Negotiating price w/dealer

[CanineCaravan]

Hi, again You guys have already been so helpful, and I'm so greatful for all the great advice. Going to pick your brains yet again (and I'm sure it's not going to be the last!)

I've narrowed down my trailer choice, located a dealer that carries the unit I want...now all that's left to do is negotiate a price. I read somewhere in my research that dealers often mark up the units by 50% ( registering shock ). That's a whole lotta mark up!

The unit I'm going for has a suggested retail of around $27,000. I've seen them listed as low as $17,000....which leads me to believe that there's still a little wiggle room if that's the price that's listed. What are your thoughts about this...and do you guys have some good bargaining skills that I might be able to learn from you? I'm good at this type of thing when buying/selling horses...but if it don't have four legs, a mane and a tail......

Any input would be appreciated

[Colliemom]

Hi Kimbery,

I'm in the same boat too and would be interested in hearing the replies you get. I've found a 23ft Lexington Class B+ that's kind of caught my fancy down at a dealer about 100 miles from me. On Consignment. Asking price is $35,000. And I have a trailer picked out. List price is $20,000 something and it's marked down to $15,995. Wiggle room there for sure.Also spooted a Class C on other side of state that is listed for $37,000. Wish I could get that one down to about $30,000. Really neat floorplan. Which trailer did you decide on?

[avalen]

I've only had one experience in this dept, and the dealer I went and looked at
this fifthwheel I have now had over a 100% markup, I got my own financing
ahead of time and then bought directly from the owner. Thats another option
for you unless you have specific reasons to buy from a dealer, (perhaps new
and being under warranty. ) Private party sales can save you alot of $$$.

[dpf]

Well I taught Consumer Economics for many years and have found that many of the shopping tips are very helpful. Actually I have found that seasonal shopping and your location are in your favor when it comes to buying rigs. Since I'm in the upper midwest we've gotten our best deals in the fall and winter. Especially if we were buying from a private seller who didn't want to pay to store the unit over the winter months. No matter if you are buying from a dealer or a private seller don't ever let them know that you absolutely love everything about the rig....find something that you're not too sure if you like! Just like buying a car...if they know you love it and have formed some type of attachment..you've lost your bargaining power.
Use statements like "I have plenty of time to look, so I'm not going to rush into anything".."I'm not sure it's exactly what I want"..."The price seems a little high" My DH is not the wheeler dealer that I am (he'd pay asking price without any questions!) ...so I end up doing the negotiating. We have never financed a rig and have an amount we are willing to spend....so my final bomb to the seller is always "I'll write you a check for $xxxxxx right now...either take it or leave it" If they hesitate leave your phone number and tell them if they change their minds to give you a call. With the state of the economy right now you probably have the advantage.

If it's the first time you have every purchased a rig and you're buying a used unit take someone along who knows rv's. Check the blue book and NADA prices before you shop.

[AlmostThere]

I had been pricing small motorhomes for over a year in my area and pickings were (are still), very small. When I found several being sold by private owners I did research online to see if their prices were comparable.
One I looked at was like brand new, very well kept, kept good service records, but the owner put allot of extras on it. Way to many extras for me. Way over priced but the guy knew that small motorhomes were hard to come by and wouldn't budge on the price! The dash looked like a cockpit! I also didn't care for the layout nor the bathroom/shower, so it was an easy pass.
The next one I looked at I took my neighbor with me because he has the same one, only newer and a couple feet longer. He was very impressed with it and the price. I fell in love with it the minute I stepped inside. I didn't even haggle on the price as the same rigs on the internet were at least $5-7000 more. I did find out later that there was a steering issue. 3 different men drove it and said it was fine but I knew better. I took it to a tire place and he agreed there was a problem but couldn't figure out how to fix it. I finally took it to a frontend specialist and found it did have an issue. The fix itself wasn't that costly, but I opted to get some other things added which were! I wrote about this in the maintenance/tech area.
Not sure if this helped you in any way, but there are gals here that can fill you in on their prospective of dealers/dealerships. Have a good idea what you want and the $$ you want to spend and stand firm. Mostly have patience!
In '04, when I was still married. I went looking for a 5th wheel on my own. My 'then husband' was still working 2 wks on 1 wk off in Alaska. I found one I loved only I wanted some extras added, like auto shades over the slides etc. The salesman wouldn't budge on anything. I called a dealer in Tacoma that sold the same rig that had all the extras I wanted and more and he was asking $3000 less. I told the first dealer about the deal and he still wouldn't budge so I took my business elsewhere!

