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Prices Paid: Buying & Leasing Experiences Honda Accord Prices Paid and Buying Experience
21939 messages, Last post on Sep 07, 2008 at 9:26 PM
You are in the Prices Paid: Buying & Leasing Experiences Forum. Your Hosts are car_man & kyfdx
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Your money factor of 0.00146 only applies to LX Accord models. That is the special lease rate which works out to 3.5% APR. Honda finance regular lease rate (which applies to EX models) is 6.85% which works out to a money factor of 0.0028541. I would be interested in knowing if anyone has bought or leased an EX model recently with special lease or financing thru Honda finance. I am currently in the market to buy, as soon as I sell my current vehicle. I would like an EX on lease, but having done the math an LX lease would be roughly $100/ mo. cheaper bue to price and lease rate differences. Seems like a huge discrepancy to me, and will likely push me into an LX if I can't get better financing.
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Replying to: catam (Apr 16, 2004 12:36 pm) regards, kyfdx EDIT: Also, I've never seen AHFC express their money factors as a percentage. Their standard lease rate would be .00XXX, not a conversion of a certain percentage. |
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blane> ...you must learn ... the exact dealer blane> cost for the vehicle... There is a 3% blane> dealer holdback that you should deduct blane> from the "invoice" [including destination] blane> figure to determine the dealer's REAL blane> cost. blane> Add back a small ($100 to $200) local blane> advertising cost and whatever you blane> consider to be a fair profit blane> (perhaps $300). The resultant figure blane> should be your offer to the dealer for a blane> purchase price. I agree with most of what you have said regarding calculating the true dealer cost as well as determining what to offer (although, I would keep those numbers just to myself as a goal price and first get the dealers to bid for my business through an email blast attack because it might result in an even lower price.) The other difference in the calculation that as I understand it is that there is already a local (or regional)$200 advertising fee included in the Invoice price on Honda's. So I wouldn't be adding back a second fee which would just amount to additional dealer profit. Toyota breaks this advertising fee out as a separate line item on it's Buyer's contracts but it is non-negotiable at probably 99% of the dealers. There have been discussions about this issue of local dealer advertising fees as to whether it should be absorbed by the dealers as a cost of doing business or whether it is legitimate to assess this fee to the buyer. I recall reading an article on the subject (I thought it was here on Edmunds.com but may have been in their book "Strategies for Smart Car Buyers") which concluded that the dealer advertising fee was probably something consumers would have to pay. Depending on how in demand any particular vehicle is at any time may cause one to increase the "fair profit" figure due to market fluctuations. But generally I would agree with a $200 to $400 range. This resultant figure should be inclusive of any "Dealer Processing Fees". The only extras to pay should be Tax, Tags & Title fees. |
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Replying to: jrock65 (Apr 13, 2004 8:28 pm) |
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Question for VA residents who bought at a VA dealer: When you bought the car at the VA dealer, did it come with a Safety Inpection sticker? Or did you have to go and get the $15 inspection done yourself? |
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jrock65 - in Virginia, the dealer will have already had it inspected. If you buy a car out of state and it does not have a state inspection sticker, it's no big deal to get one. Many gas stations and most (probably all) dealers will do it for you. Don't worry about it - it really isn't a big deal! 
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Replying to: gregoryvw (Apr 15, 2004 6:06 pm) Forever involved is the trade in. The good news is that you have one stop shopping and selling. The bad news is that you don't know which to do first. Consider that in negotiations you want to be honest, but you don't want to disclose anything more than you have to. Do you have a trade in? I might, depends upon the deal! Perhaps the best way to sort through it is to negotiate these two things in a serial order. That is, don't confuse me with numbers that shift and change. Negotiate the new purchase not having decided upon the status of the trade. Simply state, lets talk about the trade later. Quite honestly, they only want to buy your car (unless it is fairly new) in order to get you to buy their car. Try to sell them what you want to trade in without buying anything back! So, make your best deal on the new and stop just short of shaking hands. When this price is set, talk about the trade. They might say they can get you a better deal if they have both in hand, but you may never know it. Once you have numbers for the new, then get numbers for the old. Take what you are sure that you could get if you were doing this as a private sale for your vehicle and figure the difference. Keep this number in mind. If they need to slide losses into their used car business to pump the new, you shouldn't really care, as long as they do not add costs back to you. The whole point is that you have the information to make each part of this transaction. However, if they only want to deal in differences then you don't have as good a data set to make it happen to your advantage. I am looking at an accord right now as well. When I was in this week a customer came back to complain about the gold emblem having some surface issue. Make sure that you really want it as I would hope that it is gold plated for the price they ask. With respect to the other accessories, if you go to the H and A sight that sponsors Edmunds, you can see the discount that the sponsor sells the honda original accessories for.... A salesman showed me this week that the only difference between the accord spoiler and some of the pre painted after markets was that if you look directly under the spoiler you will see Accord in the plastic. A web search will show you that you can do a lot better. Get some prices and then talk to a respectable body shop or detailer about the cost to install. I am considering putting the wing on myself. Again the sponsor site (H and A) actually provides directions for installation of the genuine honda accessories. When we bought our odyssey a couple of years ago the salesman indicated that he could get me a deep discount if I just wanted to buy the accessories separately after purchasing the car. Didn't do it, but sounded interesting. And last, it is annoying all of the crap that you don't want that they want to charge you for. Our local dealer puts a pinstripe ($100) on almost every vehicle. I told the salesman that I didn't like the stripe. He said they could remove it. Point is, if you don't want it don't offer to pay for it. If they can't take it off tell them that they should order you a vehicle without. They can choose whether they want to move stock that they are already paying interest on or whether it is worth it to them to order or trade for what you want. There are some protection plans that are like the Ziebart plans, consider whether you want them or not, compare with no dealer shops like Ziebart whether you want it. To be honest, I have had every new vehicle I have ever owned Ziebarted. To me it is worth it because I drive the things well past the 5-7 years and then sell/give them to someone else in the family. I just noticed the first bit of rust on my 1985 Chevy that I gave my dad 14 years ago. Bye the way, if you use Ziebart, they sell there services much cheaper to the dealers than they do to you. I actually got a Dodge dealer to indirectly tell me what Ziebart charged them and then I went to Ziebart and got something close. I went back to the dodge dealer (the caravan years)and got him to deliver the car to Ziebart for me and then I picked it up from Ziebart. I also had them remove the annoyying dealer decal from the car. They should pay us to have their decals on our vehicles. Anyhow, good luck to you.
