Don't Buy a Car Until You Watch THIS Video | How to Negotiate End of Year Deals in 2023
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- Опубліковано 13 лис 2023
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Laura visits Ray's dealership once again at the end of the year to get a good discount on a 2023 Ford Explorer she's had her eye on for a while now. This video will show you what you need to know to successfully negotiate a new car at the end of the year, when dealer discounts/incentives are traditionally highest! - Розваги
Ray doesn't act like most dealers I've had the displeasure of negotiating with. First, he didn't start producing an endless string of dealer installed garbage, and acting like my car was going to self-destruct if I didn't get all that garbage. Second, his face didn't turn red and his voice turn hateful when he discovered that we would be working below msrp, rather than above it. Third, he didn't pull out all kinds of personal details about his family, trying to make you feel sorry for him.
Ray screwed customers for 43 years when he was in the business so don’t act like he is a good guy. The only reason he is telling you how not to get screwed now is cuz he is making money off UA-cam videos. I value Ray’s message in these videos but make no mistake, he screwed people for a long ass time and still slept well at night.
@@shanedupont9116
This comes across more as spiteful as opposed to insightful. Maybe he didn’t sleep well at night and now decided to share his insights?
@@MrCoreyVideo sure. Believe what you want.
@@shanedupont9116
That’s literally capitalism. The lawn guy doesn’t go around mowing grandmas lawn for free…
@@dontdoxmebroI never said that he shouldn’t make money. All I’m saying is that Ray is not a good guy. He spent 40 years deceiving customers into shelling out more money than they needed to when they bought a car. Now Ray wants to be a hero and tell you how to NOT be deceived by car dealerships. He is not a good guy. He is a snake. How come he wasn’t telling all his clients over 40 years that they were getting screwed if they paid dealer markups? I’ll tell you why……cuz he was getting paid handsomely when customers overpaid and if he did tell them the truth, he would not have lasted in that business for 40 years. He has every right to make money off of “suckers” like us but it’s pretty rich that he tried to portray himself as the good guy that wants to help. He is not that at all.
Just made a great deal on a Honda Ridgeline even with very limited inventory using the CarEdge process : do your homework, visit multiple dealers, be prepared to walk. Thanks Ray and Zach.
How much did you get them off the msrp?
Can I ask, what year and trim did you get and how much did you pay, out the door?
This whole process is why I’d rather go to the dentist for a tooth extraction for 32 straight days over researching, strategizing, negotiating, arguing and haggling for a frickin’ car.
LMAO!!!!
I can't thank you guys enough. I have been bing watching your videos and after finding the truck we wanted we bought the car edge report, trade-in quotes and out the door price sheet. I was SO Empowered I knew all the lingo and made sure they knew I did my homework. They didn't mess with me..I got the price I wanted, trade in value I wanted and no pressure to buy any packages. I wrote the check and feel Great!! Huge thanks again!!
Negotiate cheap as if you don't really want the car. Negotiate with that mindset and get ready to walk. Plenty of deals out there.
You have to be able to walk away. I've literally had car salesmen (at dealerships, new car etc.) follow me into the parking lot.
I just recently ordered a new Mazda MX5. I got 2k contribution from Mazda finance, 1.5k dealer contribution an 1.5k more on my trade in than initially offered. I think your videos while helpful in the specifics, give you that extra confidence to ask. If you dont ask you dont get! ~ Scotland, UK
One thing for you buyers to know is take the selling price of the car multiply that number by the taxes in your city. ADD that to the selling price plus doc fee and divide that by how many months you want to finance. If you can’t make that monthly payment it gives you after calculations then DONT BUY THE CAR. That calculation is before interest
I love these type of videos!! You’re content actually helped me pick out a mazda6 with an incredible out the door price. No market adjustments and no add on dealer fees!!
Great video. From my short experience selling cars, the one event that always triggers a sales manager into negotiating mode, is having a customer ready to buy a car but the customer announces they want the car in a color not currently on the lot. For example, I go to a dealer to test drive a red Mazda CX5, but I tell the dealer I really want a silver one, even though I actually prefer the red one. The typical "Color Discount" may not be big, but it starts the negotiation process in a more positive tone than pulling out black book figures.
