[liontomic]

Received quotes for a 2020 M2C LBB with following options:

Manual transmission
Executive Package

One dealer is asking for 58k and another is asking for 59.6k.

Both cars are in transit to the dealers.

Any tips on negotiating for a lower selling price?

[JCZ5]

Originally Posted by liontomic

Received quotes for a 2020 M2C LBB with following options:

Manual transmission
Executive Package

One dealer is asking for 58k and another is asking for 59.6k.

Both cars are in transit to the dealers.

Any tips on negotiating for a lower selling price?

When negotiating, you should just give them an OTD number. If not, dealers can charge additional fees to make up the difference.

Especially in these economic times, you should aim for at least 10% off MSRP and then add your applicable taxes and dealer fees.

Now if it was me, I would wait a few weeks to see how things are and aim for a slightly greater discount.

[BigKutta]

Originally Posted by JCZ5

When negotiating, you should just give them an OTD number. If not, dealers can charge additional fees to make up the difference.

Especially in these economic times, you should aim for at least 10% off MSRP and then add your applicable taxes and dealer fees.

Now if it was me, I would wait a few weeks to see how things are and aim for a slightly greater discount.

Agreed. Offer 10% off msrp, plus tax and registration (these are already known for each state) plus the dealer fee that all charge. Usually that fee is about $300-500.

See what they come back with. I'm sure many have delayed car purchases due to Corona so they should be motivated.

[///AVM]

Originally Posted by JCZ5

When negotiating, you should just give them an OTD number. If not, dealers can charge additional fees to make up the difference.

Especially in these economic times, you should aim for at least 10% off MSRP and then add your applicable taxes and dealer fees.

Now if it was me, I would wait a few weeks to see how things are and aim for a slightly greater discount.

Agree 100% with JC!

Negotiate OTD price. In other words, tell the dealership you will show up with a check for 'X' dollars and they will provide you the keys.

If you approach it this way, you will notice on the final sale documents the price you actually pay for the car will be retro-fitted to correspond to your OTD agreement. For example, if you agree to $60K OTD, the actual price for the vehicle will vary (e.g., by state), but land somewhere around $57K. . . by the way, more than just a random example with regard to M2C purchase.

Also, hold a few cards back in the negotiation process. Once you get close to closing the deal, throw those cards on the table. For example, in my recent 718 CGTS purchase, Porsche includes the 1st routine maintenance. During my final offer, I indicated I expected them to cover years two and three routine maintenance costs. The routine maintenance comes at a nominal cost to dealer, with huge labor-related inflation to the buyer - at least with Porsche.

In short, there is no way the dealership is going to walk away from closing a deal over something that will ultimately cost them little compared to what it will ultimately cost you as the buyer. I use routine maintenance as only one example, and numerous others exist. As further example, I had the dealer include three years of Premier Tire and Wheel Insurance.

Just some thoughts and recommendation according to personal purchasing experience.

///AVM

[JCZ5]

Originally Posted by ///AVM

Agree 100% with JC!

Negotiate OTD price. In other words, tell the dealership you will show up with a check for 'X' dollars and they will provide you the keys.

If you approach it this way, you will notice on the final sale documents the price you actually pay for the car will be retro-fitted to correspond to your OTD agreement. For example, if you agree to $60K OTD, the actual price for the vehicle will vary (e.g., by state), but land somewhere around $57K. . . by the way, more than just a random example with regard to M2C purchase.

Also, hold a few cards back in the negotiation process. Once you get close to closing the deal, throw those cards on the table. For example, in my recent 718 CGTS purchase, Porsche includes the 1st routine maintenance. During my final offer, I indicated I expected them to cover the cost of year two and three routine maintenance costs. The routine maintenance comes at a nominal cost to dealer, with huge labor-related inflation to the buyer - at least with Porsche.

