The Invoice Price on New Cars - Is the Invoice Price the Dealer’s Cost?

invoice prices car

You may have seen the Invoice Price listed on a new car label. So what is invoice price? Is it the Price the dealer paid for the vehicle?

You may have heard of dealers offering a car for just one dollar above invoice, and in some cases even below invoice price. While the dealer may be a nice guy (yes most of them are nice) they are not running a charity. So what is the true dealer’s cost?

The dealer’s actually cost is the invoice cost minus holdback and any factory to dealer incentives. Let’s say you buy a printer from a computer company, and that company charges $100 for that printer. Let’s say the dealer has a corolla on his lot that has invoice price of 14,500. It has factory to dealer incentive of $900 and dealer holdback of $450. If that dealer was to sell that car to you at invoice price then he or she is still making a profit of 1,350. In most cases, the dealer is happy to make this amount of profit, and in some cases the dealer is satisfied to take even less.

Remember, the car buyer that gets the best deal is the one that is best informed. So if you do your research, and you are able to obtain the dealer’s cost you will have much more bargaining power in the negations for a new car.

Warning - You Must Know the Invoice Price Before You Buy That Brand New Car, SUV, Truck Or Minivan

Are you in the market for a new car? How would you like to defeat Bob “the shrewd car dealer” and get behind the wheel of a brand new car, SUV, truck or minivan that you deserve? If you know the actual car’s invoice price, you will win… BIG! Knowing the actual car’s invoice price is a great price negotiation tool. However, if you are not prepared before you enter a car dealership, Bob “the shrewd car dealer” will take advantage of you. BIG!!

Sadly, many car buyers don’t know the true price a car dealer actually paid a car manufacturer for any car. A savvy buyer knows that the “actual invoice price” is the bargaining tool on which ALL car sales must be negotiated. Yes, successful car buyers win almost every time based on price negotiations alone.

Unlike unsuccessful car buyers who have overpaid on their car purchases, smart buyers know that the invoice prices posted online on auto-related Web sites are totally bogus. In fact the information posted on these sites are utterly worthless. If you based your buying decision solely on the supposed “invoice prices” posted online, you will lose big… Smart car buyers almost always find the exact price the car dealer actually paid the car manufacturer for the car. In fact, these buyers special breed of car buyers almost always win price negotiations, resulting in their buying cars up to 35%-plus “below the invoice price.”

The recurring question over which a buyer ponders is…How can I find out the invoice price the dealer paid the manufacturer for any car?

A savvy car buyers realize that knowing the invoice price is essential in the car-buying process, which is divided into three phrases: the invoice price phrase, the trade-in phrase (if a trade-in applies in your case) and the financing phase. Shady salespeople like Bob “the shrewd car dealer” will win the price negotiation phase every time, at which point you will lose… BIG!!

Source : Blog Directory & The Invoice Price