Live in Colorado and about to buy a Honda Element. A non-Honda used car dealer has an '07 listed for $15.8K which happens to be the 5th best price I can find in the country per listings on Cars.com. Do I shut up and get the deal done at their ask or is there always $500 of give in these prices?
Haggling over car price
- Thread starter txtxyeha
- Start date
HoustonHorn93
250+ Posts
That seems a little spendy to me for an '07. What model is it (EX, LX, SC) and what about the mileage? Is it 2wd or AWD?
As an example I bought my '06 EX with 23k miles on it nearly 2 years ago for $12,700.
As an example I bought my '06 EX with 23k miles on it nearly 2 years ago for $12,700.
What's the harm in offering a lower price and playing hard ball? It's not like the price will go up if you make a lower offer. Used cars are always priced with room for negotiation, and in this economy they'll deal more than usual. Assume you'll end up about midway between their asking price and a reasonable initial offer. Therefore, make your initial offer 2X lower than you're willing to settle for.
BTW, just went to Edmunds True Market Value for the car and it comes up with $14,725 Dealer Retail for this vehicle, $13,726 Private Party. You should never pay more than Dealer Retail and should be able to approach the Private Party price if you're a good negotiator. Trade-in is $12,401, so that's what they probably have in the car. You should have lots of room to negotiate, so grow a pair and get in there with an initial offer of no more than $13,000, dig your heels in, and be patient. Remember, you like the car, but there's another competitive car across town that you like, too, and they've been very negotiable. You're fine with either car. Sit in the salesman's office all day if you have to and waste his time. He'll be glad to settle for less than Dealer Retail and move on to the next sucker behind you.
BTW, just went to Edmunds True Market Value for the car and it comes up with $14,725 Dealer Retail for this vehicle, $13,726 Private Party. You should never pay more than Dealer Retail and should be able to approach the Private Party price if you're a good negotiator. Trade-in is $12,401, so that's what they probably have in the car. You should have lots of room to negotiate, so grow a pair and get in there with an initial offer of no more than $13,000, dig your heels in, and be patient. Remember, you like the car, but there's another competitive car across town that you like, too, and they've been very negotiable. You're fine with either car. Sit in the salesman's office all day if you have to and waste his time. He'll be glad to settle for less than Dealer Retail and move on to the next sucker behind you.
Thanks for the Edmunds tip. Based on the condition of the vehicle (i.e., "average" but definately not "outstanding") I just told them $13K. Call me if you want it off your lot.
Found another '07 LX with AWD and 25K miles from a Honda dealer. It's certified and they are asking $18; however, I told him about the other car and just winging it with this guy on the phone I said $16.5 would make my decision interesting. He called back asking $16.8, great shape, certified, blah, blah. Not really needing a car with that few of miles; however, based on the Edmonds site this is a much better value than the first car.
Oh, the first car is Sooner Red (ouch!) and the second one is all black.
Y'all have been a big help. I'll let you know how this deal turns.
Found another '07 LX with AWD and 25K miles from a Honda dealer. It's certified and they are asking $18; however, I told him about the other car and just winging it with this guy on the phone I said $16.5 would make my decision interesting. He called back asking $16.8, great shape, certified, blah, blah. Not really needing a car with that few of miles; however, based on the Edmonds site this is a much better value than the first car.
Oh, the first car is Sooner Red (ouch!) and the second one is all black.
Y'all have been a big help. I'll let you know how this deal turns.
Other than warranty, there's nothing remarkable about "Certified" used cars.
Check the listings and assume that there's at least $3k worth of mark up on any used car sitting on dealer's lot. Also assume that if the salesman is telling you the price, there's at lease $6k worth of markup.
Check the listings and assume that there's at least $3k worth of mark up on any used car sitting on dealer's lot. Also assume that if the salesman is telling you the price, there's at lease $6k worth of markup.
hornpharmd
5,000+ Posts
Perhaps you could use the condition of the car to help negotiate. For instance you could tell seller that based on mileage it will likely need new tires....if they can drop the price of the vehicle by $800 then you can do that after purchase or when desired.
Wear in tear is factored into depreciation but not factored into the maintenance of the vehicle needed to keep it driving safely.
