that also gives you more leverage when you show up ready to get a new vehicle.
Don’t over think it guys, the car business is entirely different after the birth of the internet. On new units there’s almost zero mark up MSRP minus rebates is a fair deal or cut the haggling out and just say I’ll do business right now at invoice minus rebates. That’s the same price an employee would pay. Quick, easy, and fair. The average salesman has probably worked 3000-5000 car deals before you walked in the door and dealt with every kind of customer you can think of. Just be straight up honest and direct with them. For trade value just KBB your trade under “Good Condition” not excellent condition under private party sell. Or ask to see the book value.
All these ideas only apply if you’re dealing with an inexperienced salesman. As an Experienced salesmen who takes his livelihood seriously, I already know all the games & can tell within 5 minutes when a customer is being unrealistic & I will only discount a car if the customer commits & saves both of us time so I can get to the next deal ASAP.
"The price is too high. Your competitor down the street had a much better price. I am paying straight cash, how much lower will you go?" Sir this is a Wendys
You can! i know someone who drove 400 miles up to Detroit GM. and purchaced his car, He saved over three grand! But you have to plan it ahead of time. what car, how much, picup time etc.lots of phone calls and paperwork done a head of time!
@@anetajohnson8446 coming from a car salesman at Toyota. Iv been a salesman for 8 years there is absolutely no way you can “lose money” as a dealer selling the car. I don’t even pull this shit with my customers anymore I’m straight forward if Someone comes in looking for a 3 thousand dollar discount I put them on a cheaper car that they’re more comfortable paying for. And also dealers lie you should know that by now. They can tell you they took of 2 thousand but all that is is a rebate that legally has to come off even as a employee discount I never made the company “lose money” when I bought from my own store. And you best know ima take it down as far as it goes
I use to work in new car sales and when they tell you it is a loss they are lying. The dealership receives holdback from manufacturer. 2% of MSRP. Also dealer adds are pure profit. Don't get your head ripped off.
Andrew Hughes " I used to" would be the phrase you are searching for , and that means you didn't make it , My father and I have sold car for a total of 34 years and I can tell you new cars and used cars put together don't make even close to half of what a good service drive makes , because new cars are sold for a loss and used car are advertised with no profit on dealer websites. So to avoid sounding rude you are at the very least misinformed , if you believe new cars make any kind of real profit ,
michael Walker - and we're supposed to believe you? The salesman? When we get the "Let me bring out my manager.... or the finance officer so they can upgrade your costs" Out the door? Sure.... with 3 grand in extra's right?
My current car is in perfect condition with warranty till 100,000 miles. So really I got no pressure whatsoever in getting a car this weekend. Buy a new car when your current car is in excellent condition.
No need to be so aggressive. It's the human nature to react to someone pushing a product down their throat and being too eager to sell. Let the customer play with the product and feel it all they want, look at it, smell it, if they come back to it - they are interested. Be their friend, help them get into their dream car. It's an expensive item. Naturally, there is stress. I bought a lot of expensive items and sometimes it took me a while to get enough money, it's ok. You don't have to sell at a loss. I want you to be in business and provide wonderful expeince - focus on this and you will be just fine!)
@chance crowford everyone thinks car dealerships are thieves but the real thieves are the car buyers. Always wanting more off the price even if it's already $10000 off sticker.
This is a great video. Know your shit people. I used to apply the pricing stickers for various dealerships and I've overheard multiple car salesman bragging about how many thousands of dollars they ripped people off for. One guy even bragged that he sold a car to an old lady for $5,000 more than the lowest number he was allowed to meet and had her convinced that she was getting the car at a steal.
I've had both bad experiences and good experiences with car salespeople. However, it is the customer's responsibility to understand the trade of this industry. Doing your due diligence is always important, but understanding that your are essentially there with the intentions to purchase/lease a car is also very important. There's an anticipation, whereas the customer who walks onto the lot and proceeds into the negotiation process, that he/she is ready to finance a vehicle. Although I am not a salesperson I feel that time can be wasted with indecisive customers. Not to say that being indecisive is entirely a bad thing, however there is a difference between testing the vehicle and trying to finance the car.
As a car salesmen I will tell you that the salesmen is on your side. On new cars we get paid $200 each car and our bonuses are volume based. All we care about is that you buy the car, we don’t care how much you buy it for. You want us (salesmen) to be on your side because it is our job to sell our management on the price that you want. I agree negotiate off of the number not the payment. It is ok to tell your sales staff what payment and down payment you want to do, just to make sure you are looking at the right inventory. Any good salesmen will benchmark the payment on a 60 month term. Here at Toyota and from what I understand Honda also, we do not have much markup. 5-7% off the MSRP is a good price for any customer.
The internet has changed the industry. Now since people can shop online, the industry is more about higher volume and lower profit. Dealers just want to move cars now, and some customers have the old school mentality of shopping that makes it harder on both ends to meet an easy deal.
I used to sell cars, this video is pretty good advice overall. By arriving just before closing time and having your Salesman and Sales Manager work overtime, you also increase your chance of getting a fair deal. The one thing that bothered me the most in a sales job is the fact that too often, the nicest people do not get a fair deal. Sometimes the customer has to get quite rude to get a fair deal. A fair deal is the best you can hope for. No dealer is going to sell a vehicle unless the deal is good for them and always remember the business manager is also a salesman and you can negotiate prices on extra warranties if they help you sleep better at night. The other options like paint protection, under coating and upholstery protection are not worth paying for in most cases.
Arriving closing time means nothing. We would most likely reschedule you to come in on another day. This only work at the end of month. And they need that sale meet store goals or salesmen bonus. The internet has taken out all the mystery. Now some prices on trucar are unrealistic because they take lease special into consideration.
I use to be a car salesman... and I liked this video. What was stated in the video applies to far majority of dealers/sales. Very few high-volume dealerships do not dupe customers hard, but very few.
Walk in with print outs of the other cars you're considering (genuine not made up). There is ALWAYS another car. Best deal I ever made, I literally went to leave. It was the dealer manager who squirmed. I found it hard to keep my poker face that day :) Felt good. But as others have said, be realistic too. They are in BUSINESS and NEED to make a profit. That's the nature of it.
Not that difficult to buy a car. I personally shop when the dealers are CLOSED. 90% of the car buying process is finding the car. If I find a car I am interested in, I will research price range on my own. I will return to the dealer when they open and grab the first salesman I see for a test drive. If the car meets my needs, and we agree on price, I am prepared to drive the car home at that time. I just use the salesman to complete the paperwork. Don't need to play mind games.
having your price in mind dont always work out, I'm not in car sells and never have been. I was walking around looking at a truck in showroom while waiting for oil change, I saw a couple talking about what they would pay and not a dime more. it was 34000. I heard over at sales desk them saying 32400 is our best price. salesman come back and said what about 35000. they said 34 is what they would pay, he said ok, sold. at sales desk they were smiling
You know the funniest thing here is, the comment section is more informative than the video itself in my opinion. Whenever I meet new people, I only say what I want them to hear, not what they wanna hear, or what they think they need to hear. Everything you say can potentially be used as a tool against you. Choose your words wisely.
It would be nice if you could buy a car without all of the sales crap.... However the video is exactly how you have to do it... It just takes time and the willingness to put up with the B.S. Great job!!!
Awesome tips!! I messed up on sounding to edgear for the car. I'm going today to get the car. I will stand strong with I can walk away. If it's not at the price I want. In a polite way. :) wish me luck.
I loved that line he said "dealer are well paid, you don't wanna be responsible if they going to hungry". Anyone in society leave home to earn money. "Not to work and stay hungry". Getting a great deal is not a bad idea, however respect their business. I am not a sales person or a shopper. This video came random to my play list
Lol a whole lot of sales people in the comments here. All this video is saying is to do your homework and stick to what your offer is and don't let the sales staff make you pay what you don't want to. EVERY major car dealership I've shopped at has at least one back handed tactic they use to try and squeez a bit more out of you, it's never a simple straight forward process. I set an appointment once based on an online ad for a car listed at 14,999. When I got there they had put a tag on that said 15,999. They'll fuckin soak ya for all you have if your not Careful
Theres some good tips here, but some are useless. Mostly the "Pretend not to be emotionally attached" and the "have an out so you can walk out" stuff that really just amuses me. I get clients that try that trick all the time. Do you honestly think youre fooling us? You're at a car dealership, which means that you need a car so badly you are willing to endure the stigmas attached with visiting a dealership to get a car. Plus, if you get the wrong salesman the "im not buying today" comments are taken as "You want a challenge? I challenge you to change my mind!. Know what you want, and research a realistic price based on facts not "what you feel you should pay" and have a neutral/positive attitude and you will be okay. Come in thinking you know everything and with the attitude that youre getting ripped off and you will have a horrible experience everywhere you go. The choice is yours.
James D. See, the troubling thing that you dont realize is that when you walk into any business with that kind of attitude, youre going to have a bad experience. I would win your adorable little challenge either way. If you dont buy, that tells me i may have said something wrong, or done something incorrectly. Thus, i learn from the mistakes i made with you. If you buy, i win and i get the sale. Suppose if I didnt learn anything and still didnt sell you anything. Then you win? Nope, it would just mean that the vehicle I tried to sell you, did not suit your needs. Unless of course, you had no intention to buy, you just came in to screw a salesman. You would win under those regards, but you really would just be proving to the world just how much in common you have with the worst salespeople in the industry. Lying, cheating, using misleading information and switching people is EXACTLY what people hate about bad car sales people. Thankfully, most clients recognize that there are alot of bad car dealerships full of people like you and they stay away. I still get people like you though, but at the end of the day im greatful for the people who hate buying cars. All i have to do is tell the truth and be considerate to their needs, maintain transparency and i get paid pretty good, because i have to deal with people like you that drag out the process and make it much more difficult then it has to be. So at the end of the day, thanks for being a tough customer because it benefits me in more ways then you can imagine :]
I've been selling cars for eleven years. Yes we do lose money on car deals. We have old age units, need to hit new car number goals etc. Don't go in and think you can "demand" your price. You'll do it at dealer after dealer. And spend weeks trying to steal a car. Don't expect retail for your trade, expect to pay a good portion of retail for the one your buying. If your polite and nice, the sales team will respect you and go for a fair profit. Do what there telling you to do and act the way this video is telling you to I'll put my thousands of hours of sales experience to work and you'll pay my mortgage.
been in the car business right at 30 years...trust me...we have sold plenty of cars at a loss...this is really not a great way to buy a car...go in build some trust and buy when you are comfortable.
Here's some real advice: State your intentions to your car salesperson up front. Your salesperson will appreciate this, and will return the courtesy of being up front with you. It's only when both parties communicate their intentions clearly that an agreement can be made. Playing games with your salesperson is just going to cause them to look at you as an invaluable time-wasting prospect. Not only will you receive half-ass service because of this, but you probably won't even get the deal you were hoping for.
Haha right.... Honesty will get you nowhere in car sales from the consumer side. Once customer realizes that car salesmen (which you might be one of), sales managers and dealerships in general, make money based on the margin of total cost they will never believe that (and shouldn't to begin with). Duping and playing tricks on potential and unknowledgeable customers is easy money. Very rarely will you find a dealer that wants to be upfront with lowest pricing they can still make money on (usually very high volume places where times wasted > increased profits from long negotiations). I worked in car sales for a few years after high school, seen it all; the only other place that comes close to sleaziness are the insurance companies. Do not believe any random person who says you shouldn't fight for your hard earned money.
