After 2 months of researching, I've finally decided on a car and lined up financing. Now I have to negotiate. Based on advice here (and basically everywhere else), I reached out to 5 different Mazda dealers (including the one I already visited) for an online price. Everyone wrote back and/or called asking me to come in. They also ask all sort of questions regarding how I'll be paying for the car, but not ONE person has given me a price yet (I haven't followed up with everyone yet). I did communicate with my original dealer and after 5 emails that went nowhere, I told them they were ignoring my question, so they told me they'd give me $2,000 off sticker (which is basically just the cash back offer that all Mazda dealers are offering anyway). I called them out on it and they offered an additional $800 off, but they keep insisting I come in. I know I can get more off though.
HOW DO I GET THE OTHERS TO GIVE ME A PRICE?? I don't want to go in person until I know someone is at least willing to work with me. I hate this. Please help!
Ok, so it's not just me then! I thought I was doing it wrong. Especially because when I was looking at Honda, three local dealerships emailed me right away with pricing and offered to beat any other dealer's price, etc. Considering that Mazda isn't selling as well as Hondas, I'm surprised they're not more eager.
I agree, the dentist would be more pleasant. I have had terrible anxiety for the last two months, especially since I am pretty indecisive and hate shopping in general (let alone haggling). Everytime I cross another hurdle, I feel temporary relief, followed by absolute dread at the next step. Some people make it sound so easy, but I am losing hope.
Krista
It's not just you, OP. I've also seen the advice to start with written quotes via email but it's never worked for me and I've tried with 2 different cars. I also know people who've tried and gotten nowhere. I think Get Written Quotes From the Comfort of Your Own Home! Make Dealers Compete For Your Business! is an urban legend. No one I know well enough to consider credible has pulled it off. And it makes sense why. Why would the dealers, who don't know you, don't know if you're serious, and are well aware that you're just trying to use them to play off other dealers, help you do that by putting a firm number in print??
I'm getting ready to play this game again myself as soon as the 2019 model of the car I want hits the lot and I've always had excellent success getting the deal I wanted by just committing to the time and elbow grease required. Do your research, know all the ins and outs of pricing, show up to the dealer prepared, make your offer, be ready to walk. Wash, rinse, repeat. With my last car I walked out of 6 dealers before the 7th one played ball. And like the poster above, I was at the curb when number 7 came running out to meet my terms.
So hang in there. There's no easy way to get a great deal on a car -- you have to work for it.
Sound advice, thank you. I agree with you wholeheartedly. I’m thinking perhaps this was a more popular approach several years ago but they’re wising up. Or maybe the internet sales culture varies depending on the car maker.
One question though. They all ask how I’ll be paying (finance, lease, cash) and I don’t know the best way to answer. Will I get a better deal saying I’m a cash buyer or that I can possibly finance through them?
One question though. They all ask how I’ll be paying (finance, lease, cash) and I don’t know the best way to answer. Will I get a better deal saying I’m a cash buyer or that I can possibly finance through them?
I think it's been a popular approach since internet car buying/researching became a thing. But I don't think it ever worked. For all the strangers on the internet I've seen claim it's the way to truth and light, I've never known a single person who has gotten anything other than canned responses like the ones you got.
Dealers basically have 3 ways to make money off you: The purchase price of the car, the financing, and the trade-in of your current vehicle. So first you have to take stock of what you look like to them. If you go in and you only want to buy the car -- you don't want to finance with them and you don't have a trade-in they want then they see less opportunity to make money from you. Ergo, they may be less fluid when it comes to the pricing of said car because they have no other revenue stream. Dealers want to make money somewhere and frankly, it's right that they do. You can't expect (and I'm not saying that you are) to hand the dealer a complete L. What you want to is to get the best deal you can, keeping your eye on the bottom line of all 3 factors.
If I were you I'd do the following:
* Get all three of your classic 8 FICO scores along with the usual scores used in auto lending. I belive that will run you 60 bucks. You want to know exactly what your reports and scores look like, you don't want any surprises.
* You said you wanted a Mazda but I don't know which model you want. But still, if Mazda is running any incentive rates and you can qualify for those, do it. To help manage your expectations in advance, I'd find out 1) minimum scores to qualify 2) which bureaus are being pulled 3) which scoring models are being used 4) if there's a DTI threshold you must remain under.
