Dealer refused my offer
07-19-2011, 12:34 PM
#101
Racer
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I can't believe that anybody is telling the OP his offer made sense, because clearly IT DOESN'T. See my post #43 where I also state that not one single forum dealer is offering that much discount, and we all know that the forum dealers are aggressive to the maximum in their pricing.
Have you looked at the 2011 Vette inventory?
The reality is these leftover cars are now 1 year old. The minute you drive them off the lot, they are taking a huge nosedive in value because they are one model year old, period.
The longer the dealer sits on the leftover 11's, the less they will be able to sell them for.
The market is soft, credit is almost impossible to come by, and people are more worried about saving their homes then buying 60K Corvettes.
Its a buyers market.
In another 2 or 3 months, the OP's 12K off offer will look pretty good.
07-19-2011, 01:13 PM
#103
Pro
It may not make sense to some people- but it never hurts to make an aggressive offer when the 2012's are already rolling down the assembly line.
Have you looked at the 2011 Vette inventory?
The reality is these leftover cars are now 1 year old. The minute you drive them off the lot, they are taking a huge nosedive in value because they are one model year old, period.
The longer the dealer sits on the leftover 11's, the less they will be able to sell them for.
The market is soft, credit is almost impossible to come by, and people are more worried about saving their homes then buying 60K Corvettes.
Its a buyers market.
In another 2 or 3 months, the OP's 12K off offer will look pretty good.
Have you looked at the 2011 Vette inventory?
The reality is these leftover cars are now 1 year old. The minute you drive them off the lot, they are taking a huge nosedive in value because they are one model year old, period.
The longer the dealer sits on the leftover 11's, the less they will be able to sell them for.
The market is soft, credit is almost impossible to come by, and people are more worried about saving their homes then buying 60K Corvettes.
Its a buyers market.
In another 2 or 3 months, the OP's 12K off offer will look pretty good.
In truth there really is not that much inventory out there for this time of the year....non reason for a dealer to loose $2000 to sell a car right now
On a $67,000 10,000 or so off is a great deal... In a few months there probably will be more money on the car, but not much of a selection. I would also think as the release date get close on the C7 the remaining C6's will have stupid money on them as it's the only way someone would buy one...
I know in my case I'm looking for a GS at net, and want top dollar for mine... I' may get what I want as I found a dealer with several low dollar GS's. But being a former dealer i also understand no reason for a dealer to panic in July. If not I'll wait till GM puts big money on the 12's and try again.... But most dealers really are not loaded with inventory this year.... From what my friends have told me most have learned there lesson from last year when they where loaded with 2010 leftovers
07-19-2011, 01:27 PM
#104
Team Owner
As a former car dealer I love these.. Let's see, you are mad at this dealership because you offered less than they are willing to sell the car for? WOW that's great... It's THEIR car... You have a choice, go elsewhere or pay them more for THEIR car...
Because you bought a car from them before you expect them to sell you this car at your price? That's ridiculous .... I'm not sure of what that car costs them, but it's the dealerships decision on how much they are willing to take for it...
Chances are most dealers at this time of the year will not LOSE money to sell you something. That business plan generally doesn't end up working well. I bought a 2010 last year, paid invoice less holdback took the 0% financing. Seemed fair, I would have liked to pay less, but that dealer too wouldn't lose money to sell me the car either. Can't say I blame him.. I know that in general unless there was a reason I wouldn't sell cars at a loss during July either.. And it had to be a REALLY good reason... The fact someone bought a car from me before is certainly not one... While Most all dealers want to care of past customers, that doesn't entitle you to buy a vehicle below the dealers cost...
Because you bought a car from them before you expect them to sell you this car at your price? That's ridiculous .... I'm not sure of what that car costs them, but it's the dealerships decision on how much they are willing to take for it...
Chances are most dealers at this time of the year will not LOSE money to sell you something. That business plan generally doesn't end up working well. I bought a 2010 last year, paid invoice less holdback took the 0% financing. Seemed fair, I would have liked to pay less, but that dealer too wouldn't lose money to sell me the car either. Can't say I blame him.. I know that in general unless there was a reason I wouldn't sell cars at a loss during July either.. And it had to be a REALLY good reason... The fact someone bought a car from me before is certainly not one... While Most all dealers want to care of past customers, that doesn't entitle you to buy a vehicle below the dealers cost...