Here's real advice: Dealership's state your intentions of the car sale up front. The price IS the price, NO HAGGLING. How about that? Wait.. it's always thousands of dollars more? YOU DON'T SAY?!
Nonsense. just like in poker, u don't reveal ur hand until you've played the game and analyzed ur opponents strategy, the dealer is not ur friend! He's out to get the most money out of you and acts accordingly. Honesty is taken for weakness!
A R: That's fair. When I've done that AND the salesperson has been honest with me, that's worked fine. One thing I state up front is I'm a cash buyer and I don't want my time wasted. That's worked well for me. OTOH, once I've been honest, then if they jack me around, or try to lie to me, I don't mind politely walking out and stating why. I won't waste your time -- but then DON'T WASTE MINE. One thing that helps for me is to have done my research, know what kind of discount I want, and have looked around via the internet and know what competitors in the area are charging for similar vehicles. I like dealers who are already offering discounts in the ballpark of where I'm trying to get as that saves me from a long bargaining process.
I sell cars and ill tell you this, some people are very unrealistic... Dont look at a 50k car and expect a 400 dollar a month note with nothing down. We are not magicians lol. Also pay your bills on time, not when you feel like it.
it sucks when I walk in, explain to them I putting 10k down and have credit score higher than 90% of your clientele and know what I want and yet they still put me on the damn marry go round .. this isn't my first rodeo dingus
After very stressful negotiations I turned down the offer of $23100 for 2018 Accord Sport, was I wrong? I did it because I had an offer from another dealer $400 lower than that, but I wanted manual and they didn't have it, only cvt. The dealer that I turned down had one, and it was the exact colour that I wanted (16 accords manual in the 100 miles radius around me, 6 of them is the trim that I wanted and only this one was the colour that I wanted. I never told this stuff to the salesman but told him that I prefer manual over cvt. In reality I would go for 10 speed but don't have money for it). So I am probably buying camry se which is $1500 lower than the best accord sport offer.. I am sad now, but that is probably the answer to the people who are asking why camry always sells better than the accord
Email a bunch of dealerships with the exact model you want and tell them to give you your lowest price all included. Tell them you are sending this email to all the other dealers in your area and you are willing to close the deal the same day if the price is right. Some of them won't reply but from my own experience more than half will at different prices. From there you can call the lowest offers and start negotiating a bit more telling them how much their competitor is offering you.
Being retired, I have the luxury of time. I was at a Chevrolet dealership just to look at the new corvette. A salesman pounced on me immediately, annoying the hell out of me. So after several attempts, I began feigning interest, played along with him, and began the sales process. Throughout the process, I asked millions of questions, took forever to read all the fine print, and have him try to explain it. Asked him if I could get special custom features, just wasting his time. It was a JOY to do! Finally after about 2 hours of “buying” the car, as I was about to sign, I looked at the final document, and said, “Well on second thought, I think I’m going to go for a Mustang instead. Is there a Ford dealership nearby?” His exasperation was so satisfying!!! 😂😂😂😂
The best thing you can do for yourself as a consumer is to shop for a SALESMAN. Make a strong relationship with a professional salesman and they will do all the work for you. Lying and playing games will never "earn you respect." However what it will do make for a miserable experience and absolutely poor service after the sale.
I have been selling new and preowned cars for over 15 years. Your perception that sales people play games is only accurate of bad sales people. That's why I said shop for a salesman. Buy from someone you like and trust. You'll find out that the process is very easy.
What Bill Stout said is wayyy true.. some clients play games right as soon as you meet them.. Just tell the sales person would you want to pay but don’t be out rages and not make sense.
Also keep a realistic number in mind. Don't look at a $30,000 car, offer 20k out the door and want 300 per month for no more the 48 with a 560 beacon score. That is incredibly unrealistic all around lol
You can get at least $2000 below invoice, I did, On a $20,000 car, a holdback represents $400 to $600. The holdback allows dealers to sell a car at invoice price (or even below invoice) and still make money. Most manufacturers offer holdbacks to their brands, Also Many dealers will easily settle for a $1500 to $2500 profit. If they do, and you purchase the vehicle correctly, you will be well below MSRP invoice!
I love it when they insult classic vehicles by telling you 'time to buy a newer more reliable car rather than that', happened to me when I took my sister No one insults my old jeep that way, no one Walked away from there
The way I negotiate, I clean out the car to show I'm serious about buying (why would I leave my junk in the vehicle if I wasn't?). I give them my bottom line right off the bat and if they can't meet it, I leave. Some may say I should start lower and work my way up, but my time (and theirs) is worth more than a couple hundred dollars. 90% of the time I don't need to trade my vehicle and have no problem keeping it. They need to make the sale more than I need to buy.
Not really, I love well informed shoppers. It makes the process so much easier for everyone involved. I'm more than happy though to turn away a "think they know it all snob" who thinks they possibly just learned what every salesman is like from a few UA-cam videos.
MarylandManson29 AMEN. Foreal I’m quick to send their ass off to another dealer if they can’t see a good deal in front of them. I love it when they make it easier for me and have all their info ready. Plus, some cars can’t be negotiated. I love it when they come in all cocky saying shit like, “EVERY car can be negotiated”. I’m like nah fam I got a line of people waiting to pay full sticker for this model. BYE Felicia
Happy customer pays for the service the dealership provides . I’m customer I always pays a fair price I don’t low ball a salesperson. If sales person did all what he supposed to do , I pay and I’m happy customer
*[SPOILERS]* Here's the summary of a salesperson, specifically an automotive salesperson working at a dealership: Wheeling, Dealing, and Negotiating is the name of the game. Hard Numbers, Sales, and Profits are ALWAYS the goal and it is the first and only thing that they really care about. Sorry, but it's not you. Not your loyalty. And not customer-client relations. If they actually cared about any of that crap and actually wanted to help people, they would be working in a customer service, hospitality, human resources, or medical role. They are there because they are highly skilled at working people and selling. That, and because they want to make money. The only thing that DOES impact a salesperson or a dealership is: a) loss of profits due to low sales and b) bad reviews. Now, are Auto salespersons bad people? No. Not at all. I've met many really nice and friendly people who work in auto sales and financing. However, most fall into a very specific personality type that allows them to excel at what they do during business hours. 1) *The Golden Rule is that knowledge and information are everything. Coming prepared is your most valuable weapon and defence against fraud and being cheated out of thousands of dollars. Now, most sales people won't outright lie directly to a customers face or outright attempt to cheat a customer. Especially because there are laws and regulations regarding outright falsifying information. However, there's nothing at all that says a sales person can't walk around the truth, tell part of the truth, or simply just withhold information from a customer. Which is exactly what sales representatives are counting on, buyers ignorance. This results in higher profits for them at the expense of the customer. No salesperson will simply outright tell you the negatives or flaws of the vehicle you're interested in, the negatives of that term they drew up, that you don't actually need all those BS vehicle add-ons, or what could actually save you money. That's just bad business. In fact, most salespersons are required to try and pressure you into purchasing all the additional BS stuff and fees. While we're on this subject, NEVER, I repeat, NEVER simply finance a vehicle using one of the dealerships financial institutions. The banks who work with dealerships are working with them to makes profits for both. Its far better to get your own quote from your personal bank or credit union and then bring it to the dealership. There's nothing stipulating that you HAVE to use the dealerships financial institutions. In fact: a) your credit is more likely to be approved (even a lower credit score), b) your APR is likely to be far lower, and c) you're likely to get far better customer service and leeway working with them to help you to pay off your auto loan. 2) Be Confident, be Respectful, be Civil, be Polite, and be Informed. It goes a very long way. Business, like all forms of communication, is a two-way street. If you don't feel comfortable with the sales person, the experience, the vehicle selection, or the asking price; then simply leave. No one, I repeat, NO ONE is forcing you to stay there against your will or forcing you to purchase that vehicle. That dealership isn't the only dealership selling the vehicle you want. If that sales person or dealership can't offer you a reasonable deal, then leave. I mean honestly, you buying or not buying a vehicle from them really won't make that much of a difference or matter much to that dealership anyway. It's no skin off their back. 3) *You should ALWAYS compare price points of multiple dealerships. The real trick to getting a good estimate of what that dealership is making in profits, is by telling the salesperson you what the "Out-The-Door Price" for that vehicle including their dealer fees and including government fees and comparing it to the listed MSRP and other dealerships. FYI: The actual True Market Value of the vehicle is far less then the MSRP, and less then the Dealer Invoice (which is also inflated).
My last new auto purchase,'15 Toy Highlander, I got pre-approved by my personal bank, Bnk of Am. They had a few dealers they work with directly. This facilitated all paperwork and divert time. But it also kept the Toy dlr from counter offer a interest rate. They said, no 2.19% is very good w my 823 FICO. I felt they could've offere lower w Toy Finance. But why go against their buddy BofA. I did get a very good price. Spent 1.5 hours total, while they installed the free factory door guard's I got as part of my asking Drive Out Price I negotiated. Then I only dealt w the dlr via email til they hit the Highlander I asked for at my DO price. Best auto purchase of the 7 new Hondas/Toyota SUV/auto/truck I bought since 2007.
Buying cars should be a hell of a lot less stressful than it is. I personally think it would be a lot easier if car buying didn't involve any haggling whatsoever and the prices were set like at any other store and the customers could look around the lot freely, and only receive help when they ask for it, or if they are asked if they need help, if they say no the salesman respects that and leaves that person to be for the time being without making any other further inquiries, just like how it is at a typical store. Not to mention it would be nice if getting simple questions answered over email, phone, or chat isn't worse than trying to pull teeth. Of course I feel for salesman as they make their living off of commission and they have to sell cars if they want to keep their lights on and put food on the table, and management I'm sure also gets on them if they don't appear to be pursuing potential buyers, even if it's obvious a person looking is just looking and would rather not be bothered at that time. I get it. There probably should be a system in place where salesman get paid a decent wage regardless of car sales because cars are always going to sell because people like them, and more importantly it's almost a requirement to have one in the 21st century. Like most things in life, it's really the underlying system, structure, and culture that is at the heart of the problem, and the deception, dishonesty, paranoia, are manifestations, or symptoms, of being subjected to that type of environment.
That's funny when you say that car prices should be set like other stores and you shouldn't have to haggle. Have you ever looked at a window sticker on a car? That is the SET price that you are asking for. YOU choose to haggle from there.....do you haggle on the SET price at the grocery store on a dozen eggs? Do you haggle at the SET price at the mall on a new pair of shoes? Do you haggle at the gas station on the SET price of a gallon of gas? YOU, the customer, is the one who wants to spend time haggling and then turn around and bitch about how long it took to buy the car because you spent an hour haggling. And the funny thing is is that the 3 examples that I used are making more profit off of you than I am on a $50000 SUV, let that sink in for a moment....
utewbing What you are failing to understand is that they can afford to sell cars at cost (new ones anyways ) because those customers tend to buy backend product and get work done at service it keeps the dealership in business but it pays the salesman next to nothing. Car salesmen are people too we work hard for our money , I work 84 hours a week , and deal with the worst and best of the public. I help out people when I can , and I make money to put food on my plate and in my dogs bowl. I don't see what's wrong with that , do you ?