Wear in tear is factored into depreciation but not factored into the maintenance of the vehicle needed to keep it driving safely.
I always get an independent mechanic's check on used cars. First, it helps me make sure there's nothing I'm overlooking that could cost me a lot of money to repair. Second, they almost always find a few repairs or maintenance items that should be done. This provides negotiating points. In the end, it always more than pays for itself to have it done. In Austin, Auto PI is fantastic. Don't know about Colorado.
Steve Dallas
25+ Posts
Off topic a little, but I could never drive a red or maroon car. Just couldn't. Don't know it that makes me petty, but that's how it is.
With the sale finally final we purchased from a non-Honda dealer in very good condition a...
07, Honda Element, EX, AWD, Manual, 53K miles, Orange, $15.85K
Interesting day. The private seller I thought I struck a final deal with last night for $15.8K took his E to a Firestone Auto Center this morning for an inspection for which I paid $21. Inspection came back with the following dings:
New brake fluid - $85
New transmission fluid (if they didn't do it at the 30K sched. maint.) - $180
New rear shocks/struts - $435
Private seller was a little shell-shocked to being told he was $700 lighter in the pocket than the night before. He took the car to a mechanic friend that said he did not see anything wrong with the shocks. He then took it back to the Firestone Complete Care Center to get the mgr. to show him what the prob. was. Manager couldn't show him the problem, with apologies. Also found out that the transmission flush wasn't scheduled until 60K miles check up. So really he had $85 worth of maintenance to do on the car, not $700. In the meanwhile...
...I was at a Ford dealership on the other side of Denver closing on the previously mentioned car. Same exact car except the dealer had a stick and the private seller had an automatic. After the test drive I was very pleased with the stick shift and figured that the private seller and me would not be able to bridge our $700 gap. Edmunds had both vehicles valued the same (they give more value to cars sold by dealerships) so I got the same "deal" by paying the dealer the $15,850.
Called the private seller to say "sorry, but...", then he told me how Firestone said, "Oops." I was dumb-founded. Private seller understood, and I hope he sells it this coming weekend. He at least now knows that is car is only $85 away from being in tip-top shape.
Lessons learned:
*Ask price is a joke (unless dealing with a no-haggle dealer). I had sellers come down the following amounts: $700, $1,300, $1,300, $3,200
*Edmunds.com was a huge help
*Don't forget to look at Craig's List along with Cars.com, AutoTrader, etc.
*Don't be afraid to understand - I really admire the private seller going back to Firestone saying, "Show me."
*Like the subway there's always another one coming. I said to myself four different times this week, "THAT'S the car I'm buying." I was right on the fourth time.
*If financing, find out from your financial institution, not the dealer, what rate you should pay. My bank quoted me a rate of 5.6% but didn't return a couple of my phone calls when I was ready to move. Told the dealer, "I might as well finance through you since they're not getting back to me." He had docs printed up for 5.99%. I said, "Whoa!", and he instantly (think kid in cookie jar) lowered it to 5.49% (thank you, very much).
*Buying from a dealer has its advantages. During today's test drive there was a little shimmy when braking hard. Told the dealer he has a deal, but he needed to fix the shimmy. Had it done while we finalized all the paperwork.
Thanks to everyone who takes the time to post. Learned a lot over the last five days. Wouldn't have the car I proudly have tonight if it were for some of your musings.
07, Honda Element, EX, AWD, Manual, 53K miles, Orange, $15.85K
Interesting day. The private seller I thought I struck a final deal with last night for $15.8K took his E to a Firestone Auto Center this morning for an inspection for which I paid $21. Inspection came back with the following dings:
New brake fluid - $85
New transmission fluid (if they didn't do it at the 30K sched. maint.) - $180
New rear shocks/struts - $435
Private seller was a little shell-shocked to being told he was $700 lighter in the pocket than the night before. He took the car to a mechanic friend that said he did not see anything wrong with the shocks. He then took it back to the Firestone Complete Care Center to get the mgr. to show him what the prob. was. Manager couldn't show him the problem, with apologies. Also found out that the transmission flush wasn't scheduled until 60K miles check up. So really he had $85 worth of maintenance to do on the car, not $700. In the meanwhile...
