Thread: Anyone need to know the dealer invoice of a new car?

How does Cosumer Reports' dealer invoice compares to Edmunds dealer iinvoice ?

I'm not sure how it compares. I did check what Edmunds calls the TMV or Total Market Value IIRC for the vehicle we purchased. If I would have followed Edmunds advice on their TMV for that car I would have paid about $1,500 more than I did. So to me that TMV was total crap.

Chris L

So how would a dealer invoice actually help? You could obviously say 'I know you paid X for this car so I want to pay Z' but that's no guarantee especially since EVERY dealer gets the car much lower than you will. So how would you use this info to get a better deal?

It helped me a ton. The MSRP "sticker price" is essentially an arbitrary inflated retail value for a vehicle. Start bargaining DOWN from the sticker price and you're already toast. The MSRP for the vehicle I purchased was $28,433 and I got it for $24,000 which technically was less than the dealer invoice price of around $25,500. Toyota was offering $1,500 cash back at the time.

Glen gave me some great advice that coincided with knowing the dealer invoice. He suggested adding 2% to the dealer invoice, subtracting the cash back and offering that amount.

Knowing the dealer invoice helps because you're focused on agreeing to a price that's at a level above cost enough to allow for a reasonable dealer profit and no more rather than trying to bargain down from a very high retail figure in relation to the dealer's cost.

Chris L

Chris L

The value of knowing the dealer invoice is that you can go in there and say "What is the minimum profit you're willing to take on this car?". AND you will know if the price actually corresponds to that.

I've always bought my cars using the following method (adhered to rigidly):
1) spec out the car exactly like I want it. Go test drive/look before hand with no intention to buy then.
2) work up some alternative configurations I might accept if I don't want to order it or it's not possible.
3) go to every dealer in the area that's convenient
4) Walk in the door and get whoever - usually worth asking for sales manager but don't waste much time on it.
5) Pitch - hand over spec sheet. "Here is the exact car I want. I'll give you 10 minutes to give me your best and final price. I won't haggle, I won't discuss anything, I just want your bottom line price. I will not buy now. I am going to every dealer in the area/region and doing the exact same thing. I will go back and buy the car from the dealer who gave me the best price. I WILL be gone in 10 minutes with or without your written quote. If you don't give me a quote I will not be back"

This is extremely effective. Take your best quote and compare with brokers, internet, etc. and factor in the dealership if that's important to you.

The tremendous value of the dealer invoice with promos, known kick backs, etc. is that you will KNOW if it's a good deal or not and you will have some idea of what you should actually be able to get the vehicle for.

I've been a subscriber to CU for many years and their New Car reports are the dealer invoice price. Edmunds is fiction. The only problem with the CU info is that for buying an import or any car that sells well during normal times is that if you go into a dealer say a Toyota and price a camry and tell them what you'll take the car for armed with your invoice price they will laugh you off the lot. If you going to buy a car they want to move then its very valuable and in these times its probably valuable for just about any car.

I remember pricing a car a few years ago armed with the CU info and they had this little sticker on the car saying added dealer profit. When I told them about my research the whole sales staff started laughing. I guess its the buyers time to laugh now.

Originally Posted by Quick

The value of knowing the dealer invoice is that you can go in there and say "What is the minimum profit you're willing to take on this car?". AND you will know if the price actually corresponds to that.

I've always bought my cars using the following method (adhered to rigidly):
1) spec out the car exactly like I want it. Go test drive/look before hand with no intention to buy then.
2) work up some alternative configurations I might accept if I don't want to order it or it's not possible.
3) go to every dealer in the area that's convenient
4) Walk in the door and get whoever - usually worth asking for sales manager but don't waste much time on it.
5) Pitch - hand over spec sheet. "Here is the exact car I want. I'll give you 10 minutes to give me your best and final price. I won't haggle, I won't discuss anything, I just want your bottom line price. I will not buy now. I am going to every dealer in the area/region and doing the exact same thing. I will go back and buy the car from the dealer who gave me the best price. I WILL be gone in 10 minutes with or without your written quote. If you don't give me a quote I will not be back"

This is extremely effective. Take your best quote and compare with brokers, internet, etc. and factor in the dealership if that's important to you.

The tremendous value of the dealer invoice with promos, known kick backs, etc. is that you will KNOW if it's a good deal or not and you will have some idea of what you should actually be able to get the vehicle for.

This is how I like to do it, which is why I will never again be taking my wife to buy a car. Ever.

I've sold cars for 24 years and I always laugh when people tell me that they have paid a company for a peek at invoice. Google will accomplish the same thing. And whether you know what invoice is or not, that does not determine what a dealer will sell a car for. I've also had customers who paid a service to negotiate for them. They could have sent me an email and received the same deal. I've seen customers pay services anywhere from $50 to $200 for their help, yet they seem mad if the dealer makes that same amount.

RT

I've found the Consumer Reports summary to be very worthwhile. They're up to date with current factory-dealer incentives and they're worth it alone for the comprehensive options and package lists and the formatting. Sure, you could probably find all that eventually on Google but it would take a lot of work and you'd have to know what you're looking for. You sold/sell cars. $14 for a single report? and $12 for additional ones. $40 for 3 months unlimited? You can't beat that. Most people have no idea what the markup is, what is or isn't a good deal, what options are available, what's bundled or not, or what a customary/fair profit is for a dealer.