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Replying to: aeonpurdue (Apr 14, 2004 5:59 am) |
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gregoryvw> Even on the internet quote forms they gregoryvw> ask if you have a trade. What should gregoryvw> I do? Then I wouldn't use the Internet quote forms. Just obtain the dealer's Internet department email addresses. Call them and ask for them if necessary. Then email them directly setting forth plainly what you are doing in getting dealers to give you the best price they offer for the car you want. If they email or call you and ask about a trade in you can say something non-committal like "I don't think I'm going to do a trade in at this time. My [wife/son/daughetr/brother/mother/father/cousin] is going to use it." You still have wiggle room to change your mind at a later time. After you finally get a firm price from them you can say "Oh, by the way, I've thought it over and have decided that I am going to sell my car. I would consider trading it in with you so I'd like to know what you would pay me for it if I were to purchase the new car from you as well." gregoryvw> Do you think prices are pretty gregoryvw> negotiable on the extras? I negotiated the purchase on my car without any extra accessories but I believe everything is negotiable. I would first consult the price for the accessories you wish to purchase from a Genuine Honda Internet accessories dealer. Here are a list of some for you to check: www.HandA-Accessories.com - CA www.CollegeHillsHonda.com - Wooster, OH www.partscheap.com - Northern CA www.cheaphondaparts.com - SFO, CA www.hparts.com - OK www.hondaacuraworld.com - NY www.hondacaraccessories.com - CLE, OH www.hondaautomotiveparts.com - RI www.honda-parts.net - CA www.autowebaccessories.com-? www.1sthondaparts.com - WA www.4hondaparts.com - CA www.4hondaautoparts.com - CA Take the best price on each accessory and tell the local dealer that you can buy these accessories at the following Internet prices (you don't need to say who or where) and will they meet or beat them. I'd do this with the Internet salesperson AFTER you've negotiated a firm price on the new car purchase. At that time you would also want to see what they will charge to install them. If their install price is too high, but they've agreed to the price match on accessories then you can do the install work yourself or you can get pricing from a local mechanic or body shop professional you trust and have them install them for you. gregoryvw> I inevitably see a dealer add on gregoryvw> sticker for mystery crap like gregoryvw> protection packages In the dealer bid request letter that I created for my own purchasing process, I just asked them to bid on the basic car I wanted. I told them to also tell me in their response what, if any additional accessories that they would include AT NO ADDITIONAL COST TO ME in their bid price. The dealer that I ultimately purchased from included the mud guards, wheel locks and pin stripes in their price. It's the unknowledgeable that get stung by paying inflated prices for these dealer "packages". Now, the equation could be different in your location as you describe that you are not close to a bunch of Honda dealers and they may feel that they can get away with this add-on stuff. |
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Due to advice from here, I started out by sending out e-mails (or in some cases filling out online forms) to about 15 Atlanta-area Honda dealers. I included dealers as far away as 1 1/2 hours or so, just in case. I got some kind of response from 10 of the 15. In the e-mail, I simply stated that I wanted to buy a 2004 Silver Accord EX-V6 6-speed w/ Navigation system, requesting price quotes and letting them know I was sending the same request to other dealers. I also mentioned that I had no dealer preference, and that I'd go with whoever gave me the best price. I first got a quote of $25,531 base/destination, with drive-out of $27,636.24. I was surprised at how low this was, but even more surprised when another dealer offered me the car at $25,076 base/destination!! The other offers I got were higher. I went back and e-mailed all the dealers who gave me a quote and told them the lowest price I found. To my surprise, 3-4 dealers offered to match the price. The lowest offer originally came from Milton Martin Honda in Gainesville, so I was mostly trying to find a dealer who was closer to Atlanta. Unfortunately, this car is HARD to come by. The 6-speeds are rare, with nav even rarer, plus I wanted a particular color. Apparently there were only 1 or 2 of these cars in GA/AL and there weren't any more coming in for the foreseeable future. The first dealer in Atlanta who matched the price was unable to trade for the car, so I went back to the Gainesville dealer. Apparently they have good rapport w/ other dealers, because they got the car w/in 24 hours, something I doubt any of the other dealers would have been able to do. I picked up the car Saturday. In and out within an hour including a test drive. I highly recommend them if anyone in the Atlanta area is looking! To review, final price: $25,076 - Base incl. Destination $378 - Doc fee ($199 doc + $179 theft protection) $1,781.78 - 7% county tax $22 - GA fees The car also ended up having mud guards, pin striping and a cargo net though that was never discussed. $27,257.78 - Drive-Out Total That base price was $3,500 below MSRP, $1055 below invoice, and $200 below Consumer Reports Wholesale price! Given that this price was matched by multiple dealers, there must be some kind of general Accord incentive going on right now. I love my car, and love the Nav w/ touch/voice control over audio & AC. Also love the XM radio. The audio system on this car is sweet! |
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