re: Am i getting the run around? Car dealership related. Update in OP****

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They will honor the price but there will be a $3000 documents fee

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This is what I think as well lol

Happened to us at a Toyota dealership in Marrero, LA on Lapalco Blvd. a couple years ago. Saw a car advertised on either one or both of Cars.com and AutoTrader.com

"We're going look for it, meanwhile look at these...we can't seem to find it...we think it was just sold...someone else may be looking at it..."

Put the negative comments and got both sites to look into it. They never did have it.

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Happened to us at a Toyota dealership in Marrero, LA on Lapalco Blvd. a couple years ago. Saw a car advertised on either one or both of Cars.com and AutoTrader.com

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Got the same response as well this past weekend. From the same dealership (99% sure). Seemed genuine about it at the time, but now I think not so much.

I've had something similar happen at the Allstar Hyundai dealership. Their internet price was lower than the actual price and they said that price included "all possible rebates and discounts" which included shite like previous Hyundai owner loyalty discount, college student discount, handicap discount, military discount.

Pissed me off and I told them I was going elsewhere, they said "good luck getting that price anywhere else." and then Ralph Sellers took care of me.

I recently bought a Hyundai and I looked on TrueCar to check out prices in the area. TrueCar WARNING: You will get at least 20 calls a day from car dealerships begging you to come look at the car they have. This lasted for weeks.

I emailed every car dealership in a 50 mile range with the car I wanted and the price I wanted to pay. One guy told me to come in and sent the price of the car I wanted in the email and it was a great deal. I got there and loved the car. I sat down to talk financing and then guy "made an honest mistake" and sent the price of the wrong car. In the email he included the vin number and the price so I'm not sure how this happened. I spent a few hours there and ended up going to the finance manager and he basically said he's sorry they can't sell the car at the price he gave me. I threatened to call the BBB and all and he still didn't budge.

I left and bought a better car at a different dealership for cheaper. This dealership couldn't get it down to the price listed on TrueCar unless I went back on TrueCar and requested that specific car from the dealership. I guess it's like an exclusive deal they have with TrueCar just like expedia has with hotels. They can sell them lower for some reason.

Long story short, ask them what their TrueCar price is to see if it is a better deal.

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Remember at any time you want... Walk. Away.

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I know this is valuable advice when buying a car, but does it apply to buying a home also or does it differ because you are trying to buy something that's 1/1

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She calls me back and said that the car price was not correct but they would honor the price in the ad. I am skeptical when she said the "dealership would take the hit" if I buy it.

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Never true, and I don't think truecar is a very good/accurate site to determine the price you should pay of a new car.

I agree if they want the deal they will give it to you. If not move on until you find the dealer that will give you the deal.

I wanted a truck one time and one dealer could not go any lower. Had the VIN and went to another dealer. They called that dealer and got the vehicle and sold it to me for $1,500 less which was what I felt comfortable paying.

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I have two friends who own large factory dealerships and one who is a GM of a large lot. They all agree on one thing regarding the car business. A dealer never EVER loses money on a deal. It just doesn't happen. So if they say that, call them a liar to their face. They MIGHT sell a vehicle at or just below what they paid the manufacturer BUT they know that the manufacturer gives them a rebate (percentage varies between manufacturers and particular dealers) on every vehicle they sell that year. So at the end of the year the dealership gets a big arse bonus check from the manufacturer.

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Bingo.

Let's take a Ford, for example. Ford's invoice cost (with holdback) is 95% of their MSRP. This is the price that it "costs" the dealership to get the car from the factory. Now, that holdback that is included in the invoice cost is 3% of MSRP (for a Ford) and remember, the dealer gets that back. So, in reality, the most the dealer would pay for a Ford is 92% of MSRP. Now, depending on all kinds of things like the type of vehicle, the volume the dealer moves, etc., etc., the factory may give the dealer certain incentives. These incentives can be dealer specific or model specific and they can further reduce the actual cost to the dealer of the vehicle. You also likely will never know what the factory to dealer incentives in play are, but they're there and can give the dealer more flexibility in meeting your desired price.

For instance, let's say that a Ford, as outfitted, has an MSRP of $30,000. The base cost (invoice plus holdback) for the dealer is 95% of MSRP, or $28,500. Holdback on this vehicle (which the dealer will get back from the factory) is 3% of MSRP, or $900. So far, the car actually costs the dealership $27,600. Let's also say that on the model you're looking at, ther is a $1000 factory to dealer incentive in place, meaning that the car actually costs the dealer $26,600 in this example. Figuring in a 4% profit on that price, if you offer that dealer anything above about $27,500 and be firm on that price, there's a good chance they'll take the offer. Of course, they'd rather you pay MSRP.

Having a decent idea of what that actual cost to the dealer is will be your biggest tool in a car negotiation. It lets you know if the offers you and the dealership are making are reasonable for both parties, i.e.: the dealer is making a reasonable profit on the deal and the customer is paying the least he can for the deal. It doesn't always mean that you're going to get the deal you want because there are all kinds of things that would drive a dealer to reject a given deal today then accept the exact same deal tomorrow, but it will mean that you've got the information you need to make the best deal possible for yourself that isn't just absolutely an impossibility from the dealer's side.

Also know that every manufacturer has different invoicing and holdback structure, but they're all going to be similar. Some mfgrs base it on MSRP, some on invoice price, some at 2%, some at 3%. However, given a little bit of internet savvy, you can figure out the cost structure to the dealer for the car you're interested in and get a good idea of what you should be paying for any given car.

While I agree with your premise, based on experience, I would bet that dealer cost is way less than 5% below MSRP. In fact, I'd bet it's closer to 15% below MSRP (with option cost to dealer at about 75% of listed MSRP). Then a 3-5% holdback would mean they start with an ~20% margin at MSRP.

Buyer incentives come from the manufacturer and have no bearing on dealer cost, IIRC. There are also different incentives for the dealer (volume, last year model, etc...).

They'd never stay in business at 5% with the dealership overhead and no one, with any sense, ever pays MSRP(+).