[Liz]

I agree with what others said. Have a price in mind you're willing to pay. Don't let on you really want a particular rv/TT.

I once was shopping for a minivan. I narrowed my search to 3 at 3 different dealers...all very similar in features I was looking for. Then I negotiated for the best deal, not caring which one I ended up with. One salesman with a male chauvinist attitude was easy to eliminate.

When I bought my first RV, a Roadtrek, from a private dealer (old guy)....we negotiated price a little, then I gave him my final offer which he refused. I too, left my number and went home. It was several days and I was sure I had lost the deal (and I REALLY wanted it)...but he finally called back all humble and accepted my price.

Be patient and the right deal will come along.

[Bethers]

Something else to consider - what year model is it? If it's not the new year's - realize that it's going down considerably immediately - even more than you'd expect.

I bought used and from a private party - but didn't pay what they were asking. I even felt they were asking a fair price, but it was more than what I had promised myself I wouldn't go over for the year and mileage. I ended up paying my high price - which was 4K less than their low price. But that was private party. With a dealer, they would have wanted even more - and I probably wouldn't have gotten my deal.

Working with a dealing, remember not to tell them if you aren't going to finance. They often make more on the financing than they do on the sale. So, if you want to pay cash - make the deal first, then tell them it's a cash deal. Figure out what you think is a fair price that you're willing to pay - and offer LESS. They aren't going to come down to your first offer, and maybe not to what you're willing to pay - but you need wiggle room. And don't be upset if they laugh at you. Let them. If they want to sell it, they'll quit laughing and see what kind of deal you can make.

As others have said, have some negatives (more than one) - like something you dislike about the layout and maybe the fabrics used - or how the cabinets are made, or not as good outside storage as you'd like. Find a few to several things that could be deal breakers - but for the right price, maybe you could make them work. MAYBE - remember - if you look too in love, you'll not get anywhere negotiating. Then just see what you can do. Be prepared to make a deal if they come to your price.

Good luck.

[CanineCaravan]

Wow...fantastic advice, ladies; thank you! I've taken notes!

I've settled on the Jayco Jay Feather 23K. It has the exact layout I wanted, but didn't think existed, is WELL within my weight class and in my price range.

There aren't too many Jayco dealers around me, so I may have to order one. I'm definately going to a dealer, as it's a 2010, and there just aren't any used ones anywhere to be found---it's hard enough finding a new one!

There is a dealership near me that I emailed to ask them if they'd order one for me so that I could do business with them. I really like the salesman there, and the company stands behind their product, offers a full day class on any used/new trailer purchased there, ect.... just a nice group of people whom I've heard excellent things about. I'm waiting to hear back from them as to when they could get the trailer in for me. I'll be paying cash, so I'm thinking that will give me better bargaining power as well. Now that I have these tips, I feel much better about negotiating a fair deal that I'm comfortable with. Thanks, guys!

[Bethers]

Just a reminder, if they know in advance you'll be paying cash, you'll get LESS of a discount. They make less money that way. So, I do not suggest letting them know that - not until after the deal is made. I've known dealers who have said the deal they offered wasn't good when someone pulled out cash. They want you to finance. And as soon as you let them know you want to order that one, you've lost some negotiating power. But that's inevitable when you have to order. Good luck on getting just what you want at a fair price.

[dpf]

In reply to Beth's comment getting a better deal if you finance rather than paying cash because they make it up in interest. Check the fine print on the contract and see if there is a penalty if you pay off the entire amount in a month! If you can get a kick a$$ deal by financing and then pay off the principle on the first payment without a hefty penalty... you'll still be ahead. Don't let the dealer know you plan to do it! Just ask questions like...what if I can make a larger payment some month.....

[AlmostThere]

That's what I did when I bought my 07 Honda Pilot.
Something else I thought of. Doesn't it help with your credit ratings to finance instead of paying cash up front? (but make sure you make your payments on time etc.).

[CanineCaravan]

Just a reminder, if they know in advance you'll be paying cash, you'll get LESS of a discount. They make less money that way. So, I do not suggest letting them know that - not until after the deal is made. I've known dealers who have said the deal they offered wasn't good when someone pulled out cash. They want you to finance. And as soon as you let them know you want to order that one, you've lost some negotiating power. But that's inevitable when you have to order. Good luck on getting just what you want at a fair price.

Good point---I'll remember that. Thank you!