Just did this with a house... had a pool.... told them i was going to have to fill it in with dirt and landscape... reality was i loved the pool.
Good point. I didn't think of this at the time, but I guess it inadvertently worked in my favor when I bought my (black) Toyota Avalon last year. I told them that I would love the car and buy it on the spot if it were silver, but I'd have to sleep on it whether I really wanted it as it was. Avalons were rare, so not much choice. The next day, I bought it at MSRP, with zero add-ons (not even the stupid mark-up for Nitrogen in the tires, which was supposedly already in there). In February last year, MSRP was a great price. In the meantime, I've grown to love the black color. Not sure whether the hesitation helped, but you do have a good point.
That's a great negotiation tactic!
You forgot the part when the salesperson gets offended and starts trying to argue and treat you like garbage for trying to do what's best for yourself.
Great info. I hate dealing with car dealers but sometimes they are a necessary evil. I'm the type of person who wont buy something unless "I" want to. No amount of salesmanship can get me to buy something. I have no problem walking away or telling them they are crazy.
Just make sure not to give them your keys and/or license if you want to walk out when you want to.
Thank you so much for this channel, all your resources, and tools. The role play videos were EXCEPTIONALLY helpful. I especially love how you walk us through negotiating with literally going to your site as you pull things out in the role play. I got an amazing deal thanks to you all and your deal school 3.0.
I tried doing this same negotiation at a Ford dealer where I live and they wouldn’t budge. They wanted $48,000 for a Tremor spec Maverick that showed as $36,765 on Ford’s website! Needless to say, I rolled out,,, no deal
This is excellent! It needs to be shared to buyers in Memphis TN especially bc they gouge ppl over the prices of cars (new and used) constantly. Depsite the income of the average earner of memphians is about 30% less than anywhere else in the state right now.
Last Ford I bought I had the deal made. Then I told them I was a recent college graduate and was eligible for a 500 dollar rebate from Ford. This really pissed the dealer off. But there was nothing he could do at that point. Similar to this scenario. They still made money no doubt But it was very comical at the time.
The $500 rebate for that came from Ford, not the dealer, so why would the dealer care. After all, if you did not divulge you had just graduated, the dealer could not have even had an opportunity to pocket it.
Hmmmmm, maybe because the dealer would have found a way to use the factory discount and not a bealer discount. They can't use the factory nut they can offer $500 less on their part.
Or they were pissed because they had to have the finance guy redo all the paperwork. Since you "had the deal made" they may have started pulling all that together and had to start over. Not that I have any sympathy for the finance guys, not all all. But that might be why they were grouchy.
Both of you did a great job fun and informative. Nice to see the tide starting to turn in the costumers favor.
I like how she did the research. Couple issues that would negotiate better and faster. 1. Have them breakout the rebates from dealer discounts. 2. Don’t deal with a middle man since he said he will do what he can. As I learned in business deal with the people who have the power to make the decision because things get lost in transportation. 3. Ask for more than your willing to accept. They will go back and forth, but you will more likely shoot for less than you ask for and get to what your willing to accept.
If you know the actual out the door price of several similar vehicles in your area, just use the comparables of real estate principles. The easiest way I have found is start with asking if a dealership will honor or beat pricing of a competing dealership. If yes, good. Send out the exact make, model, year, packages, color you want to every single dealership within a distance you are willing to drive to make a purchase. Have them compete for your business. When you get a deal you like, go back to your local dealer and say “you said you would honor or beat a competing dealership” if they do the deal great. If they decline, drive to the place that gave you the deal you like and buy it.
I have been doing this “bid” type system since about 2007 it works great. Do the same thing with a direct from the factory order. Many dealers won’t do it, but the ones that do will compete.
Great job ! This gives me so much confidence now , Im ready to use my negotiating skills.
To hell with car dealerships. I now go to a small used car dealer who lets me pick out a vehicle from the car auction and pay him slightly more than what he pays. Will NEVER buy retail again after I saw how much the big guys mark them up.
These are my favorite!!!
Something about seeing what's going on behind the curtain is very empowering!
I would have asked for $5,000 off MSRP from the dealer plus the rebate from Ford.
Thanks Ray for your honesty and information. I appreciate your advice.
