When buying a new car what % over invoice should I expect to pay?

Question

I am looking at a 2007 Honda Pilot

Answer 1

The amount you can expect to pay over invoice is going to be driven by the market conditions on the exact Vehicle you are trying to buy. If everybody wants one then the dealer can demand a higher price. Some high demand vehicles are sold for over sticker price. As far as a "reasonable" profit goes the Pilot you are looking at has to have a invoice around 30,000. If you were going to invest 30,000 in something what kind of a return would you want? 10% 20% 30%? I guarantee you would not be happy at a 2 or 3% return but the dealer invested millions of dollars to buy the franchise and employ all the staff and yet people will tell you to buy a vehicle for less then invoice...just doesn't seem right to me. If you give the dealer a fair profit you are much more likely to have a great ownership experience because the dealership WILL treat you better then the person who comes in and tries to make the dealer loose money. The bottom line is a 2-3% OVER invoice offer on an average car less any manufactures rebates is reasonable and is likely to be accepted. Good Luck!

Answer 2

In general, you should pay invoice or roughly 2% BELOW invoice.

The reason is the dealer receive additional incentives from manufacturers for various reasons, and those amounts to 2-5% of invoice price when added up. So they CAN go below invoice and still make money.

Research what kind of incentives is the dealer getting, then you leave him about 3-5% profit. That's your "reasonable price".

Answer 3

you can buy it at invoice if you know how to negotiate the deal right. go to www.adviceontime.com they have an excellent article that is worth while reading on how to buy a new car at invoice.

Answer 4

Determine the average selling price and expect to pay that.

The people that pay the least, complain the most someone said.