Automotive

Negotiated and purchased my first car!

  • Last Updated:
  • Oct 18th, 2017 10:29 am
[OP]
Newbie
Oct 10, 2017
13 posts
5 upvotes

First time purchasing a brand new car from a dealshiper, advice!

Hi guys,

A friend told me I could get some advice from RFD.

I am buying my first car from a dealership and I was wondering if I could get an opinion on the discount they are offering me. I am looking to purchase a 2017 Honda Civic Sedan EX.

Original pricing (no discount except for Honda rebate): 5 years, 0.99%, 0 down, bi-weekly payments $225.70

I was able to get: all the same terms and the bi-weekly payment down to $216.79.

Is that a deal I should definitely take advantage of, or if that's a below average deal.

I appreciate any feedback, thank you.
72 replies
Jr. Member
Aug 18, 2017
109 posts
61 upvotes
What your local tax rate?

0 down?


If it's 13 percent and 0 down I'd say it's fair. Purchase price should be approx $27500 incl hst? Buying a car based on payment is usually a bad idea but may of run Into a fair dealer. It's about $1000 of dealer profit including dealer fees. If you liked your salesperson then I'd say go for it.
Deal Fanatic
Sep 6, 2007
5490 posts
1215 upvotes
Ehdem2018 wrote:
Oct 11th, 2017 9:52 pm
Hi guys,

A friend told me I could get some advice from RFD.

I am buying my first car from a dealership and I was wondering if I could get an opinion on the discount they are offering me. I am looking to purchase a 2017 Honda Civic Sedan EX.

Original pricing (no discount except for Honda rebate): 5 years, 0.99%, 0 down, bi-weekly payments $225.70

I was able to get: all the same terms and the bi-weekly payment down to $216.79.

Is that a deal I should definitely take advantage of, or if that's a below average deal.

I appreciate any feedback, thank you.
What's your OTR price? (total price after taxes, fees etc.)
Deal Addict
User avatar
Jan 31, 2006
3324 posts
219 upvotes
Toronto
you should always look at the OTR price not monthly payments.
My Heatware no posting contact info in your sig
Deal Addict
User avatar
Aug 10, 2002
1455 posts
86 upvotes
It's not a great deal.

1. Visit unhaggle.com for the invoice price.

2. Calculate 1% of the invoice price.

3. Calculate the difference between invoice price + 1% and MSRP.

4. Go to Honda's website, build a vehicle, select your trim and load the payment calculator.

5. Select your term, payment frequency, etc. Enter the value calculated in 3 as your downpayment. Record biweekly payment.

6. Tell dealer you will commit to buy at the payment amount calculated in 5. Walk if they say no.

PM me if you need a sales contact.

Note: There are minor fees that Honda's payment calculator doesn't include. If the payment is within a few bucks of what you calculated, that's kosher.
Deal Fanatic
Sep 6, 2007
5490 posts
1215 upvotes
marktang wrote:
Oct 12th, 2017 11:54 am
you should always look at the OTR price not monthly payments.
This. If you ask for best installment price, that's a great opportunity for them to add to the final bill to get you a "good" installment payment.
Jr. Member
Aug 18, 2017
109 posts
61 upvotes
1% over cost with no admin fees would be nice but unless you're in a competitive market with multiple dealers and factoring in he's a first time buyer that may be a little hard to achieve. If you gave him a real sales contract to PM that would definitely make it easier
Deal Addict
User avatar
Apr 12, 2007
2300 posts
146 upvotes
Mazda of Toronto
By what you posted the car is around $29K including tax and interest... And you got a payment that is $ 8.91 less biweely, saving you $1158.30 over the term...

I would say that is probably a bad deal.. I would have expected at least $1500 off plus tax and interest..
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Jeff@Jeff-TheBiz.com
[OP]
Newbie
Oct 10, 2017
13 posts
5 upvotes
Hey everyone,

I finished negotiating and purchasing my first car. Took a total of 3 days, visits to different dealerships, and 4 hours today. I picked up a 2017 Honda Civic EX.

I would have continued to push for more and waited a few more days, but I needed a car, and the 2017's were flying off the lots. Two dealers didn't even have any to show me and let me leave to check other dealerships.

1st dealership, none in stock, beside used demo's with a bunch of extras.
2nd dealership, none in stock, said they would bring on in If I was serious about buying.
3rd dealership (had a few left), I test drove the car, got basic pricing, and left.
4th dealership (only had 1 2017 left), which was a far drive and out from the city, test drove, got pricing, left. Went straight to the Toyota dealer next door, got basic pricing, went back to the 4th dealer (said its: a huge difference in pricing, makes it really hard to compare, etc) and asked what we could do for pricing. Originally the bi-weekly payments for the terms above were $192, they dropped it to $184. I left.

Called dealership 1, 2, 3, only dealership 3 said they will help me out further. They offered me $180. While I was at the dealership, I called dealership 4 and said I'm at another dealership, I got a better price, if you can beat it, I'll come right now and sign the papers, the salesperson talked to their manager and said they couldn't, I said that's unfortunate, but thanks for the help and I hung up.

And final bi-weekly payment is $183.

I don't think I could have gotten much more of a discount. The time pressure, stock being really low, so many people coming in for the 2017s, and dealerships not beating the price/letting me walk, I think I did half decent. I didn't like the salesperson at the 4th dealership, or the dealership in general, plus the sales manager was so cold. The salesperson at the 3rd dealership was 1000x more helpful and friendly, including the sales manager. So not only did I get a better deal, but I was dealing with better people and dealership.

I learnt a lot, and will remember what I've learnt for the next car purchase. Reading through RFD posts definitely helped a lot. Thanks to everyone in the community!

Side note: I knew once they started talking warranty/rust proofing, they would get a little pushy and try to scare me into purchasing it. The tactics they use honestly make you feel so worried, but I stood ground and said I'll take my chances.
Deal Fanatic
Jan 15, 2006
8082 posts
2234 upvotes
Richmond Hill
So how much did they actually discount off the car? If you have been RFD for awhile you would know that negotiating based on payments is about the worse way you can go about it.
Sr. Member
Aug 3, 2008
960 posts
648 upvotes
Ottawa
I don't get it. You write they offered you 180, but final payment is 183?
Newbie
Jun 21, 2008
24 posts
congratz for purchasing your first car!
but may i ask 183 bi-weekly for how many months?
[OP]
Newbie
Oct 10, 2017
13 posts
5 upvotes
kiniko wrote:
Oct 12th, 2017 11:17 pm
congratz for purchasing your first car!
but may i ask 183 bi-weekly for how many months?
72 months
[OP]
Newbie
Oct 10, 2017
13 posts
5 upvotes
seafish wrote:
Oct 12th, 2017 11:15 pm
I don't get it. You write they offered you 180, but final payment is 183?
The 180 was to compare it to the original offer, it went to 183 because I added tire and rim protection, which was $395
[OP]
Newbie
Oct 10, 2017
13 posts
5 upvotes
EP32k2 wrote:
Oct 12th, 2017 11:07 pm
So how much did they actually discount off the car? If you have been RFD for awhile you would know that negotiating based on payments is about the worse way you can go about it.
Yeah, I messed up on that a little. But when I asked the other dealer if they could beat it the original discount, I made sure it was with all the same terms (5yr, 0 down, biweekly)

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