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If I offer to pay 100% cash on a new car; how much will they mark it down

LingerLonger

Still spreading the O&A virus
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None. I bought two new 2025 model cars recently with cash. They basically threw in a small upgrade and an extra key fob. You will almost never get a discount for purchasing a new model car even if you are are a long time customer. I was told by the dealer that their only real discounts are on electric vehicles because they haven't been able to move any inventory and the banks and the government will offer zero interest financing and even subsidies to move those models.
 

Kim_Jong_Poon_

Единственная станция, которая действительно раскач
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None. I bought two new 2025 model cars recently with cash. They basically threw in a small upgrade and an extra key fob. You will almost never get a discount for purchasing a new model car even if you are are a long time customer. I was told by the dealer that their only real discounts are on electric vehicles because they haven't been able to move any inventory and the banks and the government will offer zero interest financing and even subsidies to move those models.
I think new cars can be a little different because they just get a flat rate from the manufacturer. If they have used inventory, there's probably more margin to work with. Also, if you buy close to the end of the month, they're always a little more motivated to move inventory
 
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I think new cars can be a little different because they just get a flat rate from the manufacturer. If they have used inventory, there's probably more margin to work with. Also, if you buy close to the end of the month, they're always a little more motivated to move inventory

I was listening to something about the business of selling cars. It said that dealers and car salesman get higher bonuses or something for hitting certain metrics. 20 cars, 40 cars, 60 cars something like that. They said sometimes it is worth it to sell cars at a loss at the end of the month in order to hit these numbers because the bonus from the dealership outweighs the loss. Is that true?
 

Kim_Jong_Poon_

Единственная станция, которая действительно раскач
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I was listening to something about the business of selling cars. It said that dealers and car salesman get higher bonuses or something for hitting certain metrics. 20 cars, 40 cars, 60 cars something like that. They said sometimes it is worth it to sell cars at a loss at the end of the month in order to hit these numbers because the bonus from the dealership outweighs the loss. Is that true?
They obviously don't want to take a loss, but they might under the right circumstances. There is an aspect of their business that's about moving numbers, so it can happen.

Dealers are thieves when it comes to trade-ins, so even when you think you're getting a deal, they're probably still making money. I used Carvana to sell my last 2 vehicles, and I can't recommend it enough. When I tried to trade in my wife's Jetta a while ago they offered me almost $5,000 less than Carvana did
 

LingerLonger

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I think new cars can be a little different because they just get a flat rate from the manufacturer. If they have used inventory, there's probably more margin to work with. Also, if you buy close to the end of the month, they're always a little more motivated to move inventory
Anything 2024 or later you can get a discount because they have a harder time moving those vehicles even when they are new and haven't been driven off of the lot. But new cars are often sold at sticker price or even higher. Something like a new sports car is just pure overcharge with them often adding on thousands of dollars in dealer markup because they know that the rubes will pay.
I was listening to something about the business of selling cars. It said that dealers and car salesman get higher bonuses or something for hitting certain metrics. 20 cars, 40 cars, 60 cars something like that. They said sometimes it is worth it to sell cars at a loss at the end of the month in order to hit these numbers because the bonus from the dealership outweighs the loss. Is that true?
Dealerships are making less and less per sale now on cars. This is why they try to sell you on every possible service or upgrade because their commissions run much higher. They want you to upgrade the sound system package or sports ride or whatever because the bonuses on those are actually more than just selling the car in the first place. They can literally sell you a brand new 2025 model car and make less than $1,000 for the dealership on that sale. Imagine selling a $50,000 truck and getting a $500 commission on it that also has to be split with the dealership.
They obviously don't want to take a loss, but they might under the right circumstances. There is an aspect of their business that's about moving numbers, so it can happen.
They take a loss on every electric vehicle but the banks and government either subsidize it or allow for major tax write offs. But I doubt that they are taking losses on the chinese and mexican made pieces of shit that they pass for 'American' cars nowadays.
Dealers are thieves when it comes to trade-ins, so even when you think you're getting a deal, they're probably still making money.
I traded in a car once and they gave me the license plate transfer fee for free and that was it. On an SUV with 130K miles but was otherwise fine.
 

The Prophet Mohammed

Search “Boq Precision” on YouTube to learn more
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Do it at the end of the quarter or their fiscal and maybe, for the easy sale

I think they wouldn’t discount it at all normally. They want to finance. My mom recently bought a car and wanted to pay cash. They bent over backwards with discounts and free shit to get her to finance part of it.
 

aRTie02150

STEP OFF!
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Exactly-- my understanding is the price may go up slightly if you pay cash. Since they can't make money off financing.
Correct. The dealership would rather lose a sale than give away car. I've did it well over a dozen times.

Choose to finance and pay it off after the first payment. That's how you get the best deal if you have cash. There's never a prepayment penalty.
 
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