John M also John m , you make a fantastic point and several brands have tried that model ( Tesla currently does this and rather successfully ) however many brands such as Saturn , Scion and a few others have went out of business with "straight line pricing " as it were because people want to feel like they beat us car salesmen .
utewbing except you can find the exact difference from the invoice to msrp by looking at truecar.com, and its usually about $2,000-$3,000 difference. The government literally makes more money then this on sales tax, yet the people who dealership are the bad guys??? The people who got the car there for you, will service it for you, who will show you how everything works, and answer all of your questions. Those guys are criminals. But we need roads that you can drive the car on, so that $3,000 the governnent is getting is all good, its that $400 in profit the dealership is getting, those crooks!!!
Decent advice, but this video is 5 years old. Most larger dealers have an internet sales department where they quote you more or less their bottom dollar, so you can email a bunch of dealers within an hour and get all the prices you need. Also, the internet forces the dealer to offer a good price and good service since if they don't do one or either they will get bad online reviews and it will turn people off to them. Modern dealers aren't trying to rip you off (for the most part). They make about 5-7% margin on a car transaction. People pay a real estate agent 5% commission on a property worth several times a car without blinking and I almost never hear negatives about them. Unlike the old days, all the numbers are out there so any buyer can be properly informed to what a good value is.
This is dumb and unrealistic. It makes me laugh when people say that they "don't want to play the game", yet will hold back on letting you know what goal they're trying to hit and ultimately end up playing the 'game' anyways. It's unfortunate that the 'OG' car salesman from 10, 20, and even 30 years ago manipulated enough people into buying vehicles, that crap like this had to be made. Buying a car from a consumer standpoint can be quick and easy, and less stressful than what most people believe it to be; you just need to be straightforward with the salesman, don't be unrealistic (ex. $300 payment on a $60,000 vehicle), and be respectful to the person trying to help you out. At the end of the day we're all humans, why can't there be a mutual respect between parties?
I buy at least two vehicles a year for my business. Take it from me, you walk in there to negotiate you will never get anywhere. They will give you a song and dance. Waste of time. Do all your negotiations via email and get a confirmed out the door price. Then walk in and sign. Some will hassle you when you come in but most wont.
Statiscally speaking, it's been shown that customers who come in to deal with salesmen end up converting to sales. Also, many people who work in the BDC deal often deal with email responses and inquiry calls. Not to be a devil's advocate, but the dealership I work, if you are a serious buyer and you are reasonable, we will work with you and were good salespeople. Customers who think we're bad either lie to us about getting quotes from other dealerships or are just unreasonable. Some customer wanted us to sell him a Corvette OTD for 40k when the vehicle is priced at 59k LMAO. Customer wanted to do this over a call and text, didn't want to come in. We already knew this guy was unreasonable. OOS customers are a different story since they have a legit reason for not coming, but even then these guys are either tire kickers or price shopping. They either get ignored or the usual vague, non-committal responses People think dealerships are bad. Yes, some of them are bad, but many dealers know the game has changed and besides pricing, we work on providing good customer service. If anything, with the powe of the internet, this gives customers the chance to play games and give salesmen the run around. Point being, if you come into a dealership, your price is reasonable, someone can work with you and give you a fair deal.
@@IGamingStation So lets just say youre buying a new car and you do your research on how much the car can go down for and you go to the salesperson and give them the price you want. Will they try to meet in the middle or just not do it? since it is brand new afterall
@@PhoenixKing567 Not a reasonable question at all. Thank you for answering that. From my experience working at the dealership I am in, customers who made the effort to come in house and work with us were able to get a great deal. Generally, if a customer is reasonable and they make the effort to come in, they will be sold something. It's only when the customers are unreasonable and beyond stupid that they won't get what they want. This one customer we worked with came in, everything was done as he requested and still didn't budge (prices, features, etc.) Again, this is my experience and I am sure other dealers function differently. To put it simple, we will meet you in the middle if you're reasonable. However, general rule of thumb, like you mentioned, if you do your research, you're reasonable, and even make the effort to come in, I am sure a dealership will try to work with you. Many people will tell you about the great deals they get and not even lifting a finger, but never mention things like if they were a college grad and were able to qualify for rebates, if the dealer they worked with had a friend working there, if dealer is even well-known (most known dealers will not budge on price if they know they can sell the car for that price), etc. Basically, buyers are liars. Take what they say with a grain of salt. My two cents. If you are going to negotiate through email, you have to show the dealer you're a "real" customer and someone trying to price shop.
@@IGamingStation well of course be reasonable. Thats what im trying to ask like lets say a car is like 31000 msrp and I look and see the average price people pay for it is like around 27k 28k and i go to the dealer and tell them I'm going for that price would they work with me or tell me get lost. I was just wondering if i should even bother but given what you said as long as im in a reasonable range and not tryna go like "I'll only do 19k for a 31k car". I might as well walk out the door myself at that point lol. First time buying a car so sorry if I'm not making sense
@@PhoenixKing567 Not a problem. As I said in my long-ass comment, if you're gonna negotiate by email, show that you're a real customer or you're gonna get ignored. No offense to you, but dealers know that if there are 30 people on one car, and one customer is trying to negotiate and be difficult, they'll just move on to the next person. Also, be sure to ask if there are any hidden fees. Some dealers won't mention fees because it'll scare away customers, for one thing. Otherwise, yeah, if you are going to a dealer in-person, show them your research, you want to be at X price and I am sure they will work with you.
Not going to lie idk what I did at the dealership but I did well enough to make a 25,000 drop to 19,000 so overall yeah just say you want it and when it comes time just say let me sleep on it and walk out and if no one comes out the dealership to stop you from leaving then to next dealership it is
YOu hit every salient point dead on. Many years ago I did just what you had suggested. In 2003 I actually had an Acura dealer tell me to my face, they do not negotiate. I was taken aback by his blunt remark, but walked out anyway because in that day they didn't have to because the economy was bustling along at a great pace. My next choice was a Chrysler 300M Special. I then did my due diligence on that car and made one last stop to TELL THEM WHAT I WOULD GIVE THEM FOR IT. They whined and wheedled and begged, but I held my ground and sure enough when everything was on the table I got the car for what I wanted which was $6,000 less than the advertised price which was basically unheard of then because they also did not have to negotiate. Here is a prerequisite you need abide by, get your loan from a bank and do not, and I repeat DO NOT GET YOUR LOAN THROUGH A DEALERSHIP, or you'll be taken to the cleaners. When you have your check in hand they see that as a cash sale when movement of cash is as important as inventory movement. I also suggest that you take out a subscription to Consumer Reports on line and follow their advice to the letter.
Rumple Stiltskin. Oh really? My Mazda dealership has had 0% interest for up to 63 months plus 1000 dollars customer cash. Only a ass who hates the car buisness could make such an irresponsible reccomendation.
Oh really? I got $6,000 off the price, and you are bragging about a measly $1,000. What year did you supposedly accomplish this Ken? Back then in 2003 no one got zero interest rates, let alone for 63 months. By your statement it is obvious to me you work for a car dealership and yes Consumer Reports nails you morons to the wall because you're lying ass holes who think nothing of fleecing the public for a profit. "Irresponsible Recommendation"? Nice try there Mr. Palmer, but no brass ring. You might try being honest for a change, or try finding a job where you don't gain enjoyment fucking the public.
I did everything in this video to buy my 1st car. Just wished I got another inspection. Car literally drove 50 mins to my place and starter gave out. So pissed but now my 2001 Toyota Echo runs fine.
Nothing wrong with payment pricing, you just research beforehand with their price and your trade value. Use your local bank website on their auto loan calculator. If you know you want $300/mo for 48 months after all is said and done, let them screw with the numbers, and NEVER go more than $10 after they add rages, title, taxes, etc. Do NOT let them extend to 54 or 60 or 66 months. That adds $1800-5400 to their pocket which could be increased price or reduced trade value. Do not let them tack on the useless extras like extended warranty that also screws up the numbers. Do not be afraid to walk away. After they finish checking the vehicle with your keys, get them back RIGHT AWAY. They like to hold onto the keys as a tactic that "they really want your car" which is a load of crap, it is because they want to wear you down into taking their scam deal.
As a salesman i can tell you that this is total bs. Do your homework is the only good thing mentioned in this video. If you know what you want it makes everyone's life easier
Do you homework... basically means "Don't believe the sticker cost they put on the car because it's BS". If you put the ACTUAL cost.... that would make the process so much EASIER for both parties.
Kinda true, but a lot still applies. Neogtiation room is smaller now, true, because there's so much info out there. But there's still wiggle room. Come in knowing that the max price you are willing to pay is, but don't offer that up.
Its really very simple....get the MSRP.....tell your sales guy to give you an out the door price...no finance ...no trade. See what they have discounted the price. Do this with 3 or four dealers same car.
I did basically everything this video said to do. Once the salesman and the dealership realized I wasn't gonna over pay for the car they let me walk away with no deal. I asked at least ten different times if he could give me a purchase price for the vehicle and all they kept coming back with was "what do you want your payment to be"? That's a big red flag.
How??? They asked what your monthly budget is because if you were looking at a 30k car and expecting to be at a 200 dollar monthly then you would be escorted to the door. That's a legit question to see if you guys are on the same page and ease the process that much faster. Buyers are morons
I had my Honda Dealership try to get me into a new car when the car I bought from them was only two years old. So I had them run the numbers to see if I would pay more for a longer time. When the numbers showed I would, I said "No thank you; I like the car I have and I want to be out of car debt one day, not deeper into it." The salesman's face fell like I had taken away his favourite toy, because I had: Money.
Sorry, don't believe you, have heard this story before. Also, why slap cash when the salesman initially comes out. BTW - I'm not a salesman for anything.
ya saving up for a lexus after college gone drop a check for 30 grand and drive away with a second hand certified ES 350 with Mark L. system no negotiating crap
I love it, I've had people tell me that they care about the bottom line only, I asked "so payment can be whatever, as long as the bottom line is satisfactory?" They say yes!! They purchase the car with the bottom line being $20k exactly, up month loan with 1.9% and have a $650 per months for 60 months, happy as hell!!! Moron.
2:53 mark is completely wrong. I’ve been on both sides of the fence(bought/sold) and have seen several dealers sell cars at losses. No one likes to sell it at that but I’ve seen it happen many times. Depending on the car brand(Chevy, Ram, Honda) and vehicle most of their online prices are right at a net deal or loss. Especially in the half-ton truck segment. Of course it also depends on region.
Never negotiate with a car salesman Buy cash and buy privately and stop the new car infatuation which depreciates instantly Never step into a car dealership
Dealer I last bought at was giving away a brand new Harley in a drawing to it's salesmen. 25 cars in one month to get in on the drawing. Cost that dealer another $1500 for my sales guy letting me in on that. Buy at the end of month/quarter/year.
This video works if people are actually honest about their research. Unfortunately buyers lie more often than sales people do and that’s where the mistrusts begins. I treat my clients with transparency and respect. I have a lot of repeat business because of it. If you come in telling me that the last dealer you visited has the car you want, with lower miles, and are selling it for a way lower price than I am, I’m probably going to asume you’re not being honest.
I have read most of the comments below. The simple question as a salesperson if you are lying to sell a car to a customer then that is what it is lying. If you were taught by your parents properly, that lying is a no no. So if you are lying to make some money then you should have a conscience to quit that job. As we as consumers must learn 2 do our homework and if you can't afford it don't buy it. A car is NOT a house it is not an investment. In most cases it will not bring you back any money.
Come on my side of the fence for a week and your diluted perspective of car salesmen tactics and mindset will crumble. By the way, there are times you make less than $100 on a car deal even when the car costs over $50,000. Commission is a percentage of the profit, not the cost of the car.