I did F & I. She's the type of ball buster that you love to hate, BUT I'll give it to her, she was good. However, the realities of the (still) current market place for many dealers (I'm talking about Honda/Toyota/Lexus) are that supply is still tight and unless you're looking at an older used vehicle, they are NOT going to negotiate much off the MSRP if they have a HOT car or SUV.
ONE good point for any consumer to remember is that when there's a Rebate from the manufacturer to YOU on a specific vehicle, you're entitled to that regardless of what the MSRP or whatever discount the dealers are offering. So, start by taking the rebates (between YOU and manufacturer) right off the starting price. Then, beat up the stealership on the MSRP and try to go into the hold-back because all cars have hold back in them. Typically, start from invoice (available on line) and go from there. Oh, and if there's a BUMP sticker (add on ) and Market Adjustment price, WALK (or run) out of there and don't look back.
Where can we find invoices? Also, what percentage does the dealer get for hold back?
@@Funexpectedgenerally , 3 percent of msrp.
@@jrs9264 Thanks
It has always been a disgusting business. There should be no need to fight a dealer to get a fair price. But that is the world we live in. How does an honest person work in that industry?
I’ve been working at a Honda dealer for 4 months now and it’s been going great. I’m honest and I tell people how it is. Honesty goes a long way. I don’t make as much money as i would make if i was dishonest but it’s still good money
If you are being truly honest..you would be fired!@@MrRandomblackman330
This was really helpful, thank you!
How did she know that car was on the lot for 100 days? Where does one find that information?
Car edge has a tool, find the car you want at that dealership. Mine has been there 111 days
This was very helpful in my experience as a first time buyer! Thank you.
More Laura! Ray and Laura excellent video and both of you were very believable! I enjoyed the back and fourth very much!
Ray an Laura, this was a great video. It motivates me not to lose faith this is actually possible.
However, Ray was way too friendly and acceptance.
In my experience, arrive as a small woman alone to a dealership is like a little sheep in a cave full of wolves. Even if they put you to talk with a baby wolf, HE (always in my experience) will try to eat me alive.
And by eating me alive I mean the seller is going to attempt to put me down, bully me, treat me as second class citizen, stupid and less that a person.
I am so tired of it. I haven't had the opportunity to deal with a saleswoman yet, but I wonder if she would be a momma wolf too?
Not only car salespeople are trained to rip off their customers, their sales style brings out all the sexism, racism, and all the unconscious biases they may carry, and people like me have to put up with it.
I am so grateful to Caredge to offer these videos for free. They are eye opener and have help me to be strong again after my first experience buying a car, in which I fell for all their tricks.
Now, every time, I go to the dealership and listen to their wolf aggressive techniques, I just laugh internally, remember Ray and Zach's teachings and continue negotiating.
I haven't bought the car I want, but I will share my testimony when I get the fair deal I hope to get.
Thank you again.
I made a salesman mad and now he won't respond. He wouldn't answer any questions over email and wanted me to call. I also asked for otd price and he wouldn't on top of raising the price $4,000 from what was advertised on their website. With my research in total they raised the price more the $12k. When I told him that, he would no longer respond 😂
Not the stealership you should’ve been dealing with anyway as you see
Same here. Sometimes they prefer not to sale at all than dealing with someone who has done the homework.
Such a dirty industry indeed!
❤THANK YOU, RAY AND LAURA!🎉
Not only what to say and why, but also How. Yes!
The buyer is in the driver’s seat (so to speak). Don’t pay for unnecessary add ins. Be willing to walk away. Great video!
Interesting and instructive video 🙌🏾🎉
I've learned so much from your videos. Thanks!
Great information! I have driven the same car for 16 years. Negotiating a car price gives me high Anxiety! I have viewed many videos….This is one of the best.
Tell them the only way they can earn your business is by penciling the deal on a printout of the factory invoice. If they're a transparent dealership, they'll have no problem showing the markup, the holdback, and the floor plan assistance (all of which are line items on the invoice).
Great info. Thanks for sharing
Great information🤗
Really like it when you guys do these demonstrations. Very informative.
I really like it that the first responder discount was added on at the end, that was smart.
The one thing the video lacks is the true blowback of the actual dealership when they have to keep going back and ask him for a discount when she won't accept their offers.
Who cares what the blowback is.. if they aren’t willing to get that chair out of their ass and do the buyers numbers correctly then the buyer should immediately walk out.
