Hyrepower

The sticker price on the car I was interested in buying locally was $57,6xx. The dealer sales people and manager very demeaning and arrogant, always a pleasure to deal with a car dealer who thinks he is more than what he is, Ill leave it at that.

In any event they offered to sell me the car at $54,900, which they claimed to be "their Invoice" price. Now I know a you can not sell a $58,000 item and have the over head they do, and only be able ot make $3000 on it, NO WAY. So I brought this up to them and told them save the BS for someone who was willing to listen to it. I informed them I am a serious cash buyer and what it would take to make the deal. My offer was to give them $52,500 for the car plus tax, title and license fees, THATS it.

When I told them I was interested in only getting a $2600 discount and I did not care what their phony invoice said. The sales manager said " I choose to end this relationship now" and he went ot shake my hand. I simply looked at him in shock and laughed at him. Like I am going to shake that low lifes hand.

I am rather perplexed how they can treat a customer in such a fashion even if they weren't willing to make a deal based on my offer. Hell we are only talking about a $2400 discrepancy.

I have owned 2 lexus in the past and tried to buy them both locally before the local dealer here in Las Vegas chased me down to Southern California to get the deal I was seeking. I guess they just must sell them easier in Las Vegas than in SoCal and they don't care about loosing customers. Strange to me.

Please provide your constructive input. What did you all pay for your GS f sports?

BarrettF77

I had a similar experience with Mercedes. It's as though I should be humbled to be in their dealership.

Short story of it was I ended up going to a different brand all together and now I own my first lexus. I'd recommend calling their customer service number and see if you can speak with the regional. For all they know this might cause you to change brands.

I'm currently awaiting my GS I have in order status and hope they can get me a good deal on it. Good luck!

Joeb427

iTrader: (1)

Cash buying doesn't have the power like in the past.
The dealer would rather you finance.They get paid from Toyota financial and even more from outside banks.
The way they're treating you,I wouldn't buy from that dealer.Take a ride to CA and buy one there.Some here have gotten great deals with CA dealers.Try Longo Lexus.

mrpartsman

yep, and the bs they gave u how much there invoice is, ya right, like u would survive on 3k , some of these dealer salesman think ppl have no clue abt cars and buying, just like MR.joeb siad , come down to CA. u would definitely score on a car here.good luck.

onexcite

A trip to Southern CA worth few thousands saving and help break in the new motor. I would also recommend the Longo Lexus for their best deal (high volume dealer) or Lexus of Westminster (bought 3 Lexus here). I would stay away from New Port Lexus.

You can negotiate the deal over email and phone before pick up the car, the end of the month would be best and don't forget to ask for extra goodies such at all weather mat, trunk carpet or accessories.

Yup, financing the car bring more $$$ to dealership, so you might consider finance it for 2-3 months then paid off. When I bought my 4GS, the delaer push me to finance the car for at least 3 months to get extra $1500 off so I took it then finance just 5K at 2-3% APR. Tell them you will finance and could paying cash for their best price.

Good luck to finding your new ride soon.

SW17LS

First of all, how could you go in there with no idea what the invoice on the car is, the holdback, incentives, etc? You say "how could a dealer survive on only $3,000 profit" in the same sentence where you are saying you want them to sell you the vehicle at no profit? I promise you they ROUTINELY sell vehicles at way less than $3k profit.

First thing you have to do is figure out what the invoice is, what the holdback is, and what the current incentives are. I would think your offer of $52,500 may be possible depending on what incentives are out there right now and whether you qualify for them or not. I will echo what others have said, that paying cash reduces the profit for the dealer, and doesn't benefit you in a transaction.

The spread for invoice is about $3,500-$4,000 depending on the options, then you have holdback, then you have incentives.

The first step in any successful negotiation is to leave your emotions at the door. We're only seeing one side of this here, but based on your comments I don't think its too big a leap to guess that there was a little bit of disrespect coming from you too...

