Something I learned from my days working in a dealership, profits are a highly guarded secret. The invoice might show a number that would lead you to believe that the dealer is only making 3-4k in profit, but at the end of the month, the dealership turns in numbers to the manufacturer, and there is a kickback payed out. There were some instances that we sold at near cost, just to move merchandise, and at the end of the month, we still made a profit.
Never forget Rule #1 of bargaining, never lay all of your cards out on the table. Car salesmen and dealers live by this rule.
Never trade in! Always sell your old vehicle on your own! Dealers will tell you they need your trade in but they will never give you what it's worth!
You can always get the best deal with an all cash offer... Just like real estate!!!
Also I have to agree with others... Buy 2 or 3 year old vehicle... Let someone else eat most of the depreciation! You still get a good car( usually the "lemons" have been taken care of) for roughly half price!
You got ticked because somebody tried to get the best discount they could? Sounds hypocritical when you are trying to make the most profit you can. Some sales people are slimy so you get ticked off when somebody wants to play hardball. What did you expect?
Salespeople don't give a **** if a person can actually afford the payment. They want to know if they can make the payment not if a family can eat and make their car payment.
Something I learned from my days working in a dealership, profits are a highly guarded secret. The invoice might show a number that would lead you to believe that the dealer is only making 3-4k in profit, but at the end of the month, the dealership turns in numbers to the manufacturer, and there is a kickback payed out. There were some instances that we sold at near cost, just to move merchandise, and at the end of the month, we still made a profit.
Never forget Rule #1 of bargaining, never lay all of your cards out on the table. Car salesmen and dealers live by this rule.
Agreed, Front end can show very little to zero profit when it sells the car for price minus cost.
Back end on the same deal can show a ton of profit, Add ons- IE: Paint protection (SCAM), GAP insurance (Buy it yourself you'll find it for half what the dealer charges), Extended warranty, Undercoat- Have it done yourself for half the price, and selling loans for above what they are approved for IE:, You have good credit and Cap1 says we'll finance @ 5%, dealer will say youre approved for 8% and get a kickback from Cap1.
With all due respect its not the salesman's job to know if the buyer can afford to make the payments.
Never trade in! Always sell your old vehicle on your own! Dealers will tell you they need your trade in but they will never give you what it's worth!
You can always get the best deal with an all cash offer... Just like real estate!!!!
I'm not even sure it is a fact to be honest. I am not even sure how the salesman would actually even know what the buyer can and cannot afford. They just work the deal on paper, its up the finance people and or bank to do the loan stuff.Never said it was just stating a fact.