Greetings, I am a new member and a first time poster.

Earlier today, I was at a LEXUS Dealership and things got a bit heated. Long story short, I am looking to purchase a new 2024, LS500 RWD that has an MSRP of $94,725 with all the Installed Options.

I negotiated a deal for $6,230 off MSRP with a Doc Fee of $85. The only additional costs are License & Registration and Sales Tax. Being that I am not financing, I would be bringing them a check on Monday. They agreed to the deal and as I was leaving, made sure to let me know how they were losing money on this.

From all the research I have done and the few dealers I have spoken/negotiated with, this seems to be a solid deal, but I wanted to make sure the experts on this forum approve of this deal and I am not missing anything that would make another deal sweeter in a week.

Thanks for your help.

 

Congrats on your pending purchase of the beautiful LS500. Curious, how did you come up with that figure and and why only: $6,230?

 

Thanks for the quick response. Just to be clear, the deal will not be completed until I show up on Monday with a Cashiers Check.

Regarding the discount, it is approximately 6.57% off MSRP. The 6.57% discount was the best discount that was offered to me after to speaking to a number of dealers.

Being that I have not completed the deal yet, my question is if the $6,230 Discount off MSRP aka 6.57% Discount is a Good Deal or do you think there are better deals out there?

Thanks again for your help.

 

Kudos to you, man, for being a savvy customer. We/You need a bit more info. to consider. How old is the car? The month of manufacture is on the door placard, but you can also tell by the VIN (they're serial). The older it is, and the longer it's been on the dealer's lot, the more discount you should be able to get. Is it over-spec'd? $94K is a high MSRP, and probably more difficult to move than a lower-spec unit. 6.6% is a pretty good discount, and finding LS500s in the field is not all that easy. If you really like the spec., I would proceed.

You f-d up in one way though, you will never get the best deal paying cash. Dealers hate cash; there's no angle to it. The dealer gets a vig on financing, so you should always finance through the dealer. They get to keep the vig so long as you make the first 3 or 6 monthly payments (I forget which) before paying off the balance in full. If you sign on a 7-year loan the dealer vig is substantial, and the dealer will be willing to give you part of that vig in the form of a lower price in order to get the deal done today. I do this every time I buy a car, despite having plenty of cash on hand. So long as your are treated with respect, you should make the initial payments before paying the loan off in full.

 

SpudsMcD, Thank You for the response.

Regarding the vehicle, it is a 2024 LS500 with the following options: Lexus Safety System A+, Air Suspension, Advanced Park, Cold Area Package, Digital Rearview Mirror, 20-in 20-Spoke Wheels, Interior Upgrade Package, Premium Audio System, Premium Paint, Panorama Glass Roof, Panoramic View Monitor, Illuminated Door Sills, USB Cable Kit, Wheel Locks, Carpet Trunk Mat, Key Glove and Cargo Net. The Factory MSRP is $94,725. Quite honestly, all of the items the car is equipped with work well for my lifestyle, so I don't feel that it is over-spec'd.

Regarding the month of manufacture, I don't have a photo of the Door Placard and I don't know how to tell by the VIN. I can tell you that the vehicle is a 2024 with 300 miles on it. Would than be an issue for you or any other member of the forum?

Regarding cash/financing, I can tell you that there was not one more penny being taken off. I asked about options to further reduce pricing, and I was told in the most hostile/polite way, this was it. Take it or leave it.

 

Bottom line is. Your happy with the deal and you shopped. Did the best you could.
Found a car you liked. Be happy.
On a forum and someone gonna tell you perhaps you can do better?
As for dealer whining they losing money, thats an old line they use. Its lame.
Also beating up the Dealership becuase they are the dealership and not having real info is also kind of weak.
They don’t run a not for profit business. Im not saying to be stupid or careless but they have the car, it cost money to factor it and bring you the “Lexus experience”. THats what you get when you buy new.
After that, its on you. Some guys here do a lot of work on their cars and are happy to do it but want to make others feel bad because they have to pay. Others have good independant shops they love. Naturally they usually post good things, not when they get ****ed over. Like independants never **** over customers? Also depends on age of the car. Take a 20 year old LS to an independant makes sense often. Take a low mile 4 year old car for a real issue? Well, it may be good, maybe not.
Understand the value dealerships provide for yourself then decide.
Back on point, thats what your paying for.
This is a low volume car and perhaps demand is still reasonable to the supply side if Lexus is not building “too many”.
They are not losing money, but they might not be making as much as they used tor or on other models. They can say no. You can say no.
Good luck and hopefully you just enjoy the car and the experience!

 

Sounds like a nice car. If you want, check with other dealers around the country and see what you can negotiate. My brother was looking for a specific vehicle. He didn't know how to research online and the local dealer had the exact one except for color. I hopped on Cars.com, typed in the car and new only and found it. It was $11K off MSRP plus shipping. So, check around and maybe you'll find your deal is a deal. Good luck.