[MizzouTwoFiveRS]

Hey guys...I am buying a new 2002 2.5 RS.

A question...The car I am looking at stickers for about $20,900...it has been sitting on the lot since Dec/Jan...do you think I should offer below invoice or dead on invoice? What tips can you give me? I am moving from the Ford family into Subaru because I really like their cars.

Also, I am trading in a 2000 ZX2 S/R for it...I owe money still on it. should I:

A) Deal down the car, THEN have them appraise it
B) Look around at other Subarus while they appraise and kinda acts indecisive, or
C) Go there, ask them to appraise first, THEN tell them what car I want, and give them some BS things like "Well, I like the car but I wanted a lighter color (this one is black) to help drive the prive down.

Also, I have fair/good credit...what kind of interest rates should I expect to be offered? If they are too high, will my mother cosigning it (she has stupendous credit) help a lot?

Sorry i have a lot of questions, but I am really excited about getting a Subbie. Any help would be appreciated. Thanks.

 

[RS25.com]

Don't fool around with all that. I used to sell cars, so here is some (limited) knowledge.

1. Don't trade your car in if you can sell it on the open market.

2. If you do trade your car, don't bring it up until you've agreed on a price for the new car. If they ask if you have a trade-in say "No." You can always "change your mind" later.

3. I used to be a dealer, so I would say offer them $300 over invoice. That's fair to the sales rep, and fair for you. Don't pay more than $500 over invoice.

4. If you are in a position to buy right now, tell them. Tell them you are going to buy a car TODAY. Make your $300-$500 over nvoice offer. If they say no, be sure they've checked with the sales manager. If still "No" then walk. I bet you don't get to your car before they come running out after you.

5. Again, don't BS. They've seen it all. Pick the car, name your price, and don't go more than $500 over invoice. They'll come back with something like "Well, the lowest we can go is $1200 over invoice." Laugh at them at tell them that if they want to sell the car today, they better make a real deal.

6. Let them know that you want to get the price nailed down within 15 minutes. If they can't negotiate a price within 15 minutes you are going to go to the next Subaru dealer. And do it. Let them know "5 minutes left guys, and then I have to go."

7. I have a 6 year old bankruptcy on my credit report, and about 50% maxed on all my credit cards. I got 10.7% APR on my last purchase. Without the bankruptcy it probably would have been 8 - 9%. Argue over the interest rate. If they say that's as low as they can go, get out.

8. You should REALLY get a loan somewhere BESIDES the dealer. You'll get a much lower rate.

9. Don't get the undercoating or paint protection. All a big scam. Doh!

10. Check the VIN on the car you want against the one on the paperwork - every time you see the VIN - to be sure they don't sell you the "wrong" car.

11. If you don't want a dealer badge drilled into your trunk lid, tell them you do NOT want one.

12. After all is said and done, very carefully inspect the car BEFORE you drive off the lot. If they've badged it, stripped it, forgot something, DON'T DRIVE OFF THE LOT! Go back and and YELL and tell them to fix it.

13. Get EVERYTHING in writing. If they say they are going to wash and detail it, have them put it on the "Due Bill." If it's missing a knob, have them put it on the "Due Bill."

14. Don't pay any dealer markup.

15. Make sure all the options on the sticker are actually on the car.

Okay, that's enough for now. A lot of this stuff I learned by seaching the web for "New car buying tips" or such. There are a lot of sites out there with great tips.

And remember, if anything feels bad, WALK OUT. Even if you come back later, they'll know they can't push you around because you will walk. Don't let the excitement of the deal screw you. When I bought my RS the finance guy told me the best rate I could get was like 14%, so I caved in and took the deal. I later refinanced for 11%, after losing several hundreds of dollars in finance charges. What a dolt I was!

 

[ylexot]

Two comments:

1) When I got my car, I was planning to use my credit union for the loan because they had the lowest rate...the dealer matched the rate when I told them. So you can get lower rates than advertised.

