Negotiate Using Dealer Invoice Reports Archives

How to Get Out of a Car Lease Early (Without Paying Penalties)!

There’s nothing quite as exciting as driving your new car off the lot. But sometimes, you may have a change of heart and want to trade that sports car in for something more affordable. If you’re on a lease, can you still break it after signing the agreement, disclosure statement and insurance forms without facing any penalties?

Yes, you can! In this article, we explain how to break a car lease in Ontario. We also reveal how a car dealer invoice report from Car Cost Canada can help you get your next car at an affordable price, with a lot more financing choices than just leasing!

Transferring the Lease

This is the simplest and most well-known way of breaking a lease ahead of time. You can opt to transfer it to a third party firm. A majority of leasing firms do allow for the lease to be transferred to another individual, however, there might be certain caveats. For example, you may be legally tied to the contract, meaning if the other individual defaults in paying on time, the onus falls on you to shoulder that liability.

Moreover, transfer fees might apply, some of which go as high as $500. Bear in mind that the downpayment on the lease and the vehicle’s mileage might also require you to sweeten the pot by reducing payment amounts for the new lessee, which can go as high as $5,000.

Trading or Selling the Car

You can also purchase the car from the lease company whenever you like, resulting in an premature buyout. This is an excellent tactic to get out of your lease, especially if you already have a buyer for the vehicle.

Make sure to undertake all dealings with the leasing firm and not the dealer. First things first, find out how much the buyout figure is. The leasing company owns the car, so if you go through a delaer you’re unnecessarily adding a middle person into the mix.

The payoff figure may include an early end-of-lease fee which could range anywhere from $200 to $6,000.

Asking the Lease Company to Offset Payments

If you’re in a contemporary financial pickle and need a couple of months to regain your footing, it’s better to communicate that with the lease company rather than directly opting to terminate the lease.

There are quite a few companies that are willing to waive payments for a period of time. In certain cases, they may choose to reduce your monthly payments or suspend them for a while. Naturally, you will have to make good on the balance at a future date, but it’s still a great way to avoid penalties.

Looking to Buy a Cheaper Ride? Need More Financing Options

Get a free dealer invoice report! A dealer report generates the price the dealer paid for the vehicle as opposed to the MSRP which is marked up, sometimes substantially. The report reveals the dealer price as well as the incentives you may be eligible for.

What will the report contain?

The MSRP (Manufacturer’s Suggested Retail Price)
Factory incentives
Leasing and financing options
Recommended dealerships
Vehicle pricing options
Comparable vehicles
Great car insurance deals

Most dealers readily accept the report. When you present the information on paper you may avoid a pesky negotiation process.

Request your free report right here!

CarCostCanada

Dealer Fees: How to Separate the Essentials From the Frills

Buying a new car is always a tricky affair, especially if you’re a novice. Dealer sharks are on the prowl and the only way to protect your interests is by staying informed! In this article, we’ve got your back. We reveal the required dealer fees and the ones that are nothing more than a strain on your wallet.

We also explain how to only pay the dealer invoice price in Canada on your new car instead of paying the full MSRP. Read on for more.

The Basics

Manufacturer’s Suggested Retail Price (MSRP): We talk about this one a lot but we cannot stress enough how you shouldn’t pay the full MSRP quoted by the dealer. The MSRP can be altered by the dealer as they wish, meaning it is up to you to negotiate and get the best price. This figure does not include sales tax.

(Psst, to find out how to avoid paying the full MSRP, read till the end!)

Incentives: Incentives vary from one brand to the next. They may also change depending on the payment option you go for. This discounted figure changes each month and can be deducted before or after tax. Some incentives double up as rebates, this means that the buyer has to cover the deduction before they can get the amount back.

Pre-Tax: The total price of the car before the sales tax, including MSRP, pre-tax incentives and add-on fees.

Sales Tax: A percent of the total price that ranges from 5 – 15%

After-Tax: The total price after deducting the sales tax, including MSRP, pre-tax/post-tax incentives, add-on fees and sales tax.

The Essential Fees

Freight: Manufacturers compute the average cost of transportation by determining the price to ship the car from the production location to its retail outlet.