I hope Obama doesn't see this post. Because you would be in SOOO much trouble!! You know that profit is evil, right?
07-19-2011, 01:43 PM
#105
Racer
Thread Starter
Your kidding right?
Have ANY OF YOU actually read OP's original posts. He made an insanely low offer that no dealer will accept. The OP even noted Tim's pricing at Boardwalk and offered LESS. Tim at Boardwalk had just posted ZERO profit prices in which the car was at TRUE ACTUAL cost taking into account holdback, GM incentives, dealer cash, GM bonuses etc...AND YET THE OP was offering "his" dealer even less AND YOU THINK THAT HAS ANY CHANCE OF BEING ACCEPTED.
Have ANY OF YOU actually read OP's original posts. He made an insanely low offer that no dealer will accept. The OP even noted Tim's pricing at Boardwalk and offered LESS. Tim at Boardwalk had just posted ZERO profit prices in which the car was at TRUE ACTUAL cost taking into account holdback, GM incentives, dealer cash, GM bonuses etc...AND YET THE OP was offering "his" dealer even less AND YOU THINK THAT HAS ANY CHANCE OF BEING ACCEPTED.
I had some inside info because I know someone that was the GM area rep in this area. (now retired) he told me that dealers are often given certificates or coupons that help put together a deal where the dealer and buyer are close but just cant quite come together on price. Those certificates can be worth quite a bit.
The dealer had already told me at the end of June that their 2nd. quarter was closing and that they needed to hit their sales goal to get bonus money from GM and would probably take that deal, But at that time there was only 3 days left in the month and I was undecided on color & options at the time.
I have now come up $500 and they said they would take that offer if I financed with them. ( Dealers make money on financing )
Being a cash buyer. I'm not sure I want to finance at their rates.
I think I will just order a 2012 A little later on and get exactly what I'm looking for.
07-19-2011, 01:53 PM
#106
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Wow, Nothing like being hammered! Yes, $12,000 off MSRP was a low offer. I really did not think they would accept it, but it's a starting point. I figured I would atleast get a counter offer, but I didn't.
I had some inside info because I know someone that was the GM area rep in this area. (now retired) he told me that dealers are often given certificates or coupons that help put together a deal where the dealer and buyer are close but just cant quite come together on price. Those certificates can be worth quite a bit.
The dealer had already told me at the end of June that their 2nd. quarter was closing and that they needed to hit their sales goal to get bonus money from GM and would probably take that deal, But at that time there was only 3 days left in the month and I was undecided on color & options at the time.
I have now come up $500 and they said they would take that offer if I financed with them. ( Dealers make money on financing )
Being a cash buyer. I'm not sure I want to finance at their rates.
I think I will just order a 2012 A little later on and get exactly what I'm looking for.
I had some inside info because I know someone that was the GM area rep in this area. (now retired) he told me that dealers are often given certificates or coupons that help put together a deal where the dealer and buyer are close but just cant quite come together on price. Those certificates can be worth quite a bit.
The dealer had already told me at the end of June that their 2nd. quarter was closing and that they needed to hit their sales goal to get bonus money from GM and would probably take that deal, But at that time there was only 3 days left in the month and I was undecided on color & options at the time.
I have now come up $500 and they said they would take that offer if I financed with them. ( Dealers make money on financing )
Being a cash buyer. I'm not sure I want to finance at their rates.
I think I will just order a 2012 A little later on and get exactly what I'm looking for.
07-19-2011, 02:48 PM
#107
Pro
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Holdback is money paid to the dealer on new vehicles, the amount is between 2 and 3% of MSRP (depends on the manufacturer) in the old days it was money paid to offset cost like interest, advertising etc.. Nowadays it is just part of the profit to the dealer.. Most dealers selling domestic brands their average profit on a new vehicle is less than the holdback amount... Years ago if a customer even mentioned it they where told not something we discuss..
