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New Car Invoice Price:
The Smart Way to
Get Your Price

New Car Invoice Price
Sometimes my friends and relatives ask me to help them get a good deal on a new car or truck. Here is how I do it with my over 22 years of automotive experience.

Price option #1 I get them a preferred buyers purchase price of 2½% over the manufactures new car invoice price on most all new vehicles. Exclusions would include Scion and Saturn with their special pricing policies.

Or I get them…

Price option #2 This is for my friends & relatives who just like to shop and negotiate all around town, and have the time to. I tell them to go out and get their best price. Then I present their best deal to a dealership I have a relationship with. If I can get that dealership to beat the deal I then get them 5 other wonderful guarantees with the car deal. That takes it from being a very good deal to a great car deal.

Whatever pricing way you use
you better understand this next part
or it could cost you thousands…

New car invoice price has got to be one of the most misunderstood phrases in new car sales.

Many new car and truck buyers have been shown the “real manufacture’s invoice” and paid the exact amount the invoice said. But in many cases what they did was pay thousands of dollars over the dealership’s true cost in that new vehicle.

How to know the "real invoice"

Your starting point is what it says on the manufacturer’s invoice. If you are going through a new vehicle dealership’s internet auto sales department you can ask them to show you the invoice on the vehicle you’re looking at. They should show it to you with no problem. If they refuse to show it to you, just buy from another dealership.

Then subtract any dealer holdback. This is the amount of money that the manufacturer pays to the dealership after the vehicle sale is complete. In other words, this is extra dealership profit on the sale. Then subtract any consumer incentives. These are publicly announced rebates or other type incentives that are from the manufacturer. Some dishonest dealerships have been known to have the car buyer unknowingly sign over this money to them. They may just throw it in with all other paperwork you sign and hope you don’t notice it.

There may or may not be any consumer incentives from the manufacturer on the model of vehicle you are buying at the time of your purchase, but it’s a good idea to check.

Then subtract any direct to the dealer incentives. These are not usually publicly announced incentives. This is an incentive that the manufacturer pays to the dealership when they sell a certain model of automobile. You can usually find these incentives in “automotive news” an industry trade journal or with an online search. This is extra profit to the dealership.

As with consumer incentives, there may or may not be any dealer incentives from the manufacturer on the model of vehicle you are buying at the time of your purchase, but it’s a good idea to check.

Knowing this information could save you thousands of dollars on your next new car or truck purchase.

If you live in the greater Phoenix area...

...you may want to check out a local free service I provide for people that want to get these kind of new car invoice price deals. Either option described above works and may save you lot of time and costly mistakes.

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Related Topics

Internet Auto Sales a Breakthrough Every Car Buyer Needs to Know
Now a better way to get an internet auto sales price quote that will save you both money and time and put the fun back into buying a car.

Car Buying Prices
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Phoenix, Arizona 85032

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