I have used the below technique for many years when buying cars/trucks.
Step 1
Find the MSRP of the car/truck new or used for that model, year and options.
Step 2
Multiply that MSRP by 70% this would be the Wholesale price .
Step 3
Multiply this number by 112.5 % and this will add back on 12.5% overhead and profit for the dealer.
Step 4
If your buying a used car/truck take the mileage and multiply this by .35 to .40 cents per mile based on the condition of the car/truck and subtract from the above math.
Step 5
Go into the dealer to test drive your possible
future car and when you get back to the dealership start your offer with the math above.
Step 6
Dont show any emotion towards buying the car/truck.
Simply write your number (from the math above) on a
business card or scratch paper along with your phone number and tell the salesman that if they want to sell the car/truck contact you.
Dont haggle, get in a huff or show any other emotion. Simply state to contact you if they are interested in selling the car for "your" price.
I am telling you this works on all cars and trucks new or used./ been using it for over 20 years.
I just priced a new truck and they are giving quotes right next to the numbers calculated above.
This tells me that you can even do better than the math above right now in this crappy car market.
maybe add back 4% vs 12.5% and start there
Remember:
Take the emotion out of truck and car buying, use the math above and you will always "Always" get the best deals and it will be a rewarding experience to boot.
If your in control (in the showroom) you can make these deals consistantly
The Jock
