Automotive

Do manufacturer discounts affect new car haggle price?

  • Last Updated:
  • May 22nd, 2018 1:33 pm
[OP]
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Jul 15, 2003
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Do manufacturer discounts affect new car haggle price?

As an example the Hyundai website shows the current 2017 accent is $16549 with $2500 discount bringing advertised price to $14049.

Does this affect what kind of offers dealers will accept? Let's say hypothetically that the whole invoice price plus a few percent was $15000 and that dealers would usually accept that. Would/Should they still be completely open to that and then subtract $2500 more or will they say $14049 is lowest so no haggling?
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Feb 29, 2008
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Yes. If cars consistently sell for well below.msrp, the used car market pricing will reflect it.
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Jan 23, 2015
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Invoice price - $2500 + freight + taxes= :)
Watch out for the admin fee(s) the dealer adds.
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Jul 5, 2011
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Bianco13 wrote: Invoice price - $2500 + freight + taxes= :)
Watch out for the admin fee(s) the dealer adds.
Sorry but this is incorrect .. all of the advertised cash off incentives you see will be applied after tax.

Sale price + fees + taxes - rebates would be more accurate. Fees being freight, pdi, enviro, admin, etc
2013 Wins - $1320 - Woohoo!
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Jan 23, 2015
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xjesterxx wrote: Sorry but this is incorrect .. all of the advertised cash off incentives you see will be applied after tax.

Sale price + fees + taxes - rebates would be more accurate. Fees being freight, pdi, enviro, admin, etc
Rebates are added prior to fees and taxes. I bought 2 Hyundai vehicles, the rebates were applied as I previously mentioned.
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Dec 1, 2009
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if you click build price it will show detail - price -2500 (promo)+freight/pdi +hst = 17-18k
did you buy ? let me know.price is v good
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Feb 7, 2008
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I'm looking into purchasing a 2018 Kia Sorento, here is what I was thinking:

Vehicle msrp + fees (deliver/other/cokour/etc as per kia.ca website) - $2000 mfg discount promo - $750 autoshow discount promo - 5% off msrp. And then add HST on top.

So for example, with a Sorento Ex turbo:
MSRP + fees: $38,074
Mfr discount: $2000 (assumes financing for up to 60mths,0%)
Autoshow discount: $750
I'd want 5% off the $38k above: $1903.70
Total discount: $4653.70
Price before HST: $33,420.30
After HST: $37,764.94
Finance over 60mths max to get 0 percent rate: $629.42/mth

How does that look? Seems like a good deal, based on my research on Invoice pricing, and using unhaggle's free report on invoice pricing.
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Jan 23, 2015
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l2iceman wrote: I'm looking into purchasing a 2018 Kia Sorento, here is what I was thinking:

Vehicle msrp + fees (deliver/other/cokour/etc as per kia.ca website) - $2000 mfg discount promo - $750 autoshow discount promo - 5% off msrp. And then add HST on top.

So for example, with a Sorento Ex turbo:
MSRP + fees: $38,074
Mfr discount: $2000 (assumes financing for up to 60mths,0%)
Autoshow discount: $750
I'd want 5% off the $38k above: $1903.70
Total discount: $4653.70
Price before HST: $33,420.30
After HST: $37,764.94
Finance over 60mths max to get 0 percent rate: $629.42/mth

How does that look? Seems like a good deal, based on my research on Invoice pricing, and using unhaggle's free report on invoice pricing.
What's the invoice price from unhaggle?
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Feb 7, 2008
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Bianco13 wrote: What's the invoice price from unhaggle?
$33,959, so after the discounts I listed above, we'd be around this price point before HST.
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l2iceman wrote: $33,959, so after the discounts I listed above, we'd be around this price point before HST.


For some reason I'm having problems accessing Kia's website, I would like to go through the numbers myself.

Does the $33,959 include the freight and extra fees?
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Bianco13 wrote: For some reason I'm having problems accessing Kia's website, I would like to go through the numbers myself.

Does the $33,959 include the freight and extra fees?
The $33,959 is the "dealer cost" from unhaggle's free report, so I'm not sure if it includes freight and extra fees, but I don't believe so.
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Ok, in talking with my Hyundai sale's guy in the past. He told me straight out, people come in wanting $XXX amount or X% off with no reasoning behind it. It doesn't work that way and further more makes it harder to negotiate. The dealership needs proof to back up your 5% claim. That's why I keep it simple in my dealings, so everyone can understand want I'm asking for and the reason why I'm asking for it.

With that, work out the numbers.
Invoice price - Mfr discount - Auto Show discount + Freight + Fees + Taxes= On the road.

Depending on the dealership and how well the vehicle is selling, they might tell you to take a hike. But a motivated dealer will work with you.
[OP]
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Thanks for the info. My rfd head just cant quite figure out how much of a discount a used car should be vs new.

New 2017 accent gl automatic. The 2018 arent out yet. Coming in the next month or two i think. list $18099. Right now with price + delivery + levies - $2500 MFR discount = 17331. Dealer "admin" fee (i know this is where you tell them to shove it) $499. After tax $20147. I haven't done an unhaggle or carcostcanada but lets just say there is an extra $1000 discount out of them. Final p[rice $19,017

delaer certified Used 2016 accent gl automatic. Ive found some in my area. Around $12999 with 29000km. 3 years left on 5 year warranty. no accidents. I assume used car price is just $12999 + HST with no other fees? (i really don't know). $14688 final price.

So is 2 yrs old, 29000km worth a $4328 to $5495 discount (depending on how well i managed to haggle the dealer on the new one) ? never bought a used car before and having trouble with the value proposition.
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Feb 7, 2008
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Bianco13 wrote: Ok, in talking with my Hyundai sale's guy in the past. He told me straight out, people come in wanting $XXX amount or X% off with no reasoning behind it. It doesn't work that way and further more makes it harder to negotiate. The dealership needs proof to back up your 5% claim. That's why I keep it simple in my dealings, so everyone can understand want I'm asking for and the reason why I'm asking for it.

With that, work out the numbers.
Invoice price - Mfr discount - Auto Show discount + Freight + Fees + Taxes= On the road.

Depending on the dealership and how well the vehicle is selling, they might tell you to take a hike. But a motivated dealer will work with you.
I didn't mean to thread jack, so I'll continue this in the thread I created. But thanks for this tip. I got the 5 percent after talking to a friend who used to be a cars salesman for another brand. When I get home I'll calculate using your method above and base my offers on that.
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Kevinck wrote: So is 2 yrs old, 29000km worth a $4328 to $5495 discount (depending on how well i managed to haggle the dealer on the new one) ? never bought a used car before and having trouble with the value proposition.
Nothing wrong with used, if the car checks out ok. Wont be much room to negotiate on the price, like a new vehicle. See what other comparable used Accents are selling for if that's the route you want to go.
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Sep 13, 2016
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Hi l2iceman,

I am also looking into buying a new Kia sorento EX V6. Did you already buy and if yes how did the final pricing work out ?
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May 23, 2017
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wondering after buying the car. How is Kia's after sales service, warranty service, service department experience....?

Thank you

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