Myth or Madness, How much do prices fall when new models come out?
#1
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Myth or Madness, How much do prices fall when new models come out?
Since I have some time before I purchase my subie, is there a rule of thumb for me to wait to buy an 04 when the 05s come out? What is the savings if any since "dealers would want the 04 off the lot." If the savings are so small, I might as well buy an 05 then?
BTW I am looking into the WRX Wagon... but tempted to look at the STI...
Any thoughts?
Thanks in advance.
Andrew
BTW I am looking into the WRX Wagon... but tempted to look at the STI...
Any thoughts?
Thanks in advance.
Andrew
#2
Well, it seems like car companies are always eager to get rid of stuff on their lots, as comercials always say so when the new shipment of cars arives.
Obviously the deal isn't going to be as great as the dealer say it is (and there is always the possibility of a bait-n-switch), but there should still be a decent deal.
If the body style doesn't change between the 04-05, I don't expect the price drop to be as if it did. Dealers do want to keep their new car inventory looking fresh.
One trick my dad likes to do, although I don't know if it works well or if its just a psychological thing for him, is to buy a car at the end of each fiscal quarter. In theory, a salesman will know its his last day to fill a quota (or show good numbers to their bosses), and as is a little more likely to budge on pricing.
Who knows? And good luck to you man. I'm going to be in the same situtation as you pretty soon *crosses fingers* (although not looking at the STi, until SOA brings the STi wagon here), and I'm kinda thinking about the same questions.
Obviously the deal isn't going to be as great as the dealer say it is (and there is always the possibility of a bait-n-switch), but there should still be a decent deal.
If the body style doesn't change between the 04-05, I don't expect the price drop to be as if it did. Dealers do want to keep their new car inventory looking fresh.
One trick my dad likes to do, although I don't know if it works well or if its just a psychological thing for him, is to buy a car at the end of each fiscal quarter. In theory, a salesman will know its his last day to fill a quota (or show good numbers to their bosses), and as is a little more likely to budge on pricing.
Who knows? And good luck to you man. I'm going to be in the same situtation as you pretty soon *crosses fingers* (although not looking at the STi, until SOA brings the STi wagon here), and I'm kinda thinking about the same questions.
#3
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i sell cars @ kaneohesubaru.com - bottom line-
prices can always be negotiated no matter what time of the year. its just so happens that by the end of the year manufacturers tend to give out more incentives to the dealers to help clear inventory. if you know what you want and know what you want to pay: this is how easy it gets state your price the dealer will either say yes or say no. if its a no(and you know that your asking price is fair) walk out. try another dealership. if they all say no then maybe your prices may not be a fair one(depending on time of year/demand/etc.) every day is "savings" day at a dealership. it just depends if that particular dealer is willing to make less or more profit @ that time.
if a customer tries to give me a price that seems ridiculously low i honestly tell then that we are not a "charitable organization" but a business- getting back on topic the '05's are due soon- we are getting some in april- we are getting a shipment that literally demands us to sell "high volume". if you haven't done so already try kbb.com and check under "new car pricing".
hope that helps a bit
prices can always be negotiated no matter what time of the year. its just so happens that by the end of the year manufacturers tend to give out more incentives to the dealers to help clear inventory. if you know what you want and know what you want to pay: this is how easy it gets state your price the dealer will either say yes or say no. if its a no(and you know that your asking price is fair) walk out. try another dealership. if they all say no then maybe your prices may not be a fair one(depending on time of year/demand/etc.) every day is "savings" day at a dealership. it just depends if that particular dealer is willing to make less or more profit @ that time.
if a customer tries to give me a price that seems ridiculously low i honestly tell then that we are not a "charitable organization" but a business- getting back on topic the '05's are due soon- we are getting some in april- we are getting a shipment that literally demands us to sell "high volume". if you haven't done so already try kbb.com and check under "new car pricing".
hope that helps a bit
#4
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Very well said gdogg, I sell cars also and at our dealership, every day is savings day. We don't give them away, but you will get a good deal as long as the customer is fair enough so that we can make a little profit. I wonder sometimes if these customers filled our shoes for a day if they would understand that we have to make a living also.
Jeff Empey
Jeff Empey
#5
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for the most part value won't drop substantially unless there is a model change...(ie 04 updates vs 03 bugeyes)
it looks bad for dealers to have large stock on a noticably different models on the lot after the release of a newer one...
so if you find a dealer w/ an 03 still on the lot, you're more likely to get them to let you have it for less, than say an 04 when the 05's come out...since they'll look identical & it's easier for them to pepper the lot w/ a few 04's than some oddball 03's.
read your PM drew...the dealer by my house is dumping off Imprezas for a decent amount back right now.
________
VIDEO REVIEWS
it looks bad for dealers to have large stock on a noticably different models on the lot after the release of a newer one...
so if you find a dealer w/ an 03 still on the lot, you're more likely to get them to let you have it for less, than say an 04 when the 05's come out...since they'll look identical & it's easier for them to pepper the lot w/ a few 04's than some oddball 03's.
read your PM drew...the dealer by my house is dumping off Imprezas for a decent amount back right now.
________
VIDEO REVIEWS
Last edited by pozzi; 04-09-2011 at 05:30 AM.
#7
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also keep in mind that depending how good a dealership is doing(numbers wise) that sometimes sways the mood of the General Sales Manager. meaning if they are "behind" schedule then they will be motivated to sell the car at a discounted price
a good question to ask- "how cars u guys got out this month?
then ask the salesperson "what is the average amount of cars you guys sell in a month" if they seem slow it might be worth your while to see how much of a discount you'll get.
a good question to ask- "how cars u guys got out this month?
then ask the salesperson "what is the average amount of cars you guys sell in a month" if they seem slow it might be worth your while to see how much of a discount you'll get.
Last edited by gdogg; 03-30-2004 at 05:44 AM.
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