Today with all the info available it is a open issue... When a dealer sells a car below invoice they use the term "going into the holdback"
As an example if a car lists for $40,000 and invoice is $37500. the car depending on the manufacturer will have say $1200 in "holdback" bringing the dealers net cost down to $36,300. Invoice is truly $37,500 and if the dealer sells it at invoice is actual profit would be $1200.
Note the salesman in not normally paid any commission on holdback, so when you buy a car at or near invoice the salesman is making the stores minimum commission. (Just a point of information)
Today with all the info available it is a open issue... When a dealer sells a car below invoice they use the term "going into the holdback"
As an example if a car lists for $40,000 and invoice is $37500. the car depending on the manufacturer will have say $1200 in "holdback" bringing the dealers net cost down to $36,300. Invoice is truly $37,500 and if the dealer sells it at invoice is actual profit would be $1200.
Note the salesman in not normally paid any commission on holdback, so when you buy a car at or near invoice the salesman is making the stores minimum commission. (Just a point of information)
07-19-2011, 02:56 PM
#109
Racer
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Wow, Nothing like being hammered! Yes, $12,000 off MSRP was a low offer. I really did not think they would accept it, but it's a starting point. I figured I would atleast get a counter offer, but I didn't.
I had some inside info because I know someone that was the GM area rep in this area. (now retired) he told me that dealers are often given certificates or coupons that help put together a deal where the dealer and buyer are close but just cant quite come together on price. Those certificates can be worth quite a bit.
The dealer had already told me at the end of June that their 2nd. quarter was closing and that they needed to hit their sales goal to get bonus money from GM and would probably take that deal, But at that time there was only 3 days left in the month and I was undecided on color & options at the time.
I have now come up $500 and they said they would take that offer if I financed with them. ( Dealers make money on financing )
Being a cash buyer. I'm not sure I want to finance at their rates.
I think I will just order a 2012 A little later on and get exactly what I'm looking for.
I had some inside info because I know someone that was the GM area rep in this area. (now retired) he told me that dealers are often given certificates or coupons that help put together a deal where the dealer and buyer are close but just cant quite come together on price. Those certificates can be worth quite a bit.
The dealer had already told me at the end of June that their 2nd. quarter was closing and that they needed to hit their sales goal to get bonus money from GM and would probably take that deal, But at that time there was only 3 days left in the month and I was undecided on color & options at the time.
I have now come up $500 and they said they would take that offer if I financed with them. ( Dealers make money on financing )
Being a cash buyer. I'm not sure I want to finance at their rates.
I think I will just order a 2012 A little later on and get exactly what I'm looking for.
Obviously, if the dealer was going to lose 3 or 4 grand on the deal, he isn't going to all of sudden change his mind because you offered 500 bucks more and will finance with him.
The fact is, dealers have many options in which to pull money to make a deal happen.
07-19-2011, 03:01 PM
#110
Pro
Wow, Nothing like being hammered! Yes, $12,000 off MSRP was a low offer. I really did not think they would accept it, but it's a starting point. I figured I would atleast get a counter offer, but I didn't.
I had some inside info because I know someone that was the GM area rep in this area. (now retired) he told me that dealers are often given certificates or coupons that help put together a deal where the dealer and buyer are close but just cant quite come together on price. Those certificates can be worth quite a bit.
The dealer had already told me at the end of June that their 2nd. quarter was closing and that they needed to hit their sales goal to get bonus money from GM and would probably take that deal, But at that time there was only 3 days left in the month and I was undecided on color & options at the time.
I have now come up $500 and they said they would take that offer if I financed with them. ( Dealers make money on financing )
Being a cash buyer. I'm not sure I want to finance at their rates.
I think I will just order a 2012 A little later on and get exactly what I'm looking for.
I had some inside info because I know someone that was the GM area rep in this area. (now retired) he told me that dealers are often given certificates or coupons that help put together a deal where the dealer and buyer are close but just cant quite come together on price. Those certificates can be worth quite a bit.
The dealer had already told me at the end of June that their 2nd. quarter was closing and that they needed to hit their sales goal to get bonus money from GM and would probably take that deal, But at that time there was only 3 days left in the month and I was undecided on color & options at the time.