In short, there is no way the dealership is going to walk away from closing a deal over something that will ultimately cost them little compared to what it ultimately cost you as the buyer. I use routine maintenance as only one example, and numerous others exist. As further example, I had the dealer include three years of Premier Tire and Wheel Insurance.

Just some thoughts and recommendation according to personal purchasing experience.

///AVM

Love the last addition about services and tire and wheel insurance.

But can you elaborate when you throw those extra cards on the table?

For example, let's say in this case I say $60K OTD. If they say the best the dealer can do is $62K. Do you go back and say I can do $61K if you include XYZ?

Curious when is it just appropriate to stick to your guns and say $60K or bust, Mr. Dealer

[///AVM]

JC

I think your question falls under the heading of the 'art of the deal.'

I am not, but believe you are a businessman, and no doubt better at gauging markets and sales than myself. Nonetheless, you have a number in mind, which should be fair and reflective of the market. So, the best I can tell you is that you have to gauge the situation and negotiate accordingly.

Ultimately the 'cards' I suggest you play as final bargaining chips relate to items that come with minimal cost to the dealer, but significant cost to the buyer. Routine maintenance being the best example that comes to mind. Insurance of variable parts such as tires and wheels stands as another. It could be numerous other things, ranging from all weather mats to paint coating.

Hope that helps answer your question. In the end, I suppose you always run the risk of busting the deal, however, I seriously doubt any dealership is going to walk away from a sale over the types of 'cards' I am talking about playing.

///AVM

[BigKutta]

Originally Posted by JCZ5

Love the last addition about services and tire and wheel insurance.

But can you elaborate when you throw those extra cards on the table?

For example, let's say in this case I say $60K OTD. If they say the best the dealer can do is $62K. Do you go back and say I can do $61K if you include XYZ?

Curious when is it just appropriate to stick to your guns and say $60K or bust, Mr. Dealer

There is no step by step way. I say, gauge the market, the supply, etc. Make an offer that is right at the bottom of what the market will bear, and be willing to stick to it, and make an offer to the dealer with the condition that you'll buy now. All these later add ons you can try for if you dont get your price, but if you do take it.

In my case, I saw a M2 pop up with my specs and made 2 dealers an offer at about 10% off + Tax and Tags and Fees (which I knew exactly how much). One said they dont sell M cars at that discount, so I told him thats what I can pay. The other said something similar but said he'd check. Then they came to me and said that for that price I'd have to commit right away. Both got back to me in about the same ballpark of price, and I took one.

[liontomic]

Originally Posted by JCZ5

When negotiating, you should just give them an OTD number. If not, dealers can charge additional fees to make up the difference.

Especially in these economic times, you should aim for at least 10% off MSRP and then add your applicable taxes and dealer fees.

Now if it was me, I would wait a few weeks to see how things are and aim for a slightly greater discount.

Thank you for the tip, I'll get back to the dealers and see how good they can do

[liontomic]

In addition, what are all your thoughts on lot cars? I have another dealer offer me a 69k MSRP M2C that has tons of M performance parts

[liontomic]

Originally Posted by ///AVM

Agree 100% with JC!

Negotiate OTD price. In other words, tell the dealership you will show up with a check for 'X' dollars and they will provide you the keys.

If you approach it this way, you will notice on the final sale documents the price you actually pay for the car will be retro-fitted to correspond to your OTD agreement. For example, if you agree to $60K OTD, the actual price for the vehicle will vary (e.g., by state), but land somewhere around $57K. . . by the way, more than just a random example with regard to M2C purchase.

Also, hold a few cards back in the negotiation process. Once you get close to closing the deal, throw those cards on the table. For example, in my recent 718 CGTS purchase, Porsche includes the 1st routine maintenance. During my final offer, I indicated I expected them to cover the cost of year two and three routine maintenance costs. The routine maintenance comes at a nominal cost to dealer, with huge labor-related inflation to the buyer - at least with Porsche.