2) Extended waranty...the dealer said "you don't want it...it's a Subaru"

 

[I_H8_1.8]

I'd say those two pretty much covered it!

 

[obsidian]

I agree with everything said. Just keep the trade in seperate from your car purchase. BUT also make sure the dealers know that you need a good deal on BOTH or you walk. Because, in the end, you are paying DEAL - TRADEIN. So they may give you a good deal but a crappy trade in price. So look at the total.

$20,900 sounds a little high for an RS if that's before taxes + title. I got mine for $19,800 with most of the major options (alarm, keyless, cd changer, fogs, spoiler) which is about $400-$500 over invoice.

Look around the Internet. Find the buy-online places and see what you can get for the car with your options. Most charge around $600 over invoice, so that's a good number to go by when researching your car locally. Take that number with you, with the site name and when they say "this car is going for X" say "No... i found it online at www.carswherever.com for Y". Make it known you have no problem buying online.

And don't put up with rude dealers. I finally had to go to another city to find the deal I wanted, but it worked out great. What's an hour drive to save $500+ and to know that you supported better people?

 

[Siper2]

I paid like $21,300 for mine. More than I should have, I know, but I don't think I was entirely raped. I did get it loaded... rubber floor mats, Performance Gauge Pack, the BroSpeed muffler, differential protector and aftermarket leather, which rings in at $1,000 installed. A lot of options. Most overpriced, but I didn't know better back then.

I told them I had a trade-in. Big mistake. They came to me with a $24k price on the car or something, then it dropped when I gave them the trade price. (Though I sold my old car privately.)

I dunno... I did it all wrong. Even though I knew the right way, I like froze up at the dealership. Retarded...

-S2-

 

[obsidian]

Actually, for all that you got, it sounds like you got an alright deal!

 

[Siper2]

Yes and no, I suppose. Yes because although it's high compared to what most people paid, I did get it loaded...

But no because, if I could do it again, I would have bought none of the options, excepting the differential protector, and the extended armrest (forgot to mention that). The aftermarket had better versions of everything.

Oh and mine's a 2000 2.5RS... Jeez I forgot to mention that.

Oh well.

-Chris

 

[Vigorous]

Here's my story:

It was hard to find a dealership who would do $300 over invoice. I live in Texas, but decided to call up the surrounding states. I FINALLY got someone for Invoice, got an email and everything. I took the email to a local dealership I've already been to, and showed it to them.
They matched the price right away. And I drove home in a new car.

Invoice = $17,969 + Tax, etc.

BTW, I got the car without any options. That might be another reason I got it at invoice. I wanted to buy all the aftermarket stuff through online or local vendors.

ALSO, Don't let them try and scam you with all that extra fee crap. They TRIED that on me, and I was like WTF is that! And they took it off. Pshh, I DO my HW!

Good Luck!

2002 2.5RS Aspen White 5-Speed OWNER!

 

[inurb]

Hey guys this is all gret advice. I have a question when I bought my RS it was under my name and credit. This was my first car purchase and even though my credit was stellar I was still a "new" lender. Anyways I got 8% interest for 3 years on 10,000 borrowed. What I wanted to know is I have been hearing about refinancing. What does this entail? Will it cost me or hurt me to refinance?

What do they do when they refinance? Do they just look at my credit again and give me a lower apr? Or will I have to pay them to give me a better apr?
Thanks

 

[Matt]

I don't think I'd bother refinancing in your instance. When I bought my RS, I got 9% for 5 years. Kept the payments where I wanted them and its a decent deal. It was also my first purchase with limited credit history--kept buying old Scoobs with cash, and didn't believe in credit cards.

My other half bought a new OBS a year after I bought my RS and she got just under 8% with Subaru/Chase financing.

In all honesty, you're not really going to save much and its such a short loan--3 years, just pay it off and use that to your advantage on your credit later. Rates have gone up and unless you're over 10%, I wouldn't bother.

 

[inurb]

Thank's very much Matt. I appreciate the advice