...I was at a Ford dealership on the other side of Denver closing on the previously mentioned car. Same exact car except the dealer had a stick and the private seller had an automatic. After the test drive I was very pleased with the stick shift and figured that the private seller and me would not be able to bridge our $700 gap. Edmunds had both vehicles valued the same (they give more value to cars sold by dealerships) so I got the same "deal" by paying the dealer the $15,850.
Called the private seller to say "sorry, but...", then he told me how Firestone said, "Oops." I was dumb-founded. Private seller understood, and I hope he sells it this coming weekend. He at least now knows that is car is only $85 away from being in tip-top shape.
Lessons learned:
*Ask price is a joke (unless dealing with a no-haggle dealer). I had sellers come down the following amounts: $700, $1,300, $1,300, $3,200
*Edmunds.com was a huge help
*Don't forget to look at Craig's List along with Cars.com, AutoTrader, etc.
*Don't be afraid to understand - I really admire the private seller going back to Firestone saying, "Show me."
*Like the subway there's always another one coming. I said to myself four different times this week, "THAT'S the car I'm buying." I was right on the fourth time.
*If financing, find out from your financial institution, not the dealer, what rate you should pay. My bank quoted me a rate of 5.6% but didn't return a couple of my phone calls when I was ready to move. Told the dealer, "I might as well finance through you since they're not getting back to me." He had docs printed up for 5.99%. I said, "Whoa!", and he instantly (think kid in cookie jar) lowered it to 5.49% (thank you, very much).
*Buying from a dealer has its advantages. During today's test drive there was a little shimmy when braking hard. Told the dealer he has a deal, but he needed to fix the shimmy. Had it done while we finalized all the paperwork.
Thanks to everyone who takes the time to post. Learned a lot over the last five days. Wouldn't have the car I proudly have tonight if it were for some of your musings.
HoustonHorn93
250+ Posts
Unless I'm missing something I think you overpaid for the car. I punched your data in using Denver as the market and came up with $15.66. That should be the top end and you should be able to get it for even less. Am I missing something? Nevertheless enjoy the car. I love my Element.
2007 Honda Element EX 4dr SUV AWD w/Manual
Trade-In Private Party Dealer Retail
National Base Price $13,535 $14,984 $16,077
Optional Equipment $0 $0 $0
Color Adjustment
Orange $31 $34 $37
Regional Adjustment
for Zip Code 80201 $43 $47 $50
Mileage Adjustment
53,000 miles $-501 $-501 $-501
Condition Adjustment
Clean $0 $0 $0
Total $13,108 $14,564 $15,663
2007 Honda Element EX 4dr SUV AWD w/Manual
Trade-In Private Party Dealer Retail
National Base Price $13,535 $14,984 $16,077
Optional Equipment $0 $0 $0
Color Adjustment
Orange $31 $34 $37
Regional Adjustment
for Zip Code 80201 $43 $47 $50
Mileage Adjustment
53,000 miles $-501 $-501 $-501
Condition Adjustment
Clean $0 $0 $0
Total $13,108 $14,564 $15,663
Call me a sucker who over paid by $200.
What really happened is they threw in a $500 "administrative fee" at the end. "Mr. YeHa, this is Sparky returning your call. I think we can meet the number [$15.6] you left in your last message. Give me a call to go over all the figures."
I'm kinda in victory mode when I called back that when they threw that last twist in a "demanded" we split that fee instead of laughing and saying, "Nice try."
What really happened is they threw in a $500 "administrative fee" at the end. "Mr. YeHa, this is Sparky returning your call. I think we can meet the number [$15.6] you left in your last message. Give me a call to go over all the figures."
I'm kinda in victory mode when I called back that when they threw that last twist in a "demanded" we split that fee instead of laughing and saying, "Nice try."
lostman
500+ Posts
To echo others - Edmunds.com is worth its weight in gold when dealing for a new or a used car. Losthubby is great at getting his price, and Edmund's has always been his starting point. He always goes in waiting to hear "What will it take to close this deal tonight?" We have sat in total silence for what seemed like eternities just staring at numbers, till the salesman finally buckles and goes back "to his supervisor" once more.
Glad you finally found your car!
Glad you finally found your car!
bradford702
100+ Posts
scott...do tell the details...
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