Tips for Buying a Car
From Mail Online on or about July 7, 2023
Is buying a new car through Costco generally a better deal than dealing with the car salesman yourself?
Well I'll throw in my 2 cents. I was only a Finance Director in the car business for years!!!! So here we go:
First like the gentleman before stated Costco pricing is generally fleet sales price. So in that pricing you still are paying for dealer pack, 2% on flooring as well as recon, and dealer hold back.
If you truly want a net net car deal, make sure to ask for the invoice and take there invoice less dealer hold back, less usually 695 in dealer pack which pays for advertising and new car prep, then less 2% for flooring cost if the dealership floors there vehicles which will show on the dealer invoice, and last but not least don't pay dealer doc fees. That ladies and gentlemen is a Net-Net car deal.
If you show up at month end around 7pm and tell your salesman your there to buy a car for Net-Net, he will run off and grab a manager. The manager will come say hello and absolutely sell you the vehicle.
Make sure to get the dealer invoice, and do the math yourself.
Example: invoice is $20,000 - 695 dealer pack/dealer prep= $19,305.
$19,305- 2% dealer flooring ($386.10)=$18,918.90
$18,918.90-dealer holdback ( it's printed on every invoice for even numbers let's say it's $1,100)
$17,818.90 this will be your Net-Net number. It will be your line 9 number on your purchase order. Another words it should be your cash price out the door. Do not let them add dealer doc to this number.
And that is how you buy a $26,000 MSRP vehicle for a great price!!!
Hope it helps.