@XX-7719 I agree, already know about that. Just preparing buyers for their responses.
@@davidprodigy5833 these comments are always for others also who may not have thought about a particular scenario.
Love u guys!
Dealers can sell @ invoice and still make money. There are hidden manufacturer to dealer incentives customers will NEVER know about! i've also had dealers pull out an additional $1000 rebate out of the air that they didn't disclose at first! Scripted of course, but this was a very good video from a customer standpoint!
Very well done. great content
Is MSRP an acceptable price for you guys or are you expecting dealers to go below that.
Invoice? What's considered a good outcome here?
Awesome video! What is the last day of the fiscal yesr for car dealers? Is it December 31 or another date?
excellent video good negotiator
My lease will end soon and I HATE going to the dealership because I’m not good at all negotiating a vehicle. I wish I had that ability to do it 😢
OMG😂 love Laura bring some dancing shoes for Ray 😂
Nice one!!
And the wind blew and the $#it flew....right back at ya LOL Sir, it's fun to watch you play the dealer. We can see the pain on your face when you're saying all this stuff that the dealer throws at us and hearing what she says back to you. I also love that you're putting women in the driver's seat because we are So disenfranchised when we sit in that seat to try and make a deal that works out in our favor. Kudos!
Great video. Would like to see how it works with used cars.
How much can you reasonably expect a used car dealer to reduce the selling price? Looking for a certified pre owned Ford this weekend.
Thanks
Hello great video! I hear on your video you mention to the sales persons that a car has been on their lot for x amount of time.
How would I find out how long a car has been sitting on the dealers lot for negotiating tactics?
Hey guys do you have any website that shows for how many days the used car is piled in the inventory for Canadian market (especially Ontario province), would really like that. Thanks
I usually skip this part but it’s informative!
Went to Nissan dealer. Finally they have inventory. Dealer said they would deal on Rogues. Now need to see what we really need.
Thank you
Great video, some people like to haggle and do the back and forth. I find the whole experience a huge waste of time, give me you best price all in; if its good we got a deal if not I leave. Its so annoying when they keep going back and forth speaking with their manager. I have to say the best experience I had was buying a Tesla, walk in sign and leave with the car. My wife was shocked! LOL
Could you explain more about the total savings and rebate! Like when/where could this be applied?
Also the MSRP what is that? Could you explain that more. I’m in a journey to get a Honda pilot and I been watching video to get ready for battle haha.
Now I'm going to try this when my ordered bronco comes in lol
So would it make sense by inference that if there’s a car that doesn’t stay on the lot for long, then there is a less likelihood of getting a discount on the msrp or if any.
Are only new vehicles eligible for incentives and rebates through manufacturer? I’m assuming pre-owned vehicles are not.
Me, when I got that first payment option sheet: "$1,100 or $800...none of these work for me."
That was essentially a 4 square which I tell the stealership upfront don’t bother bringing that to me or I’ll walk out.
Never negotiate on payments alone. Negotiate on out the door price and get your own financing.
@@stephenparsons6011 good suggestions unless the stealership can beat your finances Apr. as long as there’s no prepayment fees refinance within 30 days and then the stealership doesn’t get that portion of the sales because it’s paid off.
The very first thing I do us give them my phone number and tell them to take a picture. It may very well be the last time they see this buyer. It's not my job to find discounts, it's the dealership. Find them or I'll find someone who can. Give them 10 minutes to find the bottom line OTD price and then move on. Nothing personal, it just cuts out the haggle.
Absolutely 💯
I hate even the thought of a car purchase taking all day. You want to sell the car at that price or not? Nice strategy.
Giving a dealer 10 minutes to get you a “best price” is a for sure way to get walked straight to the door. They’re still people trying to make a living, so if you treat them with respect and courtesy, they’re more likely to give you a deal vs being a douche and putting a time restraint to do their job. It’s like going to a restaurant and saying I need you to cook my food in 10 minutes or I’m leaving. Good luck w that
@@dmunjo you sound like a used car salesman. You either know your margins or you don't. Then they can make a living on someone else. Sorry, not sorry.