* Ponder your current car's situation. Do you want to sell it yourself? Are you good with trading it in and losing some money? Does the dealer even want it or is it a junker? If the answer to the last is yes, then do the research and figure out how much you're willing to take for it at the dealer.
* Ponder your down payment situation. Is it enough to grease the wheels with your APR? Beause often the amount of your down will effect your financing.
I'll give you a run down of what I did for my last car where I was very succesful. Maybe this will help you.
I worked out my price for the car, based on all my research, and was willing to negotiate within 500 bucks. I knew the minimum I would take for my trade-in and what I could likely get for it private party. I knew how much I was willing to negotiate on my down payment if need be. I had financing and knew what that APR was but was willing to let the dealership try to beat it.
I went from dealer to dealer peddling my offer and as I said, it took me 7 before I hooked the right fish. I treated the initial negotiation as a linear process. First I wanted to get really close on the price of the car (after some work their offer was within a 1500 of where I wanted to be). I wasn't willing to engage in talk of monthly payments or financing or trade-ins just yet. I made them focus on one thing at a time -- which model I was buying (I was actually willing to get a pricier model if it meant a deeper discount) and how much I was paying for it.
Once I had them to within that 1500 bucks I was all "Welllll....I guess I'd be willing to let you guys finance it... I know you make money off of that, so if I do that will you knock another 1000 bucks off my price? ... I mean, I really like my lender but I guess I could do that if it worked out for me..." Well they did that. Their lender was ever so slightly higher than what I had but by negligible fractions. So now I was down to only 500 bucks off what I wanted. Then I "let" them talk me into trading in my car. I never wanted to sell it private party in the first place -- too much trouble, I didn't care about the loss. So I did the whole "Wellll... I don't want to lose that much money on my car... I don't think this deal is going to work out... but if you gave me more money like say... 1000 more bucks..." They "compromised" with me and gave me another 800.
So in the end I got exactly what I wanted plus 300 more.
My point it don't be afraid to use everything you've got to achieve your bottom line. Car dealers are like men (sorry gentlemen of the forum) -- just let them think everything is their idea and they'll be much more pliable. 
@Asilomar wrote:
My point it don't be afraid to use everything you've got to achieve your bottom line. Car dealers are like men (sorry gentlemen of the forum) -- just let them think everything is their idea and they'll be much more pliable.
Hahahahah! That is too funny 
The car I'm looking at is a 4-door sedan, Mazda3 Touring (in Soul Red). Your 3 points about what a dealer is looking for is well taken, so I will keep that in mind. I already have my credit reports and paid for a full work up of my scores, so I know what I'm dealing with. And I already have financing through a credit union & Capital One Auto as my back-up, but I will let the dealership do their thing to see if they can do better. Apparently, my credit union's rate will go up by 1% on Monday, due to interest rates being raised. I plan to put at least 20% down. My current car is a 2004 Honda Accord coupe with 217,000 miles on it, and today the check engine light decided to come on again (of course). This is why I'm shopping. I'll be happy if I can get anything for it, especially since I got new brakes and tires earlier this year. Any suggestions on how to trade-in a junker? Everyone tells me I should get something for it.
Anyway, I communicated with a second dealer (which happens to have 4 of the same car, trim, and color I want). I gave her my stats and that another dealer offered me $800 off MSRP, plus incentives. I also told her that I'd like to buy by this weekend if possible to let her know I'm serious. She came back and offered between $1,000 - $1,250 off MSRP plus incentives. So it worked! I actually got a decent starting offer within the range I'm looking for. I will be going in tomorrow morning to see what I can get, but I have no problem walking away. As long as my car still runs, I'm good!
Just after I posted the above, another dealer emailed me an offer of $1,500 off MSRP in addition to the $2,000 cash back incentive! So apparently it's very possible to get pricing by email. I think the original dealer wasn't playing ball because he's a salesman from the floor (not internet sales), so he's used to doing it in person.
Mazda's have very little room to haggle. I paid cost for mine and after taxes, docs,etc., I paid something like $40 below sticker, and that was after adding gap at employee price. That also included a $1000 incentive.
A trick I used to use for getting them to spit out quotes was emailing a dealership in a nearby city. Tell them the locals don't want to play ball and you're willing to travel, but only if the pricing is done. They come with their final offer and you email it to the locals telling them to beat it. Someone will answer, and someone will beat it.