One time a dealer told me it's all a gamble. Some cars he barely recovers his cost. And other times, he makes a huge profit. He said it's just a matter of accepting the gamble and that some cars you will just recover your cost on, and some you'll make big profits on.
when I was a teen my dad asked me while driving, "hey son, do you want to see a mile long place filled with thieves?" not knowing what he meant at the time I said sure. and he pointed out the motor mile.(a mile long full of car dealerships. not sure if they have that in every state) lol
MrGee13133 them bastard are thieves. I had bought a brand new nissan versa when they first came out and gave 1200 down, all for them just to tell me 2 weeks later that the contract wasn't finalized. I was told I had to return the car or I will get charges, I wish I had the money for a lawyer because I was told from another dealer they messed up, not me and that they sold me a new car for 1200 dollars. long story short I had to return the car and the still kept my down payment as if I paid for a rental car and ruined my good credit. ever since I just buy cars cash
rafeal, not saying everyone or every dealership is honest..just saying that everyone who works in the industry isn't scum bags and work for crooked dealers..there is so much information available for the last 10 years to help consumers make eduacated decisions and can be fully informed on what they are doing with the car buying expirance..there are laws in place today so the consumer doesnt get screwed..there are bank guide lines that have to be met also..if you go to a dealer and not feel like you are getting the right deal or being misinformed you can always get up and walk out..when your purchasing a car or anything for that matter you and you alone are the only one making the decision to take the deal or walk away..if it doesn't feel right it probley isn't and yes dealers and sales people do have a bad name but i have met some of the nicest and friendliest people who will give you the shirt off their back if you needed it and they are in the car sales industry...
All of you who feel good about "really got the deal" or " I made it so they didn't make a dime" you will ruin it for everyone. Sooner than later ALL dealers are going to one price only like carmax and then you will have a larger profit made off of you than when you could "negotiate". It blows my mind people buy an i phone or a tv with 300-400% mark up but when a car has 4% mark up they lose their minds, negotiate all profit out of it , which in turn will ruin this process for every consumer and go to one price car sales.
EXACTLY! - it's already happening. Tesla, Carvana, CARMAX, most major dealer groups are starting to go one -price. it takes the BS of the transaction away, and just focus on the people involved.
I am a salesman and I can tell you first hand this does not work in a customers favor, looking at the cars in the background this video is very dated. Nobody makes money on how much you sell a car for anymore the money is in the bonuses we get so we dont care what you buy the car for we will give you the lowest price so we can hurry up and sell another car. Plus you can do all that and still end up paying way to much.
I rejected 7 offers from dealers cause it wasn’t meeting my expectations they thought I was gonna get exited and get whatever deal . Ended up finding my car to the price and monthly payment I can make after research and low balling dealers lol
Don't think that car dealers don't brag in the lunch room how much they ripped a customer, because they do. It's the culture. Just search car service ripoffs caught every which way by Marketplace and other under cover reporters. It's rampant. This is what the dealers train their service people to do so obviously they will train their sales people to rip the customer as well.
Man, I think there is a huge stigma attached to used car salesman. Not everyone is a bad one, that's called stereotyping and this world is filled with it. Sure there are bad ones here and there, but damn guys my take is go in with a positive mindset, do your research and have fun. Car buying should be fun. If you do your research have a reasonable price in mind and treat the salesman with respect I think it can do wonders for our world. lol No need to hate. Theres murderers and there are saints in this world not one set of people is all or the other.
I hear you on that, but for the past 3 times I have been at a dealership it took 5 to 6 hrs to complete the transaction. That isn't a good time. My last experience they held on to my trade in car keys. By the end of the day I ended paying more then I've expected to pay. It's hard to respect the occupation when you feel like your being toyed with. Hence the reason why I haven't bought a new one in the past 7 years.
i think you are right, i told the sales man up front that i am shopping , i knew what i wanted , i was going to take time at it. He was alright with it . manager tells me they all pay about the same. they seemed to be up front with everything , my credit was poor, good price, zero percent o% on lone. i didn't feel cheated, Toyato give me 0%, they seemed to work with me., Do we ever win, i don't know., they need to make a profit to stay in business ., i went to Atlantic Toyato in Lynn, Ma. they made it easy for th whole thing
lets see, went to dealership with false adds. 2 dealerships have tried to sell me a car for more than they had it advertised for. Recently went in and got the story of how car was low priced and no one was making money. They hid the cost in payments, tried to charge me 300$ for a car key with the car, and I walked. Sure enough, 4 weeks later they had that car listed for $3300 less lol. Another place tells me its a hyundai brand extended warrantee and its not, its after market. Don't trust them at all. More stories but I will just stop. A few decent folk are out there likely , but most are not. You must be prepared to protect yourself.
Step 1: walk in and introduce yourself to the salesman who approaches "Hi, I'm looking at buying 5 of these trucks, fully loaded for my business and I'm willing to pay sticker price in cash" "You're bullshitting me!" "Yea, thought I should be the 1st one to speak some bullshit"
for the last 20 years i have not walked into a dealership. i send emails to every dealer in town and neighboring towns. i ask them for the best drive out price on the car i want. they know what they can sell it for. some wont tell you and want you to come in to talk to them. dont fall for it. resend another email request. you will find someone else who wants to sell a new car. at the end of the day i had 18 offers. they varied from 20,175 to 23,100 for a new Rav4 (2018). same car 3k spread. never set foot on the lot. this works if you really want to know the real price before buying. you can ask dealers in another town if you like. this will give you the realistic price for a car. i had one Hyundai dealership (baytown hyundai) flat out tell me that all cars are not discounted but you only get some of the rebates, not all of them. they keep it for themselves. be sure to add ALL rebates in the drive out price. they hate doing business by email becsuse they cant ware you down. waste your time, and pressure you. you are in charge. take it back and you start to regain control. try it, and see what price you can get. by the way make sure you ask about the mileage. make sure you dont settle for a demo or a car they drove for 4.5k miles. i ran into this once. good luck. worth a few emails saving 3k for my car.
My roommate negotiated for about 2 months for a new car with 3 car dealers. What I noticed was that he basically treated the car salesman as inferior species and would even get upset and angry over the fact that they will not talk to him nicely even though he would routinely hurl insults at them. Insults would range from "a minimum wage worker can do a better job than you as a dealer" to "you do not have to be rude to me just because you are unable to give a decent price". Of all the people I know, he got the best deal on his car.
misconceptions of what people think are they believe dealerships buy cars at the low price but the truth is they pay the same price that the car commercial says the car is so if it says $35,000 dealer pay 35,000. they make their money on unclaimed rebates, financing
I will let everyone in on a little secret and it’s very simple when you’re going to look for cars at a dealership look at the inspection sticker because when the car arrives at the dealership they inspect them so that will tell you how long that car has been there look for the one with the oldest one that’s the one that they want to get rid of that’s where you will get a deal..
Dude Its been a while since my mind been blown. I feel like I just read something the masses were not to suppose to know.
but what if it was a wrong color? I'm sure some people still look for certain features on the car and it the car has the oldest inspection date, you're in luck, but if not, I think you should get the car you desired
False, we dont care what we sell as long as we sell. It's our job :)
1.) Don't buy new (unless your leasing), you lose a large amount of money as soon as you drive off the lot. Plus a new car becomes a used car within 1 second of you driving it off the lot anyway
2.) Do your homework and know what that car sells for, what others in that area sell for. Carfax? Any issues with the car? Any warranty left on the car?
3.) Large automotive groups have a LOT more ethical practices Carmax, Autonation, they can not afford to have a tarnished reputation. As opposed to Fast Eddies Used Cars...
4.) If you are going to finance, get pre-approved. Know what kind of interest rate you are capable of getting. This has a huge impact on your monthly payments. Increases your leverage
5.) Get the price as close to it's actual value as you can. $30k car being sold for $40k? That means you are going to be at least $10k upside in your loan right off the bat.
6.) Dont let them hide the numbers from you, they will bring out a piece of paper with some high ass monthly payments and say Which one do you like? You want to see ALL the numbers
7.) GET EVERYTHING IN WRITING. In the dealership world, it's called a WE-OWE, means they owe you something like floor mats or new tires, or first oil change free. DONT TAKE THEIR WORD!
8.) Be willing to walk away if you don't like the terms. They will run after you in the parking lot, or call you an hour later. If you need a car right away, rent one while you shop, dont rush into a bad deal
9.) No finance company will require you to purchase aftermarket warranties, gap protection, paint protection, etc... Don't fall for that line.
10.) Negotiate on the interest rate, this will end up saving you thousands. When they ask you for something, you ask them for something. If I can will you: (5 free oil changes) etc...
11.) Buy at the end of the month, this is when dealerships are pushing hard to make their month look as good as possible. If possible, last day of the month on the last day of the year!!!!
12.) A good deal doesn't always mean a rock bottom price, sometimes it means getting a great car at a fair price from a good dealership that will be there if you have any issues. Check their Google reviews, check their Yelp reviews. Is everyone saying they have crap cars? Don't go there....
13.) Have cash for a car but bad credit? Finance it anyway, it will help your credit history. Plus you can build your credit over 12 months and refinance the car with another bank for a lower interest rate. Or take that cash and setup a bank account with auto-draft and lease a vehicle with the payments being auto-drafted every month, you are building your credit and don't have to worry about it.
Side Note: If you are trading in a car where you are massively upside down (meaning you owe way more than the car is worth). Do a 3 year lease on an inexpensive vehicle, dump the negative equity from the upside down vehicle into the lease payments and you will chip away at that negative equity over the next 3 years, then it's done... Yea, you may pay $500 / month for the next 3 years but after that the negative equity will be gone. No use in trading negative equity for more negative equity.... It's a vicious cycle.
Thank you ♥️💨
thanks!
Leasing is a waste of money, I will never lease a lease a car!
IWillSurvive truth.... leasing is the easiest way for them to scam you. car worth 25k, they give you 3 options, one option cost less than that value of 25k but you end up not owning the vehicle and the dealership owning that other half. might aswell try to decrease that car value to something like 22k and you own it.
@@wow-oq6jc Leasing can be a good deal if it is right for your circumstances. Remember on a lease. You are paying for the depreciation value. The calculated depreciation (usual 48% - 50%) over the next 3 years. Your payments are lower because you are financing 50% of the value of the car instead of 100%. Plus with a lease, you always have the buyout option where you can purchase it at the end of the lease. Most people who “buy” their cars trade out of their cars before the full finance term anyway. So in essence, your doing the same thing as a lease. But did not get the benefits of the lower payment. I have seen some great lease deals. But you have to know the numbers and what works for your situation.
And a side note: When your leased car is ready to be turned in. The dealership will more than likely want that car very bad because they can clean it up, make it a “certified used” car, and fetch more money for it than a regular used car. So that also gives you more leverage when you show up ready to get a new vehicle.
Don’t over think it guys, the car business is entirely different after the birth of the internet.
On new units there’s almost zero mark up MSRP minus rebates is a fair deal or cut the haggling out and just say I’ll do business right now at invoice minus rebates. That’s the same price an employee would pay. Quick, easy, and fair.
The average salesman has probably worked 3000-5000 car deals before you walked in the door and dealt with every kind of customer you can think of. Just be straight up honest and direct with them.
For trade value just KBB your trade under “Good Condition” not excellent condition under private party sell. Or ask to see the book value.
as a salesman i can confirm this is all 100% true
What kind of cars do you sell?
Gus Goose lol
Always negotiate the FINAL drive off the lot price. Not any MSRP or anything else. FINAL price only
Be prepared to walk
Tire kicker!
