The dealer invoice price is a term that you will come across many times when shopping for a new car. It is the price that the dealer is billed for the car from the manufacturer. However there is a catch, in the dealer invoice price a holdback is built into it that is usually 2-3% of the invoice price or MSRP. It is built into the invoice price and returned to the dealer after the vehicle is sold, adding an extra cushion for any costs incurred for having the vehicle on the lot, or the storeroom floor. The dealer invoice price is not the actual cost of the vehicle to the dealer. This is because the dealer invoice price does not take into account any factory to dealer incentives or the holdback, which lower the cost to the dealer.
Next time someone asks you what is the dealer invoice price? you can tell them proudly! Go a step further and request free new car price quotes from dealerships in your zip code today! Get dealer invoice prices sent straight to your email, it's that easy!
8 Tips to Getting a Price at Or Close To The Dealer Invoice Price
- Request a free no obligation new car price quote. This will enable you to receive the invoice price of the car that you want to buy, giving you an idea of the price you should aim to pay.
- Know that the Manufacturer's Suggested Retail Price (MSRP) is the amount that the manufacturer recommends that the vehicle be sold for. This is simply a recommendation; the dealer can charge whatever they want for the car, whether it is a price that is higher or lower than the MSRP.
- Research any special discounts that you might qualify for such as family, friends and employee discounts.
- Be mindful of the models that you are interested in and know that you have a better chance of getting a good deal closer to the dealer invoice price on excess models. Pay special attention to previous year models, unpopular colors as well as excess vehicle models.
- Keep your cool, don't get persuaded by a pushy salesmen and never buy on your first trip to the dealership, you want to avoid making an impulse buy.
- Approach several dealerships and request free price quotes online. Use your quotes to make dealerships complete with each other so you get the best price.
- Try to research any factory to dealer incentives, and calculate the holdback. Subtract these from the dealer invoice price to get a better idea of the actual cost of the car to the dealer, this will let you know how much profits the dealer is making, so even if he says he's losing money, you'll know that's not true.
- Make sure the dealer is not increasing any dealership fees' to bump up the price and recover some of their profits.
Get started on shopping for you new car today! Request a free no obligation to buy new car price quote and learn what the dealer invoice price is as well as the tools to calculate the true dealer cost. It's quick, it's easy and best of all it's 100% FREE!