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Date Posted: 14:08:03 11/13/13 Wed
Author: Bush>Forte
Author Host/IP: 65.129.215.166
Subject: Re: Hey Oso...........
In reply to: Stiller 's message, "Hey Oso..........." on 12:18:19 11/13/13 Wed

>What's the deal with the new trend here of no haggling
>on new car prices? A few dealerships are promoting it,
>one even said they took away commissions. HTF does
>that work? One I saw even has kiosks to do research
>and they say they will show you their invoice price.

Take away commissions? They pay flat-rate per car, plus bonuses for number of cars sold. It's not exactly gross-based commission but I guarantee you won't buy that vehicle for less than the gross that pays that flat rate. Say the dealer is paying $500 per car. They won't sell a car for less than $2,000 gross profit.

The invoice you can see is never the invoice. It's only the one they show the public. If you look at a new car MSRP you'll see delivery & destination charges. Dealers don't pay that, you do. There's also dealer hold-back. That's basically a rebate the manufacturer pays to the dealer. When I was selling Kia's the lowest hold-back was $700 on a base model Rio. That was in '06. Honda's lowest hold-back was $1,200 in '07. You'll never see that invoice.

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