All these ideas only apply if you’re dealing with an inexperienced salesman. As an Experienced salesmen who takes his livelihood seriously, I already know all the games & can tell within 5 minutes when a customer is being unrealistic & I will only discount a car if the customer commits & saves both of us time so I can get to the next deal ASAP.
Really? I’ll just come back another day and buy the same car cheaper with another salesman 😂
"The price is too high. Your competitor down the street had a much better price. I am paying straight cash, how much lower will you go?"
Sir this is a Wendys
“Did I stutter?”
All right, that did make me chuckle ngl
It looks like a bunch of salesmen got into the comment section of this video.
TheWalz15 exactly my thought
Hell yeah
Yup
people should be able to buy the car direct from the manufacturer at a whole sale price.
People are gonna want another discount if it was at manufactured price. If you can’t afford a car don’t buy it
You can! i know someone who drove 400 miles up to Detroit GM. and purchaced his car, He saved over three grand! But you have to plan it ahead of time. what car, how much, picup time etc.lots of phone calls and paperwork done a head of time!
@@anetajohnson8446 coming from a car salesman at Toyota. Iv been a salesman for 8 years there is absolutely no way you can “lose money” as a dealer selling the car. I don’t even pull this shit with my customers anymore I’m straight forward if Someone comes in looking for a 3 thousand dollar discount I put them on a cheaper car that they’re more comfortable paying for. And also dealers lie you should know that by now. They can tell you they took of 2 thousand but all that is is a rebate that legally has to come off even as a employee discount I never made the company “lose money” when I bought from my own store. And you best know ima take it down as far as it goes
The thing is, I know he knows I know he is slick af, so I will just be blunt.
Here’s my price,
I know my stuff,
No bs,
Take it or leave it.
I use to work in new car sales and when they tell you it is a loss they are lying. The dealership receives holdback from manufacturer. 2% of MSRP. Also dealer adds are pure profit. Don't get your head ripped off.
Kenzie Kayla You are far from correct and I'm assuming that's why you didn't make it.
isn't getting a price for dead invoice of the car great?
Andrew Hughes " I used to" would be the phrase you are searching for , and that means you didn't make it , My father and I have sold car for a total of 34 years and I can tell you new cars and used cars put together don't make even close to half of what a good service drive makes , because new cars are sold for a loss and used car are advertised with no profit on dealer websites. So to avoid sounding rude you are at the very least misinformed , if you believe new cars make any kind of real profit ,
Even then the holdback is not that much unless you are looking at really expensive cars
michael Walker - and we're supposed to believe you? The salesman? When we get the "Let me bring out my manager.... or the finance officer so they can upgrade your costs" Out the door? Sure.... with 3 grand in extra's right?
My current car is in perfect condition with warranty till 100,000 miles. So really I got no pressure whatsoever in getting a car this weekend. Buy a new car when your current car is in excellent condition.
No need to be so aggressive. It's the human nature to react to someone pushing a product down their throat and being too eager to sell. Let the customer play with the product and feel it all they want, look at it, smell it, if they come back to it - they are interested. Be their friend, help them get into their dream car. It's an expensive item. Naturally, there is stress. I bought a lot of expensive items and sometimes it took me a while to get enough money, it's ok. You don't have to sell at a loss. I want you to be in business and provide wonderful expeince - focus on this and you will be just fine!)
Zhukov Studios - Portraits & Weddings by Sergei Zhukov Awesome comment my friend.
Weak
"The dealer will never sell a car at a loss" LOLOLOLOLOLOLOLOL
Actually they do all the time. The last dealership I worked at lost 4500 on a new car just to make the deal
@chance crowford there was no trade and no only GAP purchased on back end
@chance crowford everyone thinks car dealerships are thieves but the real thieves are the car buyers. Always wanting more off the price even if it's already $10000 off sticker.
@chance crowford Altima
@@ghosthunter504 😂😂😂 usually the dealer win only a few customers get a deal
This is a great video. Know your shit people. I used to apply the pricing stickers for various dealerships and I've overheard multiple car salesman bragging about how many thousands of dollars they ripped people off for. One guy even bragged that he sold a car to an old lady for $5,000 more than the lowest number he was allowed to meet and had her convinced that she was getting the car at a steal.
I've had both bad experiences and good experiences with car salespeople. However, it is the customer's responsibility to understand the trade of this industry. Doing your due diligence is always important, but understanding that your are essentially there with the intentions to purchase/lease a car is also very important. There's an anticipation, whereas the customer who walks onto the lot and proceeds into the negotiation process, that he/she is ready to finance a vehicle. Although I am not a salesperson I feel that time can be wasted with indecisive customers. Not to say that being indecisive is entirely a bad thing, however there is a difference between testing the vehicle and trying to finance the car.
when i walk to a dealership. I already know what i want and that's it
As a car salesmen I will tell you that the salesmen is on your side. On new cars we get paid $200 each car and our bonuses are volume based. All we care about is that you buy the car, we don’t care how much you buy it for.
You want us (salesmen) to be on your side because it is our job to sell our management on the price that you want.
I agree negotiate off of the number not the payment. It is ok to tell your sales staff what payment and down payment you want to do, just to make sure you are looking at the right inventory. Any good salesmen will benchmark the payment on a 60 month term.
Here at Toyota and from what I understand Honda also, we do not have much markup. 5-7% off the MSRP is a good price for any customer.
The internet has changed the industry. Now since people can shop online, the industry is more about higher volume and lower profit. Dealers just want to move cars now, and some customers have the old school mentality of shopping that makes it harder on both ends to meet an easy deal.
spot on
I used to sell cars, this video is pretty good advice overall. By arriving just before closing time and having your Salesman and Sales Manager work overtime, you also increase your chance of getting a fair deal. The one thing that bothered me the most in a sales job
is the fact that too often, the nicest people do not get a fair deal. Sometimes the customer has to get quite rude to get a fair deal.
A fair deal is the best you can hope for. No dealer is going to sell a vehicle unless the deal is good for them and always remember the business manager is also a salesman and you can negotiate prices on extra warranties if they help you sleep better at night. The other options like paint protection, under coating and upholstery protection are not worth paying for in most cases.
Arriving closing time means nothing. We would most likely reschedule you to come in on another day. This only work at the end of month. And they need that sale meet store goals or salesmen bonus. The internet has taken out all the mystery. Now some prices on trucar are unrealistic because they take lease special into consideration.
Did anyone actually notice those 3 gorgeous S2000 in a row *_*
Yes 😍 also on his computer screen
Absolutely! The whole reason I'm on this video is because I'm looking to buy an S2000!
@@SquareSquared2
Rice
YA holy shit its the only thing i remember in the video
This is actually pretty good, who ever dislikes this is a car salesman
I use to be a car salesman... and I liked this video. What was stated in the video applies to far majority of dealers/sales. Very few high-volume dealerships do not dupe customers hard, but very few.
Panthers1521 I am a car salesman an this is 100% true
Morris Smith what other tips to get the best deal
XD
I sell cars. But to say the salesmen get paid very well is a lie
Walk in with print outs of the other cars you're considering (genuine not made up). There is ALWAYS another car. Best deal I ever made, I literally went to leave. It was the dealer manager who squirmed. I found it hard to keep my poker face that day :) Felt good. But as others have said, be realistic too. They are in BUSINESS and NEED to make a profit. That's the nature of it.
Always check prices of that model.
Check the history.
Then go to the dealer.
Not that difficult to buy a car. I personally shop when the dealers are CLOSED. 90% of the car buying process is finding the car. If I find a car I am interested in, I will research price range on my own. I will return to the dealer when they open and grab the first salesman I see for a test drive. If the car meets my needs, and we agree on price, I am prepared to drive the car home at that time. I just use the salesman to complete the paperwork. Don't need to play mind games.
And you still likely overpaid
Yes that's it you are not a tire kicker.
Make your offer and that's it.
@@ryansmith2814 I don't know. Difficult to put a price on a vehcile... Who knows what a nice car is truly worth?
having your price in mind dont always work out, I'm not in car sells and never have been. I was walking around looking at a truck in showroom while waiting for oil change, I saw a couple talking about what they would pay and not a dime more. it was 34000. I heard over at sales desk them saying 32400 is our best price. salesman come back and said what about 35000. they said 34 is what they would pay, he said ok, sold. at sales desk they were smiling
You know the funniest thing here is, the comment section is more informative than the video itself in my opinion. Whenever I meet new people, I only say what I want them to hear, not what they wanna hear, or what they think they need to hear. Everything you say can potentially be used as a tool against you. Choose your words wisely.
It would be nice if you could buy a car without all of the sales crap.... However the video is exactly how you have to do it... It just takes time and the willingness to put up with the B.S. Great job!!!
You can! All you have to do is buy the car instead of asking for "best brice" and having "to think about it".
Awesome tips!! I messed up on sounding to edgear for the car. I'm going today to get the car. I will stand strong with I can walk away. If it's not at the price I want. In a polite way. :) wish me luck.
I loved that line he said "dealer are well paid, you don't wanna be responsible if they going to hungry". Anyone in society leave home to earn money. "Not to work and stay hungry". Getting a great deal is not a bad idea, however respect their business. I am not a sales person or a shopper. This video came random to my play list
Lol a whole lot of sales people in the comments here. All this video is saying is to do your homework and stick to what your offer is and don't let the sales staff make you pay what you don't want to. EVERY major car dealership I've shopped at has at least one back handed tactic they use to try and squeez a bit more out of you, it's never a simple straight forward process. I set an appointment once based on an online ad for a car listed at 14,999. When I got there they had put a tag on that said 15,999. They'll fuckin soak ya for all you have if your not
Careful
Jason Fehr sticker price is always higher than internet price
Theres some good tips here, but some are useless. Mostly the "Pretend not to be emotionally attached" and the "have an out so you can walk out" stuff that really just amuses me. I get clients that try that trick all the time. Do you honestly think youre fooling us? You're at a car dealership, which means that you need a car so badly you are willing to endure the stigmas attached with visiting a dealership to get a car. Plus, if you get the wrong salesman the "im not buying today" comments are taken as "You want a challenge? I challenge you to change my mind!.
Know what you want, and research a realistic price based on facts not "what you feel you should pay" and have a neutral/positive attitude and you will be okay. Come in thinking you know everything and with the attitude that youre getting ripped off and you will have a horrible experience everywhere you go. The choice is yours.
I would LOVE to challenge you.Your full of shit.Keep dreaming,Your why people think car salesman are scum.
James D. It I’m not a car salesman.... 👍🏼👍🏼 everything in life is negotiable you just don’t know how to negotiate
James D. See, the troubling thing that you dont realize is that when you walk into any business with that kind of attitude, youre going to have a bad experience. I would win your adorable little challenge either way. If you dont buy, that tells me i may have said something wrong, or done something incorrectly. Thus, i learn from the mistakes i made with you. If you buy, i win and i get the sale.