In short, there is no way the dealership is going to walk away from closing a deal over something that will ultimately cost them little compared to what it ultimately cost you as the buyer. I use routine maintenance as only one example, and numerous others exist. As further example, I had the dealer include three years of Premier Tire and Wheel Insurance.

Just some thoughts and recommendation according to personal purchasing experience.

///AVM

Dealer just got back to me saying no one is discounting from MSRP and he's giving me 2k off...

I'm in SoCal perhaps that makes a difference? It feels like SoCal dealers are less negotiable compare to other areas

[BigKutta]

Originally Posted by liontomic

Dealer just got back to me saying no one is discounting from MSRP and he's giving me 2k off...

I'm in SoCal perhaps that makes a difference? It feels like SoCal dealers are less negotiable compare to other areas

of course. Demand/supply makes all the difference, and based on others on this board from CA, that sounds about right.

[JCZ5]

Originally Posted by liontomic

In addition, what are all your thoughts on lot cars? I have another dealer offer me a 69k MSRP M2C that has tons of M performance parts

On the lot cars are great as long as you're happy with what's included. Be careful with cars ugh a lot of M performance parts. That is a sure fire way for them to make money.

When dealers say they have never sold a car under msrp, I call bull. I spoke with a dealer that said they have never sold a M2C ever. But a few days later, he was able to discount to $56K ($62K msrp) and said he would pay my flight to come and get it.

Sure SoCal may be more difficult that other regions. So I would definitely look elsewhere and add in shipping costs. Most shipping costs from coast to coast is around $1,700

[liontomic]

Originally Posted by JCZ5

On the lot cars are great as long as you're happy with what's included. Be careful with cars ugh a lot of M performance parts. That is a sure fire way for them to make money.

When dealers say they have never sold a car under msrp, I call bull. I spoke with a dealer that said they have never sold a M2C ever. But a few days later, he was able to discount to $56K ($62K msrp) and said he would pay my flight to come and get it.

Sure SoCal may be more difficult that other regions. So I would definitely look elsewhere and add in shipping costs. Most shipping costs from coast to coast is around $1,700

What's a good way of speaking to dealers nationwide? Do you just look for them online through sites like car gurus?

[JCZ5]

Originally Posted by liontomic

What's a good way of speaking to dealers nationwide? Do you just look for them online through sites like car gurus?

Depends if you want to ask for an on lot car or an order.

But essentially you got it, if you're looking for on lots, I would just find vehicles in your spec and email the internet sales manager. This is key, do not email a CA as they have to go through the manager anyways and are limited in their decision making capabilities.

I would also write in the email you will only deal with this communication until a deal is reached. In the email, straight up, give them a number to hit.

I did this when I was thinking about buying a Porsche. Asked for the best one price they will offer. Emailed 20 dealers and got a variety of numbers. A few were actually higher than I expected.

[///AVM]

Originally Posted by JCZ5

Depends if you want to ask for an on lot car or an order.

But essentially you got it, if you're looking for on lots, I would just find vehicles in your spec and email the internet sales manager. This is key, do not email a CA as they have to go through the manager anyways and are limited in their decision making capabilities.

I would also write in the email you will only deal with this communication until a deal is reached. In the email, straight up, give them a number to hit.

I did this when I was thinking about buying a Porsche. Asked for the best one price they will offer. Emailed 20 dealers and got a variety of numbers. A few were actually higher than I expected.

Yes, JC, in my suggested approach I was in reference to vehicles on the lot; not new chassis builds.

Not that an OTD price could not be negotiated on a new chassis build, but the circumstances are different and I feel you have less negotiating power under such circumstance. More of a percent off MSRP-type scenario.

Also, as you suggest, it is advised to shoot 'low' to start out. I actually once did exactly what you stated and emailed a dealership with my OTD price proposal. . . the dealership emailed me back to affect . . . "Congratulations! You have a deal. When should we anticipate your taking delivery of vehicle?" I thought, damn, I should have offered less!

