How much can i expect car dealers to take off the asking price if i plan on paying with cash?

i want to purchase a used van with cash only- no financing. any tips? how much do they mark up a vehicle to begin with? and can i get away with paying less if i am paying with cash?

How much can i expect car dealers to take off the asking price if i plan on paying with cash?
As some have said, paying cash is not an incentive to dealers any more. Back in the day when we had to wait 2-3 weeks to get funds from a bank, Cash talked loudly. But now that we get electronically funded on loans within 48 hours, we don't get all worked up about a cash buyer. I would MUCH rather have a guy with a 750 score finance than a cash buyer.





Dealers make profit on the finance contract. We are allowed to keep part of the interest rate (up to 2% depending on the bank). Also, a cash buyer is less likely to purchase warranty, lojack, and any accessories. Therefore cash buyers will not always get huge discounts. SInce we will be making less on the deal on the back end, there is not much incentive to drop it on the front end.





So, cash is not king any more. A strong credit score is much more exciting.





now I KNOW so PEOPLE want to tell you THEY have figured out ALL the SECRETS to buying cars. Plain and SIMPLE here is your best bet in the 21st century. Use the internet to your advantage.





Go to the manufacturer's site and use the 'build your car' section - you will be prompted to enter a request. WIthin a day, you will be contacted by every internet rep within your marketing area.





Internet salespeople are generally paid on volume, not just profit on the deal. Shopping on the internet allows you to get the very best buying price from several dealers at once. After you have secured your best price, go in, put your money on the table, grab your keys and leave. Be sure to ask the internet reps about dealer fees, such as doc fee, dmv fees etc - ask for Out The Door pricing. Get your best deal and we all win





Cheers and good luck!
Reply:That is a throwback to the corrupt old days, unless you and the dealer are intent on committing tax fraud and doctoring the paperwork and conducting business "under the table" once upon a time this was common place.


Having said that CASH DOES say I CAN buy right now and I can shop every store in the city/state until I get a deal that suits me. No one ever mentions Kelly Blue Book on these questions, but I will, well NADA actually, look up the vehicle you are interested in in the current month and check loan and trade-in. If you ar looking at a full sized van stick with loan value and hit it for miles add for any real value packages you find, if it's a mini-van then its between loan and trade same rules.As always get a mechanic to check it BEFORE you buy it.


Good Luck!!!
Reply:Hi, most dealers want "all the money" retail no matter what. You need to buy from a car wholesaler or a private party to get the best deal for cash. This is how used car dealers work......they buy them wholesale at the auction and retail them off the lot.....most people dont have any idea what to pay for a used car. Do some research on the particular van you want. Check out the year model and miles, deduct for higher miles. I use "Galves" wholesale books.....most popular in the northeastern states; cars are cheapest in NJ; probably because of population density. Here in the midsouth, where i live now dealers use the "black book". Wholesale is considered "loan value" in that book. KBB.com is a little overvalued but a good source for a quick reference. Use "trade in value" to assess actual price value. Find a car wholesaler in your area....he will still make a buck off of ya but it will be much less that a dealer. Good Luck!!
Reply:dealer prefer to sell on credit. They get a cut from the lender.


you can try this. go to a dealer and see if you get something for paying cash.


If nothing comes from that approach. then go to another dealer for the same car and get credit. put in a down payment and then pay off the credit company on the first payment. It will do wonders for your overalll ratings.
Reply:I am in the middle of looking/buying a mini-van.





My best advise is online quotes. Fleet department (internet sales) give a bit more discount than the floor guys (the sales guys on the lots).





Go to Yahoo auto, submit your quotes request. You will get quotes in writing via email. You than tell other dealers your best quotes is $$$$$ can they beat it? If so, you will drop in their dealership, else, you don't want to waste time. Tell them you already test drive and ready to buy at the right price.





I submitted the requestd a couple of time with different contact info, and got another LOWER quote from the same dealership. Now, I use that lowest quote to inform other dealers, thanks but no thanks, my lowest quotes is $$$$$$.





My advise is to use someone else name beside yours (bf or husband). After the internet quotes, go to the dealership, and ask for quote from the floor salesguy. Don't let them know you already talk to someone already via online. Just tell them your lowest offer based on your online quotes lower it by couple of hundreds. See if they will bend a bit that way you know you got the bottom price.





Some dealership will try to match or beat the lowest quotes.





Oh, tell them CASH and no trade in, and you already test drive and ready to buy within a couple of days.





Tell WILL 99% of time, tell you the price is MSRP but I do not look at that, I look at INVOICE price and that's the target. Either below invoice for not so hot car or after with incentive or rebates, and no more than $1000 above invoice for hot car like the hybrid.





Be prepare when you go to the dealership, get your quotes email, and your invoice %26amp; msrp price info. The more prepare you are, the more money you will save.





Good Luck
Reply:I wouldn't expect much of a discount for paying cash. Dealerships get their money if you finance or pay cash, so there's not a huge incentive. The best reason for paying cash is avoiding the interest on a loan. You may get a slightly better price, depending on the dealer, but I wouldn't expect huge savings.
Reply:I know from personal experience, Sweetrom and xx_satan are right. I bought a new car years ago with cash (over $25K), and three different dealerships would not give me a price break. The one I bought it from did give me my choice of floormats. Woohoo!
Reply:Probably acuple hundred because cars are alot expecially when they get messed up or got in a crash.
Reply:This is a great site on what you need to know to buy a car. It goes through markups and everything. It is mostly for new cars, but they have a used car section, as well.





http://www.carbuyingtips.com/
Reply:You need to know the exact mileage, condition, and equipment in the vehicle you want to buy, then check edmunds.com or kbb.com for the wholesale price and try to get as close to that as possible.
Reply:None. Dealers make more money on the deal if you finance it through them. There is absolutely no incentive for them to offer a cash discount.
Reply:depends were you go i guess,


depending were you go to buy your car will depend on how much money they will take off
Reply:I love going to an auto dealer, especially when I have cash. I do not waste my time with those "very young and/or new" salesmen and just tell these guys their not in my league to sell ME a car. If approached when I "pull in" I just tell anyone I will find who I want to deal with either through the receptionist or sales manager. DO the same in your case. Anyone at a car dealer you deal with and you are sitting in an office space, THEY get up, YOU follow them because YOUR "answer person" is NOT the salesman but whom they are going to get advise. HAVE FUN buying, if your deal is NOT going well, GET UP and LEAVE period, they will call back!





VERY FIRST thing, research this van in NADA, Black Book, Blue Book, Edmunds, etc. to determine a "pricing point". CASH, "let the games begin", make it FUN and "screw" with the dealers "mind" a little.





Good Luck, stay positive.
Reply:Yes you can get an extremely better price if paying with cash. When they sit you down and ask how you want to finance, before they give you a price.. Say, no financing, I am paying in full today. Then wait until you get a price you like. to see if they take off even more, tell them you need to go to the bank to get the money and will think about it. You might be back today, or tomorrow. They will drop even more. My first car was a Honda Civic and that is what my dad did and they were like ready to jump on him to keep us from walking out the door to go to the bank. LOL.. It was funny. So fully loaded 25,000 car, got for a little over 16. Trust me it works
Reply:Buyers will drop the price substantially if you're holding the right amount in hand... Money talks.
Reply:always shock them. start at a reallllllly low price and bring it up.

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