Suppose if I didnt learn anything and still didnt sell you anything. Then you win? Nope, it would just mean that the vehicle I tried to sell you, did not suit your needs. Unless of course, you had no intention to buy, you just came in to screw a salesman. You would win under those regards, but you really would just be proving to the world just how much in common you have with the worst salespeople in the industry. Lying, cheating, using misleading information and switching people is EXACTLY what people hate about bad car sales people. Thankfully, most clients recognize that there are alot of bad car dealerships full of people like you and they stay away. I still get people like you though, but at the end of the day im greatful for the people who hate buying cars. All i have to do is tell the truth and be considerate to their needs, maintain transparency and i get paid pretty good, because i have to deal with people like you that drag out the process and make it much more difficult then it has to be. So at the end of the day, thanks for being a tough customer because it benefits me in more ways then you can imagine :]
I've been selling cars for eleven years. Yes we do lose money on car deals. We have old age units, need to hit new car number goals etc. Don't go in and think you can "demand" your price. You'll do it at dealer after dealer. And spend weeks trying to steal a car. Don't expect retail for your trade, expect to pay a good portion of retail for the one your buying. If your polite and nice, the sales team will respect you and go for a fair profit. Do what there telling you to do and act the way this video is telling you to I'll put my thousands of hours of sales experience to work and you'll pay my mortgage.
Car salesmen deserve their sleazy reputation.
Aurelian Carpathia based on?
been in the car business right at 30 years...trust me...we have sold plenty of cars at a loss...this is really not a great way to buy a car...go in build some trust and buy when you are comfortable.
Here's some real advice: State your intentions to your car salesperson up front. Your salesperson will appreciate this, and will return the courtesy of being up front with you. It's only when both parties communicate their intentions clearly that an agreement can be made.
Playing games with your salesperson is just going to cause them to look at you as an invaluable time-wasting prospect. Not only will you receive half-ass service because of this, but you probably won't even get the deal you were hoping for.
Haha right.... Honesty will get you nowhere in car sales from the consumer side. Once customer realizes that car salesmen (which you might be one of), sales managers and dealerships in general, make money based on the margin of total cost they will never believe that (and shouldn't to begin with). Duping and playing tricks on potential and unknowledgeable customers is easy money. Very rarely will you find a dealer that wants to be upfront with lowest pricing they can still make money on (usually very high volume places where times wasted > increased profits from long negotiations). I worked in car sales for a few years after high school, seen it all; the only other place that comes close to sleaziness are the insurance companies.
Do not believe any random person who says you shouldn't fight for your hard earned money.
Here's real advice: Dealership's state your intentions of the car sale up front. The price IS the price, NO HAGGLING. How about that? Wait.. it's always thousands of dollars more? YOU DON'T SAY?!
Stop Telling Me What To Write I can tell you sucked as a salesman lol
Nonsense. just like in poker, u don't reveal ur hand until you've played the game and analyzed ur opponents strategy, the dealer is not ur friend! He's out to get the most money out of you and acts accordingly. Honesty is taken for weakness!
A R: That's fair. When I've done that AND the salesperson has been honest with me, that's worked fine. One thing I state up front is I'm a cash buyer and I don't want my time wasted. That's worked well for me.
OTOH, once I've been honest, then if they jack me around, or try to lie to me, I don't mind politely walking out and stating why. I won't waste your time -- but then DON'T WASTE MINE.
One thing that helps for me is to have done my research, know what kind of discount I want, and have looked around via the internet and know what competitors in the area are charging for similar vehicles. I like dealers who are already offering discounts in the ballpark of where I'm trying to get as that saves me from a long bargaining process.
I sell cars and ill tell you this, some people are very unrealistic... Dont look at a 50k car and expect a 400 dollar a month note with nothing down. We are not magicians lol. Also pay your bills on time, not when you feel like it.
I wish I could like this more than once
Is it ok to pay my parking tickets when I feel like it? That’s all I care about.
it sucks when I walk in, explain to them I putting 10k down and have credit score higher than 90% of your clientele and know what I want and yet they still put me on the damn marry go round .. this isn't my first rodeo dingus
My brother bought a new 2017 Sliverado z71 4x4 last year going for 55k... He got it for 38k at $450 a month so fuck you lol
After very stressful negotiations I turned down the offer of $23100 for 2018 Accord Sport, was I wrong? I did it because I had an offer from another dealer $400 lower than that, but I wanted manual and they didn't have it, only cvt. The dealer that I turned down had one, and it was the exact colour that I wanted (16 accords manual in the 100 miles radius around me, 6 of them is the trim that I wanted and only this one was the colour that I wanted. I never told this stuff to the salesman but told him that I prefer manual over cvt. In reality I would go for 10 speed but don't have money for it). So I am probably buying camry se which is $1500 lower than the best accord sport offer.. I am sad now, but that is probably the answer to the people who are asking why camry always sells better than the accord
Email a bunch of dealerships with the exact model you want and tell them to give you your lowest price all included. Tell them you are sending this email to all the other dealers in your area and you are willing to close the deal the same day if the price is right. Some of them won't reply but from my own experience more than half will at different prices. From there you can call the lowest offers and start negotiating a bit more telling them how much their competitor is offering you.
Being retired, I have the luxury of time. I was at a Chevrolet dealership just to look at the new corvette. A salesman pounced on me immediately, annoying the hell out of me. So after several attempts, I began feigning interest, played along with him, and began the sales process. Throughout the process, I asked millions of questions, took forever to read all the fine print, and have him try to explain it. Asked him if I could get special custom features, just wasting his time. It was a JOY to do! Finally after about 2 hours of “buying” the car, as I was about to sign, I looked at the final document, and said, “Well on second thought, I think I’m going to go for a Mustang instead. Is there a Ford dealership nearby?” His exasperation was so satisfying!!! 😂😂😂😂
Know the price you want and stick to it. It's that easy, don't budge. It's not the only car in the world.
The best thing you can do for yourself as a consumer is to shop for a SALESMAN. Make a strong relationship with a professional salesman and they will do all the work for you. Lying and playing games will never "earn you respect." However what it will do make for a miserable experience and absolutely poor service after the sale.
+Bill Stout Sells Cars They start the games sir, Are you a car sales person?
I have been selling new and preowned cars for over 15 years. Your perception that sales people play games is only accurate of bad sales people. That's why I said shop for a salesman. Buy from someone you like and trust. You'll find out that the process is very easy.
If I'm the buyer, I don't need the respect from a salesman. LOL, but your comment is funny. Thanks!
What Bill Stout said is wayyy true.. some clients play games right as soon as you meet them.. Just tell the sales person would you want to pay but don’t be out rages and not make sense.
Also keep a realistic number in mind. Don't look at a $30,000 car, offer 20k out the door and want 300 per month for no more the 48 with a 560 beacon score. That is incredibly unrealistic all around lol
Ahh the OK Deal, such fun, I love writing notes back-and-forth to the desk
You can get at least $2000 below invoice, I did, On a $20,000 car, a holdback represents $400 to $600. The holdback allows dealers to sell a car at invoice price (or even below invoice) and still make money. Most manufacturers offer holdbacks to their brands, Also Many dealers will easily settle for a $1500 to $2500 profit. If they do, and you purchase the vehicle correctly, you will be well below MSRP invoice!
they are not in business to give you a deal
I love it when they insult classic vehicles by telling you 'time to buy a newer more reliable car rather than that', happened to me when I took my sister
No one insults my old jeep that way, no one
Walked away from there
The way I negotiate, I clean out the car to show I'm serious about buying (why would I leave my junk in the vehicle if I wasn't?). I give them my bottom line right off the bat and if they can't meet it, I leave. Some may say I should start lower and work my way up, but my time (and theirs) is worth more than a couple hundred dollars. 90% of the time I don't need to trade my vehicle and have no problem keeping it. They need to make the sale more than I need to buy.
Car salesmen are nothing more then a drugstore cowboy.
Precise and to the point
>be patient.
No, you get them to get the price you want and tell them to not play the "I'll talk to the manager" game or you'll walk out
Not really, I love well informed shoppers. It makes the process so much easier for everyone involved. I'm more than happy though to turn away a "think they know it all snob" who thinks they possibly just learned what every salesman is like from a few UA-cam videos.
MarylandManson29 AMEN. Foreal I’m quick to send their ass off to another dealer if they can’t see a good deal in front of them. I love it when they make it easier for me and have all their info ready. Plus, some cars can’t be negotiated. I love it when they come in all cocky saying shit like, “EVERY car can be negotiated”. I’m like nah fam I got a line of people waiting to pay full sticker for this model. BYE Felicia
Happy customer pays for the service the dealership provides . I’m customer I always pays a fair price I don’t low ball a salesperson. If sales person did all what he supposed to do , I pay and I’m happy customer
*[SPOILERS]* Here's the summary of a salesperson, specifically an automotive salesperson working at a dealership:
Wheeling, Dealing, and Negotiating is the name of the game. Hard Numbers, Sales, and Profits are ALWAYS the goal and it is the first and only thing that they really care about. Sorry, but it's not you. Not your loyalty. And not customer-client relations. If they actually cared about any of that crap and actually wanted to help people, they would be working in a customer service, hospitality, human resources, or medical role. They are there because they are highly skilled at working people and selling. That, and because they want to make money. The only thing that DOES impact a salesperson or a dealership is: a) loss of profits due to low sales and b) bad reviews. Now, are Auto salespersons bad people? No. Not at all. I've met many really nice and friendly people who work in auto sales and financing. However, most fall into a very specific personality type that allows them to excel at what they do during business hours.
1) *The Golden Rule is that knowledge and information are everything. Coming prepared is your most valuable weapon and defence against fraud and being cheated out of thousands of dollars. Now, most sales people won't outright lie directly to a customers face or outright attempt to cheat a customer. Especially because there are laws and regulations regarding outright falsifying information. However, there's nothing at all that says a sales person can't walk around the truth, tell part of the truth, or simply just withhold information from a customer. Which is exactly what sales representatives are counting on, buyers ignorance. This results in higher profits for them at the expense of the customer. No salesperson will simply outright tell you the negatives or flaws of the vehicle you're interested in, the negatives of that term they drew up, that you don't actually need all those BS vehicle add-ons, or what could actually save you money. That's just bad business. In fact, most salespersons are required to try and pressure you into purchasing all the additional BS stuff and fees. While we're on this subject, NEVER, I repeat, NEVER simply finance a vehicle using one of the dealerships financial institutions. The banks who work with dealerships are working with them to makes profits for both. Its far better to get your own quote from your personal bank or credit union and then bring it to the dealership. There's nothing stipulating that you HAVE to use the dealerships financial institutions. In fact: a) your credit is more likely to be approved (even a lower credit score), b) your APR is likely to be far lower, and c) you're likely to get far better customer service and leeway working with them to help you to pay off your auto loan.
2) Be Confident, be Respectful, be Civil, be Polite, and be Informed. It goes a very long way. Business, like all forms of communication, is a two-way street. If you don't feel comfortable with the sales person, the experience, the vehicle selection, or the asking price; then simply leave. No one, I repeat, NO ONE is forcing you to stay there against your will or forcing you to purchase that vehicle. That dealership isn't the only dealership selling the vehicle you want. If that sales person or dealership can't offer you a reasonable deal, then leave. I mean honestly, you buying or not buying a vehicle from them really won't make that much of a difference or matter much to that dealership anyway. It's no skin off their back.
3) *You should ALWAYS compare price points of multiple dealerships. The real trick to getting a good estimate of what that dealership is making in profits, is by telling the salesperson you what the "Out-The-Door Price" for that vehicle including their dealer fees and including government fees and comparing it to the listed MSRP and other dealerships. FYI: The actual True Market Value of the vehicle is far less then the MSRP, and less then the Dealer Invoice (which is also inflated).
My last new auto purchase,'15 Toy Highlander, I got pre-approved by my personal bank, Bnk of Am.
They had a few dealers they work with directly. This facilitated all paperwork and divert time. But it also kept the Toy dlr from counter offer a interest rate. They said, no 2.19% is very good w my 823 FICO. I felt they could've offere lower w Toy Finance. But why go against their buddy BofA.
