I’m helping my brother to buy new Accord 2009 or 2010 LX-P. End of the years are usually good time of the year to get some good bargains in the car.
- Honda Accord 2009 or 2010
- Color – Gray ( Gray or black Interior)
- Sales Tax – 6.75%
- Destination charge – $710
Accord 2009 LX-P
According to Edmunds
- MSRP – $22,705
- Invoice – $20,592
- Target Out the door price – 20,000
Accord 2010 LX-P
- MSRP – 22855
- Invoice – 20727
- Target Out the door price – 20500
Quotes from Dealers
From Honda’s website for my brothers aread code and randomly selected 3 dealers. From their website, I sent the following email to their Internet Marketing Department
I’m looking for 2009 or 2010 Accord LX-P Gray on black. What is the invoice price on the car and out the door price on the car.
Note – No Phone calls please.
Thanks.
Within few minutes all the 3 dealers replied with following quotes
- 2010 Accord – LX-P Invoice ($20,727) + 710 + 299 documentation + T/T
- 2010 Honda Accord MSRP: $23,565; Invoice: $21,553; Internet Price: $20,996; Prices are plus tax, $398 documentary/admin. fee and $74 registration fee
- Our price for this vehicle is $19,327 + $100 processing fee, $710 destination ,and taxes and tags for your State
Now the baseline price was established. If one dealer can give the car for 19327, then there should be atleast 2000 profit for them in that car.
Looking at Edmunds for Honda 2010 Incentieces, I found the following
- Dealer Holdback – 2%
- Honda to Dealer Marketing Support – 1500
For the dealer who got the car from Honda for 20727 ( 2010) there is additional 2000 in profit. So, getting the car for Invoice out the door will be the good deal.
Car Salesperson Play Games
Car sales guys will try to make you come to the dealership, thats when they can make you buy the car. Try not to go to any dealership before you have negotiated the price.
To get you there they will quote much lower proce for the car over email ( or phone). When you get there they will show you the lower model.
Here is an example of how car sales person trick you
Car Sales Guy: My name is XXXXXXXX and I work at XXXXXXXX. I’ve been asked by my manager to see if there is anything I can do to assist you with our Honda Accords. First, I’d like to confirm that I can sell you a LX-P for 20,000. What time can you come by to take it for a test drive? If you have any questions, please feel free to give me a call at xxx-xxx-xxxx. Thank you for your time, and I hope you have a great day.
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My Reply: My understanding is that you don’t have 2010 LX-P (Gray/Black) and the price you quoted was for 2009 (Silver).
Car Sales Guy: Your correct, I do not have a gray/black one, I’ve checked the entire dealership network, and from what I saw. There just aren’t any more left. They’ve also discontinued that color. I’m afraid the only real option you have, is if you consider a pre-owned Accord. I’ve also taken the liberty of checking our used car side and they are also currently out of this color too. I’d really like to fullfill your wishes, but unfortunatly I just can’t get it done. The reason I quoted you a 2009 because your email mentioned you would consider both, and lets be fair, while the two different years are exactly the same car. The only way you’ll be able to get this price is on an 2009.
Car Deal Negotiation
After getting the baseline price from 3 dealers, I sent email to lots of dealers in 3 nearby states. Some of them wants you to come and take a test drive. So, I changed the email contents to
Hi, I’m looking for 2010 Accord LX-P ( Gray on black). I have test driven the car and right now searching for the best deal. If you can beat the best offer I have so far, we have a deal.
Usually they will respond asking for the lowest offer I have so far.
We are still searching for the car. More details to be added as the search continues.