I have now come up $500 and they said they would take that offer if I financed with them. ( Dealers make money on financing )
Being a cash buyer. I'm not sure I want to finance at their rates.
I think I will just order a 2012 A little later on and get exactly what I'm looking for.
Wow, that's a great deal. I'm kinda surprised about making it contigent on financing as I assume they would be using Ally at the GM special rates anyway. They dont get much at all on the GM rates...
Good deal either way!!! I apologize if you thought in was slamming you in any way, just as a former dealer I just try and give some insight that may assist in someone making a fair deal....
07-19-2011, 03:04 PM
#111
Melting Slicks
So, in other words...the dealer really ISN'T losing a ton of money like has been suggested here.
Obviously, if the dealer was going to lose 3 or 4 grand on the deal, he isn't going to all of sudden change his mind because you offered 500 bucks more and will finance with him.
The fact is, dealers have many options in which to pull money to make a deal happen.
Obviously, if the dealer was going to lose 3 or 4 grand on the deal, he isn't going to all of sudden change his mind because you offered 500 bucks more and will finance with him.
The fact is, dealers have many options in which to pull money to make a deal happen.
and from I have learned elswhere and from personal experience, the full scope of their resources has yet to emerge here in this thread.One thought is that even as a total outside entity, I was able to purchase my 2010 Silverado 2500HD LTZ at supplier pricing. I admit that I didn't/don't fully understand the variables around how that happened, but it did happen.
I never underestimate the dealers' abilities to mask the deal..........
07-19-2011, 03:21 PM
#112
Melting Slicks
Wow, Nothing like being hammered! Yes, $12,000 off MSRP was a low offer. I really did not think they would accept it, but it's a starting point. I figured I would atleast get a counter offer, but I didn't.
I had some inside info because I know someone that was the GM area rep in this area. (now retired) he told me that dealers are often given certificates or coupons that help put together a deal where the dealer and buyer are close but just cant quite come together on price. Those certificates can be worth quite a bit.
The dealer had already told me at the end of June that their 2nd. quarter was closing and that they needed to hit their sales goal to get bonus money from GM and would probably take that deal, But at that time there was only 3 days left in the month and I was undecided on color & options at the time.
I have now come up $500 and they said they would take that offer if I financed with them. ( Dealers make money on financing )
Being a cash buyer. I'm not sure I want to finance at their rates.
I think I will just order a 2012 A little later on and get exactly what I'm looking for.
I had some inside info because I know someone that was the GM area rep in this area. (now retired) he told me that dealers are often given certificates or coupons that help put together a deal where the dealer and buyer are close but just cant quite come together on price. Those certificates can be worth quite a bit.
The dealer had already told me at the end of June that their 2nd. quarter was closing and that they needed to hit their sales goal to get bonus money from GM and would probably take that deal, But at that time there was only 3 days left in the month and I was undecided on color & options at the time.
I have now come up $500 and they said they would take that offer if I financed with them. ( Dealers make money on financing )
Being a cash buyer. I'm not sure I want to finance at their rates.
I think I will just order a 2012 A little later on and get exactly what I'm looking for.
07-19-2011, 03:24 PM
#113
Melting Slicks
and from I have learned elswhere and from personal experience, the full scope of their resources has yet to emerge here in this thread.One thought is that even as a total outside entity, I was able to purchase my 2010 Silverado 2500HD LTZ at supplier pricing. I admit that I didn't/don't fully understand the variables around how that happened, but it did happen.
I never underestimate the dealers' abilities to mask the deal..........
07-19-2011, 08:44 PM
#114
Race Director
Even if they do offer a 6% rate just make sure it can be paid off immediately and then use the cash that you plan on using in the first place. Sometimes cash is not king.
07-19-2011, 10:57 PM
#115
Burning Brakes
Just yesterday i got $10,250 off msrp on a 2011 GS vert plus i got 38 grand trade on my 09 3lt coupe with z51 and nav. with 10,000 miles on the odometer, then i got the 1.9 financing. I was very satisfied with that deal.
