AUTOMOBILE INVOICE FOR CAR PURCHASES NEGOTIATIONS

2007-04-17 04:46:40

( Financial )



Smart car shoppers use automobile invoice as basis for negotiating purchase price of brand new cars. Asking for the automobile invoice from car dealers is a good step in car price negotiations. Shoppers should realize that car dealers already earn an average of two and half percent discount from car manufacturers on the automobile invoice. Thus, car dealers already earn profit even if they sell the brand new car at automobile invoice price. Car shoppers can use this information to their advantage by starting negotiation at automobile invoice price and not on manufacturer’s suggested retail price. The latter price already includes a mark-up on the automobile invoice.

Car shoppers ensure a good deal when they start car price negotiation at automobile invoice price. Haggle minimum increase on the price to ensure a good deal. Remember that car dealers already profit from discounts given by car manufacturers. Increasing price above automobile invoice provides them higher profit. Thus, your aim is to decrease their profit potential by haggling at a lower amount of increase.

You will not hurt car dealers profit prospects if you haggle for minimal increase on the car’s price based on invoice. Really smart shoppers can haggle to purchase the car at invoice price.

Car dealers who purchase in large volume from car manufacturers get higher amount of industry standard discounts that car manufacturers provide. Dealer might not agree to sell at invoice cars manufactured in limited supply and are highly in demand in the market. Cars manufactured in large quantity and marketed by almost every car dealers in your area are the best ones to negotiate at automobile invoice prices. You won’t get disappointed in getting a good deal for these types of cars when you negotiate at invoice price.

Beware of add on fees car dealers charged on top of the invoice price. Dealers who want to maximize profit will not divulge these add on fees during negotiation stage. Car shoppers might find it too late to act against these add on fees if they are not aware of such practices of car dealers.

Car dealers usually add car accessories neither needed by car shoppers nor overly priced into the contract price. Thus, it is better to be vigilant in purchase negotiations. Stick to automobile invoice price and check for unnecessary price add on.


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