about costco membership to shop at costco dealer

[Todd H.]

I learned from this ng that costco members can obtain a car price quote
and go to costco dealers and get the price that usually $100 above
invoice price.

I'd advise ya to save your money. There's nothing magical about this
stuff. My credit union has a free service whereby you get a price
that is the actualy dealer invoice price plus $50. But even then, you
can do better. For instance, I paid $360 under invoice on my vechicle
and the dealer made $482 on the sale. Note that that's thin enough
margins that I'm amazed the dealer went for it.

The secret is that dealer invoice isn't dealer cost on a vehicle.
There is (at least as of 3 years ago) a "holdback" amount the factory
pays to the dealer on the vehicle that is 3% of invoice. So actual
dealer cost is typically 97% of dealer invoice. Less, if Subaru is
running any factory to dealer incentives.

Its best to start negotiating at actual dealer cost, and work your way
up from there to allow the dealer to make a fair profit. Don't forget
to allow them to make something, ortherwise don't be surprised if they
tell you to have a nice day.

Lots more such info here, and what to watch out for at the dealer:
http://carbuyingtips.com/

One thing that was worth my money was a consumer reports new car
pricing guide.
http://www.consumerreports.org/

It allowed me to download and print dealer invoice on every
option/configuration of a given car on the lot and let me figure
things on the fly on the lot. Edmunds.com can give the same info for
a specific vehicle, but the consumer reports layout with all the
options and packages displayed really makes quick work of it while
you're dealing with various units on a new car lot.

Enjoy your new car buying experience. In no other purchase does the
consumer have such power to know the exact cost a dealer paid on a
commodity item you can buy from several different dealers!

I stumbled upon a very motivated salesman at the end of the month who
lobbied his general manager to sell me a car that made the dealer only
a few hundred dollars... So I paid well below invoice cost. I got to
a price I was comfortable with, and then said "okay, make that price
happen and now throw in the factory car top carrier (your cost on it
is $238 I believe), and I'll cheerfully buy from you today."

The salesman was near the end of hte month and needed a few more units
to get to some nifty vacation for a weekend plateau and he got the
approval on it.

Remember, it's a new car. These are mass produced items. There are
lots of them at different dealers. ANd don't fall prey to the
high profit extra crap like rustproofing, undercoating, the extended
warranty at the dealer (same Subaru warranty can be purchased up to 3
years from your purchase date, and from other dealers that won't bilk
you), or dealer installed options. All are loaded with profit.

Best Regards,

 

[amanda992004]

I learned from this ng that costco members can obtain a car price quote
and go to costco dealers and get the price that usually $100 above
invoice price.

Someone told me yesterday as I mentioned about getting costco
membership and get the price quote and purchase the car in comming
week, that I must have been a costco member for one year.

Since the membership, as I udnerstand, is purchased yearly, wouldn't I
have one year membership and be qualitfied to shop at costco dealers
and use that price quote?

If someone can clearify this, I would really apprecaite it. I am
behind my schedule to purchase the car and time is running out. I was
really counting on getting costo price quote and shop at costco
dealerse especially now that I don't need to trade in my current car.
My sister would buy it from me.

Thanks.

 

[Bart]

The only thing I would add is that the dealer is a "professional"
bargainer -- most people are not...so sometimes a credit union or Costco
buying program is a good deal for non-bargainers.

I did pretty well (though not as well as you!) on my last Subie..but it
was a lot of work!

 

[Chris Werner]

I purchase my last two cars through www.carsdirect.com without any hassel
and both below dealers invoice. And, you know what the price is before
contacted by them.

Chris Werner

 

[amanda992004]

The only thing I would add is that the dealer is a "professional"
bargainer -- most people are not...so sometimes a credit union or Costco
buying program is a good deal for non-bargainers.

Yes, I don't have the energy or time to bargain especially right
now.

 

[amanda992004]

Thanks for all the tips and the links. I'll definitely read those
links and keep in mind of your tips.

 

[amanda992004]

Chris Werner Jun 17, 7:18 pm show options

I purchase my last two cars through www.carsdirect.com without any hassel
and both below dealers invoice.

So I guess I shouldn't even bother to go see dealer's prices. I
haven't set my foot in the dealer's place. If I were to go, I was
goign to go with a quite and just talk to fleet manager.

And, you know what the price is before contacted by them.

Someone from carsdirect contacted me in mid May. I told her to call
back in early June (and she did but I was still busy and ..).

At the time, when I found out about the detail I would have to fill in
the form for the trade-in car I was going to trade in (provided that I
couldn't sell it for good money privately; but my sister is buying my
car and so now I won't need to trade in) I kind of gave up buying from
carsdirect because I wouldn't have time to write in detail of my
current car) but now I might just buy from them. Thanks a lot for
reminding me about carsdirect.

I have a library down the road; I should take a look at CR.

 

[Chris Werner]

Certainly you can get prices from the dealer, if you have the time, energy
and don't mind the hassel. Unless you negotiate with the dealer, which may
take hours, you will never know his best price. The one thing that you
don't want to do, is to use your carsdirect quote as a bargaining tool.

Try craigslist.com to sell your old vehicle. Your advertisement is free and
you can include up to four color pictures.

Chris Werner

 

[Todd H.]

I have a library down the road; I should take a look at CR.

FYI: the library will not have any substitute for the $12 or so one
spends on the Consumer Reports new car pricing service. This is a
service quite seperate from their magazine and book publications.

 

[amanda992004]

FYI: the library will not have any substitute for the $12 or so one
spends on the Consumer Reports new car pricing service. This is a
service quite seperate from their magazine and book publications.

Thanks. I was hinkign to get that $12 quote provding the exact feature
I want. I just go to the CR website, right?

 

[Todd H.]

Thanks. I was hinkign to get that $12 quote provding the exact feature
I want. I just go to the CR website, right?

Yup. Look for new car pricing service. You should get a whole
table of hte various options as well in addition to the exact
configuration you're shopping for. They never seem to have exactly
what you want in stock, and bargaining isn't as sweet if they have to
order it. They wanna move what's taking up space on their lot today.

Best regards,

 

[amanda992004]

Try craigslist.com to sell your old vehicle. Your advertisement is free and

you can include up to four color pictures.

Would it be sufficient to place an ad (for the car) through
craiglist.com and not any auto related advertisement booklets?

 

[amanda992004]

Chris Werner wrote:

The one thing that you
don't want to do, is to use your carsdirect quote as a bargaining tool.

My experience tells me the price I have been getting locally so far is
just around the price of carsdirect.

I might end up purchasing from carsdirect. Thanks for this carsdirect
info you provided from very early on.

Thanks Tood for the currysubary sites for extended warranty info.

Try craigslist.com to sell your old vehicle. Your advertisement is free and
you can include up to four color pictures.

I sold my sister's old Honda via craigslist. Honda is a hot item for
sure.

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