One final thought on the heels of posted comments pertaining to remote purchase. Shipping costs or, as in your case, a one-way air-flight ticket represent good bargaining chips to close the deal.

///AVM

[TrentMeister]

I got such an insanely bad deal on my car that I feel the need as a man, to buy one more car brand new, and negotiate the absolute piss out of that thing.

Get every last little keychain, air freshener, and free thing I possibly can out of them. I want to walk out of there looking like a bmw factory driver I'm wearing so much merch.

I'll get em next time

[akkando]

Originally Posted by liontomic

Dealer just got back to me saying no one is discounting from MSRP and he's giving me 2k off...

I'm in SoCal perhaps that makes a difference? It feels like SoCal dealers are less negotiable compare to other areas

Yeah wait a week they'll be begging you to take the car.

[xxyion]

Yeah unfortunately California is such a different market. I dont know how it is in SoCal however up here in the SF Bay Area, getting a discount from dealers up here is basically unheard of unless you have some real pull. I managed to get 5% off MSRP for mine (BSM, MT, Executive Package) but that was only because the dealership screwed up when attempting to secure the first vehicle that i was attempting to buy. So they ended up discounting a more expensive car (first car was BSM, MT, and thats it) to match the price of the first car.

The problem is cars up here in NorCal, move quickly. The longest car i think i've seen on the lot was 6 months, and they just sold it. The dealer i got my car from had a Hockenheim silver MT car with a bunch of MPerformance parts selling at 65k.(before taxes and Fees), it sold in 3 months.

I'd recommend doing what other people are suggesting. Wait maybe another 2 weeks or so and then start fishing for the deal. With the whole virus thing happening most people arent buying "luxury" items. I'd also see if theres a way to find out the foot traffic at your local dealerships. Find one that is getting the least amount of walkins. They might be more willing to deal because they might really be hurting for a sale.

[liontomic]

Originally Posted by xxyion

Yeah unfortunately California is such a different market. I dont know how it is in SoCal however up here in the SF Bay Area, getting a discount from dealers up here is basically unheard of unless you have some real pull. I managed to get 5% off MSRP for mine (BSM, MT, Executive Package) but that was only because the dealership screwed up when attempting to secure the first vehicle that i was attempting to buy. So they ended up discounting a more expensive car (first car was BSM, MT, and thats it) to match the price of the first car.

The problem is cars up here in NorCal, move quickly. The longest car i think i've seen on the lot was 6 months, and they just sold it. The dealer i got my car from had a Hockenheim silver MT car with a bunch of MPerformance parts selling at 65k.(before taxes and Fees), it sold in 3 months.

I'd recommend doing what other people are suggesting. Wait maybe another 2 weeks or so and then start fishing for the deal. With the whole virus thing happening most people arent buying "luxury" items. I'd also see if theres a way to find out the foot traffic at your local dealerships. Find one that is getting the least amount of walkins. They might be more willing to deal because they might really be hurting for a sale.

Got another offer for 58k MSRP

I'm trying to push another 1-2k off MSRP but I doubt they'll budge. I'm in San Diego

Buying cars in Cali is a pain

[newcar55]

Originally Posted by liontomic

Dealer just got back to me saying no one is discounting from MSRP and he's giving me 2k off...

I'm in SoCal perhaps that makes a difference? It feels like SoCal dealers are less negotiable compare to other areas

This dealer is wrong. I was negotiating in Socal before ultimately buying closer to where I live. I got some great offers on lot cars and builds. Try rusnak, steve thomas, or one of the other highly rated dealers in the La area. I think Crevier has a ton of M2s on the lot too.

[Tag]

With the market tanking and everything else that's going on I'd say you have all the leverage in the world today or in the coming days/weeks. I wouldn't rush things.

[Poochie]

Originally Posted by Tag

With the market tanking and everything else that's going on I'd say you have all the leverage in the world today or in the coming days/weeks. I wouldn't rush things.

It's certainly a buyer's market, like 2008 all over again.. Wish I needed a new car..