@@dmunjo Thank you, I sold Toyota's in Lakeland FL during the mid 90s when all you had to do was look at a customer and they would buy. The respect is a given, I was trying to fit there needs, learn their quirks and sell a vehicle in whatever it took. In the end I had more return customers then any used salesman in 3 years. Man it was a great time and on the side my Dad built Envision Boats and I sold several for him. Thanks for your comment, it was a different time. Too bad it's gone.
@ray, i love the info and education you and your son provide in your videos. My dilemma is, does this same process work if the car im looking for (car specs built online) is not on any of the dealers car lots? Meaning that id have to order the vehicle from manufacturer since none of the dealers have the vehicle with those specs??
You negotiate the price at the time that you order it through your dealer. Ordered vehicles prices are negotiable just like cars that are on the ground. Here is a link to a free guide we did on how to factory order a car. caredge.com/guides/factory-order-a-car. I hope that helps. All the best, Ray
I used tips from this segment and went to my local Toyota dealership to look for good OTD for 2024 Tundra and did not work. Moral of story, I need to bring Laura with me next time to do negotiations for me.
You think females get rinsed or no? I think only if they’re hot they’d get the deal! 😂😂
Possibly because it’s Toyota, they are not nearly as willing to negotiate as other dealers, such as Subaru, Nissan, and our domestic brands. Toyota, Honda, and Kia are high priced and because inventory is so low, they just won’t be as open to lowering the price.
Haven’t heard any one talking about Toyota or Honda “dealing”. The brands are so desirable that dealerships don’t think they have to.
Toyota is like an iPhone these days. Negligible upgrades for a lot of money.
A lot of Toyota dealers are still asking for markups but will come down to MSRP when you tell them how greedy and despicable they are and that you have added their name to the list of Stealerships. Even hybrids. I don’t know about below MSRP, though. There are more and more Toyotas in stock on the lots and fewer buyers. I’m looking for a RAV4 Hybrid. MSRP is the best price I’ve found so far so I will probably wait till the end of the year. Or just order a Tesla Model Y. Get it just the way you order it for the fixed price or find one in inventory for a possible discount. No fuss. No Stealerships. After incentives and rebates, they are about the same price. I may break down eventually and pay MSRP but I will never pay a markup. I also will not pay for dealer add-ons like paint protection, door guards, colored or blackened emblems, or Cilajet.
How does this logic and these negotiation tactics work on popular cars that haven't been on the lot for too long like the Subaru Crosstrek?
Cash or OTD negotiating - if you can get the dealer to stick to that - it clarifies things; but it was crazy here when I went out looking - virtually all the dealers were doing the payment negotiating and they would not want to even let me look at the car even - kind of would say I'm a poor match to doing business there. So a GM dealer owner (owns the Chrysler dealer now I used to buy from, and surprise Hyundai dealer now) - anyway, the Hyundai dealer manager said "the reason you are being shown the curb at all the dealers you go to is because you want to work off the car price and not payment - and 98% of people are payment shoppers now and we make way more margin and customers are very happy with their low payment. You are a price shopper and if we negotiate on pricing it is actually less profitable, more time consuming, and the risk of walk away is higher. If credit approves "a payment level" we can sell you the highest model, highest margin that payment will allow us to structure. The business manager said - you did not negotiate, I suspect that you just convince us you were right.
Ray, most dealerships where I live always say that they are a "no haggle" dealership whenever I try to negotiate the price. How do we go about this situation
How far distance wise do you compare prices to say, "I ve been researching prices"? Ive heard different areas have different price points.
Is it to my advantage to suggest that I plan on purchasing the back end products (gap insurance, extended warranty, etc. ) with the finance officer during negotiations with the sales person. My thought is the sales person would be more open to lowering the front end price of the vehicle knowing that there's more profit to be made in the back end?
Do dealers also have quotas to meet at the end of the month/year for pre-owned vehicles like they do for new?
well I stopped into the Toyota dealer today. Here's the lo down on dealer non inventory on any Rav4. Lower trim levels 6 to 8 months wait. higher trim levels 8 to 10 months wait. Prime Rav4 min. 24 months wait.
Ray, what "fees" can be negotiated? I saw dealer fee..
i thought that was Zack in a wig when i first saw the thumbnail 😂😂
If a buyer fails to get the benefit of a manufacturer rebate, does the dealer get to claim that rebate?
