Automotive

Why do dealers insist to negotiate after tax prices and not pre??

  • Last Updated:
  • Aug 20th, 2019 10:06 pm
[OP]
Jr. Member
Apr 26, 2019
129 posts
95 upvotes

Why do dealers insist to negotiate after tax prices and not pre??

These pricks turn into calculator magicians and always come up with some absurd numbers, and refuse to negotiate unless i put in an offer right now? What the * does that mean?? I guess since most people just pay msrp they don't need to deal
28 replies
Deal Expert
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Jul 30, 2007
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If you have done your homework before heading into the dealership, then you can simply tell them your offering figure OTR and let them work their numbers backward. If they are not interested in yours, then just go to another dealer ... unless that is the only dealer in your region, then you are likely have to fight it out with them.
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Nov 28, 2007
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booblehead wrote:
Aug 15th, 2019 1:53 pm
If you have done your homework before heading into the dealership, then you can simply tell them your offering figure OTR and let them work their numbers backward. If they are not interested in yours, then just go to another dealer ... unless that is the only dealer in your region, then you are likely have to fight it out with them.
+1
Just take charge of the pricing by making an offer and letting them decide what to do.
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Jul 8, 2010
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Idea is the following : if you agree with after-tax price, they can go back and add some shady items that you may not be able to remove. For example, maybe some unknown/hidden manufacturer rebate that must be applied can be offset with dealer package/items that are way overpriced. Because you already agreed with the final price, they will not remove those...
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Isostar wrote:
Aug 15th, 2019 3:12 pm
Idea is the following : if you agree with after-tax price, they can go back and add some shady items that you may not be able to remove. For example, maybe some unknown/hidden manufacturer rebate that must be applied can be offset with dealer package/items that are way overpriced. Because you already agreed with the final price, they will not remove those...
If you are not unsure and can not do your homework at home, go to 2nd dealer of choice(or 1st) and ask lot of questions about factory rebates, dealer discounts, current month's promotion. Make sure to double check all the numbers from unhaggle.

Now you have everything to negotiate from your dealership of choice.
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Dec 21, 2013
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Hindustunna wrote:
Aug 15th, 2019 1:50 pm
These pricks turn into calculator magicians and always come up with some absurd numbers, and refuse to negotiate unless i put in an offer right now? What the fuk does that mean?? I guess since most people just pay msrp they don't need to deal
I had a strange experience last night; I went in to a dealership with the intention of possibly buying a car.
The salesman kept asking me for what price I would pay for the car. So I told him, and then he keeps coming back and saying "no, we can't do that" but wouldn't give me a price they were willing to do.
Then has the nerve to ask me for a $500 "refundable" deposit if they were to start offering discounts... under the understanding that I would buy the car right there and then.

So strange. So strange.

I am really pulling for Tesla and their sales model to work.
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Jan 9, 2011
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Hindustunna wrote:
Aug 15th, 2019 1:50 pm
These pricks turn into calculator magicians and always come up with some absurd numbers, and refuse to negotiate unless i put in an offer right now? What the fuk does that mean?? I guess since most people just pay msrp they don't need to deal
I play the calculator trick on them.I don't do this right away, I wait until I've already haggled them down to their "final offer". Then I pull out a calculator and pretend to do some calculations, arrive a a number, show it to them, and tell them that this is how much over my budget their asking price is. Works wonders at getting them to go below their "final offer". Ended up paying $9,990 on a car that was priced at $13,990.
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[OP]
Jr. Member
Apr 26, 2019
129 posts
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Marzipan wrote:
Aug 15th, 2019 2:11 pm
+1
Just take charge of the pricing by making an offer and letting them decide what to do.
I did, they act like the price is crazy or impossible, according to my own calculator magic i leave them approx 1500 for themselves. Today, the guy quoted me 60k tax for a lexus nx, wouldnt negotiate further.. thought my offer for 46 before tax was nuts .. anyways i ended up finding one for 46.. only one dealer agreed to it out of like 10

I was just thinking to myself, i'm sure most people do not want to go through the headache of negotiating, and guys like this must screw people over for 7-8k easy

lol.. guy even had a kill sheet with all these suckers giving him 5 stars
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Feb 4, 2015
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Isostar wrote:
Aug 15th, 2019 3:12 pm
Idea is the following : if you agree with after-tax price, they can go back and add some shady items that you may not be able to remove. For example, maybe some unknown/hidden manufacturer rebate that must be applied can be offset with dealer package/items that are way overpriced. Because you already agreed with the final price, they will not remove those...
Not sure I follow.

If did research and know what willing to pay for a particular trim then dealership can itemize as want... as long as bottom price is what you agreed to. Tax is not negotiable.

Perhaps I dd not understand post??

Note: Some/all insurance companies pay insurance payout based on price for vehicle less admin or similar fees so make sure not extreme admin fee offset by discount on msrp.
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Feb 29, 2008
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Pull out your phone and use the calculator. You can work back from the post tax price.
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Aug 22, 2011
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Hindustunna wrote:
Aug 15th, 2019 4:37 pm
I did, they act like the price is crazy or impossible, according to my own calculator magic i leave them approx 1500 for themselves. Today, the guy quoted me 60k tax for a lexus nx, wouldnt negotiate further.. thought my offer for 46 before tax was nuts .. anyways i ended up finding one for 46.. only one dealer agreed to it out of like 10

I was just thinking to myself, i'm sure most people do not want to go through the headache of negotiating, and guys like this must screw people over for 7-8k easy

lol.. guy even had a kill sheet with all these suckers giving him 5 stars
Pics, or it didn't happen.
[OP]
Jr. Member
Apr 26, 2019
129 posts
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vkizzle wrote:
Aug 16th, 2019 6:25 pm
Pics, or it didn't happen.
? thats just 1000 over invoice, another guy offered 42 for a 2019 fsport
Deal Expert
Aug 22, 2011
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Hindustunna wrote:
Aug 16th, 2019 7:01 pm
? thats just 1000 over invoice, another guy offered 42 for a 2019 fsport
Cash?
Deal Expert
Aug 22, 2011
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Hindustunna wrote:
Aug 16th, 2019 7:23 pm
ya
Ah, that was the missing detail.
Lexus factory cash promo plus delivery credit.

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