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Volvo XC70, Volvo V70, Volvo V70 R, Wagon
#108 of 390 2005 XC70 Purchase Price--what do you think of this pricing?
Dec 23, 2004 (12:56 pm)
I am looking for feedback on whether or not this would be considered a reasonable purchase price for the XC70, 2005 model. This would be a factory ordered car.
Wood St. Wheel-279
16" Xenia Wheels-258
Sirus Sat Prep-55
HuU 850 Stereo/6 CD Changer-1032
Int. Air Quality-150
Dealer Ad fee-250
+ 3% over invoice ($1235.70) (see above prices, all are invoice prices)
or a total of $42,425.70
This compares to MSRP of $44,220.
I need to make a decision fairly quickly. Also, dealer advises that Volvo is hiking prices by $500 the first of the year. Has anyone heard about the price hike?
Thanks for your input.
#109 of 390 Re: 2005 XC70 Purchase Price--what do you think of this pricing? [wyatt]
Dec 24, 2004 (6:28 am)
The manufacturer-to-dealer incentive on the XC70 through January 3 is $1500, so in your example the real dealer cost is $39,690, meaning you'd be paying nearly a 7% markup. Nothing to write home (or to the forum) about, IMHO. If you were negotiating on one on the lot, and they were in tight supply (don't know if they are; I'll be in the market for a 2.5T shortly), maybe 7% would be worth it. But you'd be paying for something the dealer didn't purchase and wouldn't have to finance. I think you could do better. Have you gotten quotes from dealers, or is this the most you'd be willing to pay?
#110 of 390 Re: 2005 XC70 Purchase Price--what do you think of this pricing? [negative]
Dec 24, 2004 (10:28 am)
There is ONE dealer in town. I thought I was being a smart buyer; I should have known. I have never been good at this! The dealer has them all over the lot; some are loaded, but not the way I want them to be. They've got one on the lot right now that has a booster seat, I don't want that. This car also does not have the Xenon head lamps and I want those. But it is the right color inside and out, and has the other equipment I want, except for the CD changer. I would like to upgrade the stereo, but apparently that requires an Act of God, too. They tell me that they can find one w/the headlamps that is not too far away, but again, it has that booster seat. I do not want to pay for something I do not want. Am I being unreasonable? What do you suggest? They are showing this car at MSRP, around $42000 +/-.
This dealer also did NOT mention the $1500 incentives, nor did he mention the Lease offer I have seen on another board. All he did was flash "monthly" payments under my nose. Really turned me off. But I thought I did my homework, and obviously, I did not do enough of it!
I also had the dealer evaluate my 2001 BMW for purposes of determining trade in $$$, and this car is in very good to excellent condition. The dealer low balled me on that, too. So far, this has not been a very pleasant buying experience, but that is usually the case for me.
I REALLY appreciate your input/help. Thanks!
#111 of 390 Re: 2005 XC70 Purchase Price--what do you think of this pricing? [negative]
Dec 24, 2004 (10:39 am)
Is this incentive applied to MSRP or to Invoice cost? Should the dealer have disclosed this to me?
#112 of 390 Re: 2005 XC70 Purchase Price--what do you think of this pricing? [wyatt]
Dec 24, 2004 (11:51 am)
It sounds like you WERE being a smart buyer. Unfortunately, Volvo keeps a lid on the manufacturer-to-dealer incentives, and the information is not widely available on the Internet. I know of only one other car-related site that reports them, which I don't think I'm allowed to mention here. How they get their information isn't clear, but it seems to track with what other buyers have reported.
The dealer has every right not to tell you anything about the incentive. However, if he doesn't tell you, or if he doesn't adjust his price accordingly, he runs the risk of your feeling "taken" once you find out. And that could mean bad word-of-mouth for him later. I'm sure some salesmen don't care about that, since many don't stay with the same dealer that long.
The incentive is a reduction from invoice price. So if the invoice on a car is $35,000 and the the incentive is $1500, the dealer's ultimate cost is $33,500, not allowing for advertising fees, etc. I'm not sure how the dealer is paid. I believe that he receives the payment from the manufacturer only after you buy the car.
I would extend my search to other dealers not in your town. Getting quotes from other dealers even if not in your immediate area is the best way to know if the prices demanded by the in-town dealer are competitive. If you're in a hurry to buy before Jan. 1, consider taking some time off next week (like the rest of the world) and do some serious haggling with other dealers, in person, by phone or by e-mail. If they're not too far away, you might consider purchasing from them, or using the information as leverage with the nearby dealer.
#113 of 390 Re: 2005 XC70 Purchase Price--what do you think of this pricing? [negative]
Dec 24, 2004 (1:31 pm)
It always "pays to ask". Your helpful response has made me prepare a list of out of town dealers, and I will be on the phone early Monday morning. Thank goodness, I have next week off and can shop around. I know that I probably should have done that first.
#114 of 390 Re: 2005 XC70 Purchase Price--what do you think of this pricing? [wyatt]
Dec 24, 2004 (2:57 pm)
Good luck, and let us know how much you pay.
I am waiting until January or February. I am betting the incentives will rise, because few people feel like car shopping then. I hope I'm right.
#115 of 390 Re: 2005 XC70 Purchase Price, Price Hike, Features on the 2005-good and bad
Dec 24, 2004 (6:31 pm)
But what about the $500 price increase that is coming 1/1/05? Does this not influence your decision as to when you will make your purchase? I do not need to hurry to replace my current car. I **thought** I needed to hurry to get my so called "good deal". There are 3 other dealers within 2 hours from my home, so I will be contacting them early next week and will see what they have to offer.
On another note...
Have you (or other forum members)test driven the 2005 XC70? I kept one overnight and had a chance to drive in daylight and at night, and in a rainstorm. The car handles nicely. I did not have a chance to play with all of the bells and whistles. But I did notice that the seat heater is very poor/has a weak heating element. I can barely tell it's on. I also noticed that the door locks do not automatically engage when you get under way. Is this an after purchase setting that you can opt for? And does anyone know if the locking mechanism has an audible beep/horn sound when opening or closing? I like this feature on my current car. Along with flashing tail lights, it has helped me find then car when it is parked in one of those gigantic parking lots at the airport, etc. I also noticed the "rain sensor" wipers are a bit weak, too. Not nearly as responsive as others have been on other cars. Can anyone comments on these or other features, both good and bad?
#116 of 390 Re: 2005 XC70 Purchase Price, Price Hike, Features on the 2005-good and bad
Dec 26, 2004 (7:04 pm)
The price hike will only affect vehicles ordered from factory after said date. Vehicles already on dealer's lots will not be affected. It's a risk, but there could be some good deals to be made at end of January. It will likely vary widely depending on dealers and regions.
As for the locking. First off, no, Volvos do not beep when you lock or unlock. If you can't find your car on a big parking lot you'll have to press the panic button to set off the alarm. Not nice to other people, but oh well...
Your dealer can set up the vehicle to lock its doors when you hit 10 or 15 MPH. This isn't something you can do yourself, dealer have to do it.
As for seat heaters and rain sensing wipers... Thos I know nothing about.
#117 of 390 Re: 2005 XC70 Purchase Price, Price Hike, Features on the 2005-good and bad [larsca]
Dec 27, 2004 (1:33 pm)
Thanks for your input, Larsca.
Today I got word from an out of town dealer that he could sell me an 2005 XC70 with the Premium, Climate, and Convenience packages and the car also has the Bi-Xenon headlamps. He is quoting a price of $39,052, minus the $1500 incentive for a final price of $37552.00. I think this is a pretty good price. Anyone care to comment?