In other words, had the buyer not pushed for and obtained the $1,000 rebate, would the dealer have been able to collect that rebate from the manufacturer and boost its profit on that vehicle by $1,000?
Yes, I am a former finance manager
Ray, I think at the first of the video that she used verbiage that may decrease the chance of her getting a better deal. First, she showed how excited she was on the test drive, allowing the salesman to see it and mention it. She agreed, saying she "100%" enjoyed it and that she is "thrilled". Secondly she has mentioned that she has had her "eye on this car for a long time" and she's "really excited" about the opportunity to buy it. Would this approach be detrimental to getting the absolute lowest price? I would have thought that we would go into the deal with a more neutral approach?
Typically using words like thrilled and really excited about the vehicle signal to the salesperson that the customer will be an easy mark and in most cases that would be true. However some buyers can share that excitement and still work a good deal because they are informed and are prepared to leave if their desired price isn't met. Having said that, I would suggest that not showing your excitement for the vehicle while remaining somewhat ambivalent often times might lead to a better deal more quickly. Either way can be successful. All the best, Ray
I have no poker face and have no problem telling the dealer that I love the car. I feel like that way they will do anything they can to get me to buy it. And I have no problem walking away if I don't get what I want. It's worked several times.
No matter what you end up, by the time is out the door, a last surprise an add-on for pirnter protection.
On an explorer, the dealer should be discounting 10k. Because with in a year on an Explorer you lose 15k for trade. Now, how would I know that. Hmmm.
I have heard it’s also one of the least reliable suvs you can buy. Yet I see police driving them all the time!
@stevedott715 it's pretty reliable. It is just way overpriced at MSRP. There is no value after purchasing. Police have interceptor motor and there is a ST 3.3 twin turbo. Very powerful. Even 2.3 4 Turbo is powerful.
How do you find out how long the car has been sitting on the lot?
Great example of getting OTD price when you are actually at the dealership.
How do you find the days in inventory number?
Im thinking if buying a private seller's truck out of state. Any advice or step by step to do list?
Excellent! Very informative.
How do I find out How long a car has been on the lot?
She’s gotten much better at negotiating.
How do you know how long a car had been on the lot?
Laura is a tough negotiator. Great lesson in negotiation.
What she folded with the 2000
This also applies if your paying cash?.
after watching this videos i went to a dealer to buy a truck msrp was 57k got it for 52k otd o down 2.9apr for me it was a great deal when other dealer were still asking for market adjustments
this is a great video for anyone looking to buy a car.
There's a lot videos on buying a car but after covid the game has changed . We need more videos that are current
Should i be trying to get invoice price. The saleswomen messed up and showed me the msrp and the invoice price on her computer. Or was this a fake screen to get me?
Thanks for the great acting. Can you do one with items you would ask to be removed from the price?
I would have negotiated the doc fee and would want to see a break down of the taxes.
many dealerships in my area advertise themselves heavily as already being at "lowest price", no haggle, no hassle etc. they just come right out and say, "look this is our lowest price". if they budge, it isn't by much at all. I like that a lot if it's actually true. are they telling the truth or is it a tactic?
how to you know how long the car is on the lot
I remember my father buying a 1970 Buick for $4,200 sticker price and out the door price was $3,500. These people are only talking a couple thousand dollars discount on $58,000 ! What's wrong with this picture? I'm surprised people aren't pulling cars out of the junk yard and repairing them!
One thing to keep in mind is that inflation causes general cash efficiency to be halved every 18 years on average, essentially doubling the price of some items. 4200 became 8400 in 88, 16800 in 06, and 33600 in 24. We still had way too much of a jump beyond that, but it gives some more context for the comparison.
My goal is always to get the OTD number to be 2k below MSRP got it in 2019 with my Corolla and I'm about to get it tomorrow.
@@J-Wheeler-GI’m in nj trying to do the same wi th a Lexus is350 let me know how that goes
@@hammad159. I am not going to lie I don't buy Luxury cars so I wouldn't know how the negotiation works there.
I see your point, so the discount amount of $700 would have been $5,600 in 24, far more than it was.@@SenecaRaine
i wonder if it really works that way, they told me take it or leave it. they do not care to sell if you are not willing to pay msrp
always check the kelly blue book before you go