is this a good deal? (canada)

[gkdyeung]

ok.
in canada.
msrp on a fully loaded ex35 is $52300.
here was my offer $49422. just below 3% above invoice price. i figured we'd back and forth it to between 3 and 4%. with all fees, taxes, incentives, that's 54300 OTR.
he countered with $49910. that's 3.7% above invoice. with all fees, taxes and incentive that's 54861 OTR.
he tells me he's only profiting $2170 on the car. and they average $3500 profit.

so he upped the price to cover 'overhead'... the kicker is the car is not even on his lot... i am paying $700 to ship the car over, on top of the above prices.
so what is his overhead on this particular car that he's bringing in from elsewhere.
i know it would be cheaper for me to go to a neighboring province to buy and drive back... but that's a hassle.

in the end i will likely accept his counter offer. he is nice enough to give me a loaner for a week, while he brings in the car.
just thought i would garner opinion from the forum...

cheers

[embe]

I don't think it's such a good deal.

I bought a 2010 in June and I calculated $7000 off msrp. although I did pay cash. And I say calculated because I traded my existing car.

You should get $4500 off right away for paying cash...

I'd try somewhere else, dealerships are trying to get rid off all remaining 2010's so you should be getting one hell of a deal.

Good luck...

[sashki2]

When you pay cash, contra-intuitevly, you'd get worse deal. Dealer is not a mom&pop shop, where they can hide cash and avoid paying taxes on the profit. You get better deal if you finance because they make money on financing too. At least that's how I understand the system.
With slow sales, you should try to go below invoice nowdays. From my experience, you get a better deal if you go with a bigger volume dealer. Also, try Costco or Sams Club or whatever similar thing you have in Canada. Good thing with their car buying program is that you don't have to negotiate & the price is fixed. A lot of times it's an invoice price. I've been able to negotiate additional $500 from costco price (so it became $500 under invoice).

[gkdyeung]

i'd rather pay cash to avoid rates.
it's a done deal anyway.
55000 OTR. 700 of it was shipping unfortunately.
on the plus side my work is paying for 1500 of it.
goodbye VW. hello EX.
yay!

[embe]

many congrats! Enjoy the new car!

[sashki2]

are there openings in your company?

[EXceptional]

Congratulations on your purchase !