Do your research first, then go in and negotiate.

SW17LS

They're not going to end a relationship they think they can turn into money. But a relationship that they sense is a waste of time and energy...sure.

Agree, you're going to need incentives to make $52,500 work.

Joeb427

iTrader: (1)

The OP's attitude,low offer may have caused the salesman's arrogance.It could also be only 1-2 Lexus dealerships in the Vegas area.So no competition.

Hyrepower

Yes I do research prior to going an negotiating, I used to own a used car dealership, so this certainly is not my first rodeo. I understand that this could be their "Invoice price" But I assure you when you factor in the factory holdback, it is much more. The dealer makes about 15% total profit on a car like this, at list price. So I would be happy with $5000-$5500 off the sticker. I do not think they are entitled to make more than $2000-$2500, but I am certainly not the average buyer since I demand a "fair deal" to be a customer. A lot of people who buy cars in this price range seem to want what they want and they want it now so they are more amenable to bending over for the dealers extortion tactics.

Hyrepower

My attitude was very respectful and professional, never demeaning. I do like to cut through the bs though and cut to the chase, I am not looking to make love with them, I am looking to make a short and simple business transaction. I am an easy customer, who knows what I want and don't need to be sold. What is wrong with making a small quick easy profit. I have spoken to a dealer in So Cal that I bought my IS250 from several years ago and they wiling to sell the car for $2175 less than the dealer here. I do not know about the rest of you guys, but a savings that big is certainly worth a days efforts to drive down there and back.

Joeb427

iTrader: (1)

I suggested in my first post to buy in CA.
If you bought from a dealer in CA before,you should have called that dealer immediately after your experience with the LV dealer.
Invoice on that car is around $53500.With no incentives you want to pay $52500.THAT'S IT!

SW17LS

Then why should the dealer sell you the car for what you consider a "fair deal" when he can sell the car to the other "lot of people" in the price range? You owned a car dealer, you know the drill.

Its just that simple. If they can sell the car to someone else for more, they will. You would do the same thing.

All the info is out there, including the holdback. Lexus holdback is 2% of the base MSRP, so $940 on the GS. So their profit is $4500-$5,000 on each GS with no incentives. Without incentives, your offer would be for the dealer to sell you the GS and probably make nothing or a couple hundred bucks.

Then you should buy it there. All markets are local, if you can get a better deal out of your area and its worth it for you to travel, go for it.

Your local dealer is not a crook because he won't sell you a car for what a market value is in an entirely different state. SoCal is the most aggressive market for a Lexus in the country. He's going to sell his cars for as much as he can, thats how business works.

Hyrepower

Yes you did say that and you are right, about maybe just returning where I got my last one first. However I wanted to see if I could save myself the pain in the *** of having to go down there.

I do not think I am that far out of line, do you? I mean I know they can't retire on me, but I work hard for my money and don't rush to purchase something unless I can get a good fair deal, and I do not think I am out line.

Thanks for your input, it is greatly appreciated.

SW17LS

You can...for $2,175.

I think you're totally out of line honestly. How hard you work or whatever is meaningless, its just business, its supply and demand. Where you live, supply and demand is not as on your side as it is in SoCal. Its that simple. Telling the dealer "tell their BS to somebody else" and to say that the dealer "thinks they are more than what they are" is hardly "being professional and respectful".

You act as if the dealer owes you the car for whatever you deem is a fair profit for them because you work hard for your money and don't want to travel. The world just doesn't work that way. Everybody works hard for their living, including the dealer's staff.

Hyrepower

What you say is true, however you have to consider their costs of holding a vehicle longer to gain an extra profit. Most dealerships do not own their inventory, they have notes they are paying interest on for their inventory.

If I can get it cheaper elsewhere so I will not be made a sucker of. I am not mad they would not do the deal, I am a little more perturbed about their demeanor.......rather low class if you ask me. tell me no. don't dismiss me.