I did get a very good price. Spent 1.5 hours total, while they installed the free factory door guard's I got as part of my asking Drive Out Price I negotiated. Then I only dealt w the dlr via email til they hit the Highlander I asked for at my DO price. Best auto purchase of the 7 new Hondas/Toyota SUV/auto/truck I bought since 2007.
I made the mistake of #2…now it’s time for a trade I’m scratching my head on what to do next.
Buying cars should be a hell of a lot less stressful than it is. I personally think it would be a lot easier if car buying didn't involve any haggling whatsoever and the prices were set like at any other store and the customers could look around the lot freely, and only receive help when they ask for it, or if they are asked if they need help, if they say no the salesman respects that and leaves that person to be for the time being without making any other further inquiries, just like how it is at a typical store. Not to mention it would be nice if getting simple questions answered over email, phone, or chat isn't worse than trying to pull teeth.
Of course I feel for salesman as they make their living off of commission and they have to sell cars if they want to keep their lights on and put food on the table, and management I'm sure also gets on them if they don't appear to be pursuing potential buyers, even if it's obvious a person looking is just looking and would rather not be bothered at that time. I get it. There probably should be a system in place where salesman get paid a decent wage regardless of car sales because cars are always going to sell because people like them, and more importantly it's almost a requirement to have one in the 21st century. Like most things in life, it's really the underlying system, structure, and culture that is at the heart of the problem, and the deception, dishonesty, paranoia, are manifestations, or symptoms, of being subjected to that type of environment.
That's funny when you say that car prices should be set like other stores and you shouldn't have to haggle. Have you ever looked at a window sticker on a car? That is the SET price that you are asking for. YOU choose to haggle from there.....do you haggle on the SET price at the grocery store on a dozen eggs? Do you haggle at the SET price at the mall on a new pair of shoes? Do you haggle at the gas station on the SET price of a gallon of gas? YOU, the customer, is the one who wants to spend time haggling and then turn around and bitch about how long it took to buy the car because you spent an hour haggling. And the funny thing is is that the 3 examples that I used are making more profit off of you than I am on a $50000 SUV, let that sink in for a moment....
utewbing Did you haggle for your last gallon of milk?
utewbing What you are failing to understand is that they can afford to sell cars at cost (new ones anyways ) because those customers tend to buy backend product and get work done at service it keeps the dealership in business but it pays the salesman next to nothing. Car salesmen are people too we work hard for our money , I work 84 hours a week , and deal with the worst and best of the public. I help out people when I can , and I make money to put food on my plate and in my dogs bowl. I don't see what's wrong with that , do you ?
John M also John m , you make a fantastic point and several brands have tried that model ( Tesla currently does this and rather successfully ) however many brands such as Saturn , Scion and a few others have went out of business with "straight line pricing " as it were because people want to feel like they beat us car salesmen .
utewbing except you can find the exact difference from the invoice to msrp by looking at truecar.com, and its usually about $2,000-$3,000 difference.
The government literally makes more money then this on sales tax, yet the people who dealership are the bad guys??? The people who got the car there for you, will service it for you, who will show you how everything works, and answer all of your questions. Those guys are criminals. But we need roads that you can drive the car on, so that $3,000 the governnent is getting is all good, its that $400 in profit the dealership is getting, those crooks!!!
Decent advice, but this video is 5 years old. Most larger dealers have an internet sales department where they quote you more or less their bottom dollar, so you can email a bunch of dealers within an hour and get all the prices you need. Also, the internet forces the dealer to offer a good price and good service since if they don't do one or either they will get bad online reviews and it will turn people off to them.
Modern dealers aren't trying to rip you off (for the most part). They make about 5-7% margin on a car transaction. People pay a real estate agent 5% commission on a property worth several times a car without blinking and I almost never hear negatives about them. Unlike the old days, all the numbers are out there so any buyer can be properly informed to what a good value is.
This is dumb and unrealistic. It makes me laugh when people say that they "don't want to play the game", yet will hold back on letting you know what goal they're trying to hit and ultimately end up playing the 'game' anyways.
It's unfortunate that the 'OG' car salesman from 10, 20, and even 30 years ago manipulated enough people into buying vehicles, that crap like this had to be made.
Buying a car from a consumer standpoint can be quick and easy, and less stressful than what most people believe it to be; you just need to be straightforward with the salesman, don't be unrealistic (ex. $300 payment on a $60,000 vehicle), and be respectful to the person trying to help you out. At the end of the day we're all humans, why can't there be a mutual respect between parties?
Because everything that comes out of your guys' mouth is a lie lmao
I buy at least two vehicles a year for my business. Take it from me, you walk in there to negotiate you will never get anywhere. They will give you a song and dance. Waste of time. Do all your negotiations via email and get a confirmed out the door price. Then walk in and sign. Some will hassle you when you come in but most wont.
Statiscally speaking, it's been shown that customers who come in to deal with salesmen end up converting to sales. Also, many people who work in the BDC deal often deal with email responses and inquiry calls.
Not to be a devil's advocate, but the dealership I work, if you are a serious buyer and you are reasonable, we will work with you and were good salespeople. Customers who think we're bad either lie to us about getting quotes from other dealerships or are just unreasonable. Some customer wanted us to sell him a Corvette OTD for 40k when the vehicle is priced at 59k LMAO. Customer wanted to do this over a call and text, didn't want to come in. We already knew this guy was unreasonable. OOS customers are a different story since they have a legit reason for not coming, but even then these guys are either tire kickers or price shopping. They either get ignored or the usual vague, non-committal responses
People think dealerships are bad. Yes, some of them are bad, but many dealers know the game has changed and besides pricing, we work on providing good customer service. If anything, with the powe of the internet, this gives customers the chance to play games and give salesmen the run around. Point being, if you come into a dealership, your price is reasonable, someone can work with you and give you a fair deal.
@@IGamingStation So lets just say youre buying a new car and you do your research on how much the car can go down for and you go to the salesperson and give them the price you want. Will they try to meet in the middle or just not do it? since it is brand new afterall
@@PhoenixKing567 Not a reasonable question at all. Thank you for answering that. From my experience working at the dealership I am in, customers who made the effort to come in house and work with us were able to get a great deal. Generally, if a customer is reasonable and they make the effort to come in, they will be sold something. It's only when the customers are unreasonable and beyond stupid that they won't get what they want. This one customer we worked with came in, everything was done as he requested and still didn't budge (prices, features, etc.) Again, this is my experience and I am sure other dealers function differently. To put it simple, we will meet you in the middle if you're reasonable.
However, general rule of thumb, like you mentioned, if you do your research, you're reasonable, and even make the effort to come in, I am sure a dealership will try to work with you. Many people will tell you about the great deals they get and not even lifting a finger, but never mention things like if they were a college grad and were able to qualify for rebates, if the dealer they worked with had a friend working there, if dealer is even well-known (most known dealers will not budge on price if they know they can sell the car for that price), etc. Basically, buyers are liars. Take what they say with a grain of salt.
My two cents. If you are going to negotiate through email, you have to show the dealer you're a "real" customer and someone trying to price shop.
@@IGamingStation well of course be reasonable. Thats what im trying to ask like lets say a car is like 31000 msrp and I look and see the average price people pay for it is like around 27k 28k and i go to the dealer and tell them I'm going for that price would they work with me or tell me get lost. I was just wondering if i should even bother but given what you said as long as im in a reasonable range and not tryna go like "I'll only do 19k for a 31k car". I might as well walk out the door myself at that point lol.
First time buying a car so sorry if I'm not making sense
@@PhoenixKing567 Not a problem. As I said in my long-ass comment, if you're gonna negotiate by email, show that you're a real customer or you're gonna get ignored. No offense to you, but dealers know that if there are 30 people on one car, and one customer is trying to negotiate and be difficult, they'll just move on to the next person. Also, be sure to ask if there are any hidden fees. Some dealers won't mention fees because it'll scare away customers, for one thing.
Otherwise, yeah, if you are going to a dealer in-person, show them your research, you want to be at X price and I am sure they will work with you.
Not going to lie idk what I did at the dealership but I did well enough to make a 25,000 drop to 19,000 so overall yeah just say you want it and when it comes time just say let me sleep on it and walk out and if no one comes out the dealership to stop you from leaving then to next dealership it is
184 pissed off car salesman
YOu hit every salient point dead on. Many years ago I did just what you had suggested. In 2003 I actually had an Acura dealer tell me to my face, they do not negotiate. I was taken aback by his blunt remark, but walked out anyway because in that day they didn't have to because the economy was bustling along at a great pace. My next choice was a Chrysler 300M Special. I then did my due diligence on that car and made one last stop to TELL THEM WHAT I WOULD GIVE THEM FOR IT. They whined and wheedled and begged, but I held my ground and sure enough when everything was on the table I got the car for what I wanted which was $6,000 less than the advertised price which was basically unheard of then because they also did not have to negotiate.
Here is a prerequisite you need abide by, get your loan from a bank and do not, and I repeat DO NOT GET YOUR LOAN THROUGH A DEALERSHIP, or you'll be taken to the cleaners. When you have your check in hand they see that as a cash sale when movement of cash is as important as inventory movement.
I also suggest that you take out a subscription to Consumer Reports on line and follow their advice to the letter.
Rumple Stiltskin. Oh really? My Mazda dealership has had 0% interest for up to 63 months plus 1000 dollars customer cash. Only a ass who hates the car buisness could make such an irresponsible reccomendation.
Oh really? I got $6,000 off the price, and you are bragging about a measly $1,000. What year did you supposedly accomplish this Ken? Back then in 2003 no one got zero interest rates, let alone for 63 months. By your statement it is obvious to me you work for a car dealership and yes Consumer Reports nails you morons to the wall because you're lying ass holes who think nothing of fleecing the public for a profit.
"Irresponsible Recommendation"? Nice try there Mr. Palmer, but no brass ring. You might try being honest for a change, or try finding a job where you don't gain enjoyment fucking the public.
I did everything in this video to buy my 1st car. Just wished I got another inspection. Car literally drove 50 mins to my place and starter gave out. So pissed but now my 2001 Toyota Echo runs fine.
i LOL'd
watchout guys when you go to a dealer follow these steps thank you for your help
Nothing wrong with payment pricing, you just research beforehand with their price and your trade value. Use your local bank website on their auto loan calculator. If you know you want $300/mo for 48 months after all is said and done, let them screw with the numbers, and NEVER go more than $10 after they add rages, title, taxes, etc. Do NOT let them extend to 54 or 60 or 66 months. That adds $1800-5400 to their pocket which could be increased price or reduced trade value. Do not let them tack on the useless extras like extended warranty that also screws up the numbers.
Do not be afraid to walk away.
After they finish checking the vehicle with your keys, get them back RIGHT AWAY. They like to hold onto the keys as a tactic that "they really want your car" which is a load of crap, it is because they want to wear you down into taking their scam deal.
Just buy at the MSRP you cheap bastard.
Finally! An actually informative video! Well done Videojug!
As a salesman i can tell you that this is total bs. Do your homework is the only good thing mentioned in this video. If you know what you want it makes everyone's life easier
Tell me about it, this makes the process so much harder for both parties...
Do you homework... basically means "Don't believe the sticker cost they put on the car because it's BS". If you put the ACTUAL cost.... that would make the process so much EASIER for both parties.
That would work great if this were 1995. Today is internet driven and all the best prices are on the websites.
Kinda true, but a lot still applies. Neogtiation room is smaller now, true, because there's so much info out there. But there's still wiggle room. Come in knowing that the max price you are willing to pay is, but don't offer that up.
Put him in a full Nelson until he accepts your offer!😂
Lmfao
Its really very simple....get the MSRP.....tell your sales guy to give you an out the door price...no finance ...no trade. See what they have discounted the price. Do this with 3 or four dealers same car.
I did basically everything this video said to do. Once the salesman and the dealership realized I wasn't gonna over pay for the car they let me walk away with no deal. I asked at least ten different times if he could give me a purchase price for the vehicle and all they kept coming back with was "what do you want your payment to be"? That's a big red flag.
How??? They asked what your monthly budget is because if you were looking at a 30k car and expecting to be at a 200 dollar monthly then you would be escorted to the door. That's a legit question to see if you guys are on the same page and ease the process that much faster. Buyers are morons
I had my Honda Dealership try to get me into a new car when the car I bought from them was only two years old. So I had them run the numbers to see if I would pay more for a longer time. When the numbers showed I would, I said "No thank you; I like the car I have and I want to be out of car debt one day, not deeper into it."
The salesman's face fell like I had taken away his favourite toy, because I had: Money.
Used cars I just go to carmax and get pre approved from my own bank. Easy and no negotiating
I like to dress like a homeless man, then slap $40,000 cash down on my truck hood when the salesman finally comes out.
Sorry, don't believe you, have heard this story before. Also, why slap cash when the salesman initially comes out. BTW - I'm not a salesman for anything.
You’re a 400 credit score shut up
We dont want your cash by finance and all products and i'll be more impressed.
Sales people don't get excited when you flash cash, it doesn't go in their pocket and makes you look like an idiot.
Donald Dorn it was a joke dude lol
My dad is really good at negotiation, he negotiated the price down quite a bit with my car
mind sharing how...
As soon as they offer you to take a seat, head for the door. Then they'll offer you a cold beverage and then you'll be trapped for hours.
ya saving up for a lexus after college gone drop a check for 30 grand and drive away with a second hand certified ES 350 with Mark L. system no negotiating crap
I love it, I've had people tell me that they care about the bottom line only, I asked "so payment can be whatever, as long as the bottom line is satisfactory?" They say yes!! They purchase the car with the bottom line being $20k exactly, up month loan with 1.9% and have a $650 per months for 60 months, happy as hell!!! Moron.
This video is actually pretty good if more people followed the advice given in this video they wouldn't get taken advantage of.
So this vid demonstrates how to buy a car and uses an actual salesman at an dealership. Huh?
2:53 mark is completely wrong. I’ve been on both sides of the fence(bought/sold) and have seen several dealers sell cars at losses. No one likes to sell it at that but I’ve seen it happen many times. Depending on the car brand(Chevy, Ram, Honda) and vehicle most of their online prices are right at a net deal or loss. Especially in the half-ton truck segment. Of course it also depends on region.
Honda civic you sell that scrap at loss because they make you waste your time with some retards
Never negotiate with a car salesman
Buy cash and buy privately and stop the new car infatuation which depreciates instantly
Never step into a car dealership
You don't know what your talking about
Dealer I last bought at was giving away a brand new Harley in a drawing to it's salesmen. 25 cars in one month to get in on the drawing. Cost that dealer another $1500 for my sales guy letting me in on that. Buy at the end of month/quarter/year.
This video works if people are actually honest about their research. Unfortunately buyers lie more often than sales people do and that’s where the mistrusts begins. I treat my clients with transparency and respect. I have a lot of repeat business because of it. If you come in telling me that the last dealer you visited has the car you want, with lower miles, and are selling it for a way lower price than I am, I’m probably going to asume you’re not being honest.
I’d like to deal at a number that doesn’t even make sense or even come close to what you own it for but I did my KBB research so I’m smart
No, you are a waste of time.
I have read most of the comments below. The simple question as a salesperson if you are lying to sell a car to a customer then that is what it is lying. If you were taught by your parents properly, that lying is a no no. So if you are lying to make some money then you should have a conscience to quit that job. As we as consumers must learn 2 do our homework and if you can't afford it don't buy it. A car is NOT a house it is not an investment. In most cases it will not bring you back any money.
Come on my side of the fence for a week and your diluted perspective of car salesmen tactics and mindset will crumble. By the way, there are times you make less than $100 on a car deal even when the car costs over $50,000. Commission is a percentage of the profit, not the cost of the car.
One time a dealer told me it's all a gamble. Some cars he barely recovers his cost. And other times, he makes a huge profit. He said it's just a matter of accepting the gamble and that some cars you will just recover your cost on, and some you'll make big profits on.
* slaps roof of the car *
when I was a teen my dad asked me while driving, "hey son, do you want to see a mile long place filled with thieves?" not knowing what he meant at the time I said sure. and he pointed out the motor mile.(a mile long full of car dealerships. not sure if they have that in every state) lol
while you were driving the car you bought at a CAR DEALERSHIP...LMAO....
randy parker uh no. the car my dad was driving was actually given to him from his boss at the time.
Which from somewhere down the track originated from a car dealership lol.
MrGee13133 them bastard are thieves. I had bought a brand new nissan versa when they first came out and gave 1200 down, all for them just to tell me 2 weeks later that the contract wasn't finalized. I was told I had to return the car or I will get charges, I wish I had the money for a lawyer because I was told from another dealer they messed up, not me and that they sold me a new car for 1200 dollars. long story short I had to return the car and the still kept my down payment as if I paid for a rental car and ruined my good credit. ever since I just buy cars cash
rafeal, not saying everyone or every dealership is honest..just saying that everyone who works in the industry isn't scum bags and work for crooked dealers..there is so much information available for the last 10 years to help consumers make eduacated decisions and can be fully informed on what they are doing with the car buying expirance..there are laws in place today so the consumer doesnt get screwed..there are bank guide lines that have to be met also..if you go to a dealer and not feel like you are getting the right deal or being misinformed you can always get up and walk out..when your purchasing a car or anything for that matter you and you alone are the only one making the decision to take the deal or walk away..if it doesn't feel right it probley isn't and yes dealers and sales people do have a bad name but i have met some of the nicest and friendliest people who will give you the shirt off their back if you needed it and they are in the car sales industry...
All of you who feel good about "really got the deal" or " I made it so they didn't make a dime" you will ruin it for everyone. Sooner than later ALL dealers are going to one price only like carmax and then you will have a larger profit made off of you than when you could "negotiate".
It blows my mind people buy an i phone or a tv with 300-400% mark up but when a car has 4% mark up they lose their minds, negotiate all profit out of it , which in turn will ruin this process for every consumer and go to one price car sales.
EXACTLY! - it's already happening. Tesla, Carvana, CARMAX, most major dealer groups are starting to go one -price. it takes the BS of the transaction away, and just focus on the people involved.
I am a salesman and I can tell you first hand this does not work in a customers favor, looking at the cars in the background this video is very dated. Nobody makes money on how much you sell a car for anymore the money is in the bonuses we get so we dont care what you buy the car for we will give you the lowest price so we can hurry up and sell another car. Plus you can do all that and still end up paying way to much.
I rejected 7 offers from dealers cause it wasn’t meeting my expectations they thought I was gonna get exited and get whatever deal . Ended up finding my car to the price and monthly payment I can make after research and low balling dealers lol
Don't think that car dealers don't brag in the lunch room how much they ripped a customer, because they do. It's the culture. Just search car service ripoffs caught every which way by Marketplace and other under cover reporters. It's rampant. This is what the dealers train their service people to do so obviously they will train their sales people to rip the customer as well.
Car buying is a just a money game. Play the game your way and win.
Might have worked 20 years ago.
Man, I think there is a huge stigma attached to used car salesman. Not everyone is a bad one, that's called stereotyping and this world is filled with it. Sure there are bad ones here and there, but damn guys my take is go in with a positive mindset, do your research and have fun. Car buying should be fun. If you do your research have a reasonable price in mind and treat the salesman with respect I think it can do wonders for our world. lol No need to hate. Theres murderers and there are saints in this world not one set of people is all or the other.
I hear you on that, but for the past 3 times I have been at a dealership it took 5 to 6 hrs to complete the transaction. That isn't a good time. My last experience they held on to my trade in car keys. By the end of the day I ended paying more then I've expected to pay. It's hard to respect the occupation when you feel like your being toyed with. Hence the reason why I haven't bought a new one in the past 7 years.
i think you are right, i told the sales man up front that i am shopping , i knew what i wanted , i was going to take time at it. He was alright with it . manager tells me they all pay about the same. they seemed to be up front with everything , my credit was poor, good price, zero percent o% on lone. i didn't feel cheated, Toyato give me 0%, they seemed to work with me., Do we ever win, i don't know., they need to make a profit to stay in business ., i went to Atlantic Toyato in Lynn, Ma. they made it easy for th whole thing
wsar ring I
lets see, went to dealership with false adds. 2 dealerships have tried to sell me a car for more than they had it advertised for. Recently went in and got the story of how car was low priced and no one was making money. They hid the cost in payments, tried to charge me 300$ for a car key with the car, and I walked. Sure enough, 4 weeks later they had that car listed for $3300 less lol. Another place tells me its a hyundai brand extended warrantee and its not, its after market. Don't trust them at all. More stories but I will just stop. A few decent folk are out there likely , but most are not. You must be prepared to protect yourself.
I hope you keep that same mindset in sports, jewelry sales, etc.
These negotiations are just like any other negotiation in life.
Step 1: walk in and introduce yourself to the salesman who approaches
"Hi, I'm looking at buying 5 of these trucks, fully loaded for my business and I'm willing to pay sticker price in cash"
"You're bullshitting me!"
"Yea, thought I should be the 1st one to speak some bullshit"
for the last 20 years i have not walked into a dealership. i send emails to every dealer in town and neighboring towns. i ask them for the best drive out price on the car i want. they know what they can sell it for. some wont tell you and want you to come in to talk to them. dont fall for it. resend another email request. you will find someone else who wants to sell a new car. at the end of the day i had 18 offers. they varied from 20,175 to 23,100 for a new Rav4 (2018). same car 3k spread. never set foot on the lot. this works if you really want to know the real price before buying. you can ask dealers in another town if you like. this will give you the realistic price for a car. i had one Hyundai dealership (baytown hyundai) flat out tell me that all cars are not discounted but you only get some of the rebates, not all of them. they keep it for themselves. be sure to add ALL rebates in the drive out price. they hate doing business by email becsuse they cant ware you down. waste your time, and pressure you. you are in charge. take it back and you start to regain control. try it, and see what price you can get. by the way make sure you ask about the mileage. make sure you dont settle for a demo or a car they drove for 4.5k miles. i ran into this once.
good luck. worth a few emails saving 3k for my car.
key note! Play hardball!
My roommate negotiated for about 2 months for a new car with 3 car dealers. What I noticed was that he basically treated the car salesman as inferior species and would even get upset and angry over the fact that they will not talk to him nicely even though he would routinely hurl insults at them. Insults would range from "a minimum wage worker can do a better job than you as a dealer" to "you do not have to be rude to me just because you are unable to give a decent price". Of all the people I know, he got the best deal on his car.
serious respect no bullshit. Salesman walks in and out with price not acceptable, I'll get the hell out.
misconceptions of what people think are they believe dealerships buy cars at the low price but the truth is they pay the same price that the car commercial says the car is so if it says $35,000 dealer pay 35,000. they make their money on unclaimed rebates, financing
So around how much less is a good number you should pay of msrp