Pre-Delivery Inspection (PDI): The cost of the maintenance assessment on the car when it first comes to the dealership. These checks are mandatory to make sure your car is ready to take on the challenges of the road.

Air Tax: A $100 charge applied by the government to all cars with an A/C.

Tire Tax: A charge ranging from $20 – $30 applied to a vehicle to promote the tire recycling program.

Regulatory Fees: This is a fee levied by the provincial government which is around $10; varies based on the province.

The (Avoidable) Money-Guzzling Fees

Admin Fee: This is the fee charged to cover licensing, insurance documents, processing loans or leases, activating satellite radio, etc. It is applicable to luxury vehicles only and is optional in every other case.

Extended Warranty: This is a standard warranty extension that is offered by the dealer before the vehicle is sold. You can buy this at any time and aren’t required to do so right away (despite what the dealer may have you think).

Block Heater: A fee for the block heater installation to keep the engine warm in colder weather. This is necessary only where the temperature is constantly below 0°C.

Rust Protection: A fee to apply any kind of rust proofing. Yes, it’s useful but not at all mandatory.

Nitrogen Tires: The fee to infuse nitrogen in the car’s tires. Again, this is useful in sports cars as it enhances safety when cruising at a high speed.

VIN Etching: The fee charged to impose the VIN on a car’s windows in order to reduce the value for potential thieves.

The Takeaway

Carefully assess the quote provided by your dealer and only accept the items you really want to pay for. You can compare the dealer breakdown to the list provided above. And guess what? You can…

Start Saving Right Now With a Dealer Invoice Report

A car dealer invoice report reveals the actual amount paid by the dealer to own the car. That way, when you’re haggling for a good deal, you won’t have to pay the full MSRP.

A majority of dealers turn a profit of 8.7% on selling a new car. When you’re aware of the true MSRP, you can follow the 3-5% rule – meaning you can add about 3-5% on the invoice figure in your report to calculate the most lucrative negotiation price.

It’s simple! Choose your make and model and see a complete breakdown of all fees.

Get a FREE dealer invoice report within minutes.

CarCostCanada

Is a New Car in Your Budget? Here’s How You Can Determine Just That!

We all imagine driving around is a super fancy car without a care in the world. However, for most of us, there are bills that need to be paid and budgets that need to be adhered to. While you may be able to afford the supercar you want, it’s important to make sure it doesn’t consume a massive portion of your entire income. Breaking down your current financial state and the cost of the vehicle you want will help you determine if it is a plausible purchase. Affordability is a huge proponent in knowing how to buy a new car in Canada.

Determine whether or not you actually NEED a new car

Is your current car running perfectly fine? Are you just looking for a cool new upgrade? Is public transportation readily available for your daily commutes? If you answered yes to any of these, you may need to consider whether or not you NEED a new car or you simply WANT a new car. We all want the newest things that come to market, but there is a huge difference between wanting and needing. If there is no need for a new vehicle right at this moment, it may be best to hold off. There is no point in adding extra debt or a massive cost when there is no requirement to do so. If your desire for a new vehicle is burning, looking for ways to save money on your purchase, such as a Dealer Invoice Report, can help justify your purchase and shrink the overall cost.

Break down your current monthly costs and income

If you are looking to finance or lease, it’s important to know whether or not there is wiggle room for extra monthly payments. Car payments typically last anywhere from 2-7 years, ergo, you have to ensure you can be financially committed for a lengthy period of time. Before diving into a new financial commitment, assess your current situation in regards to other monthly payments and your overall income. If the cost of leasing/financing come well over your income or if you have JUST enough wiggle room, consider a more cost-efficient vehicle or holding off altogether. The last thing you want is to have no financial freedom for years on end.

Your current credit score

If you are planning on purchasing your vehicle outright, you don’t have to worry about your credit score when it comes to the purchase. If you are financing or leasing, however, your credit plays a critical role in determining if you can purchase a vehicle and the monthly costs associated with it. Your credit score will help the lender determine your ability to pay back any loans. If your credit history reveals revolving or missed payments that have jeopardized your credit score, the lender may a) deny your loan or b) increase your interest payments. Typical interest payments for those with good standing credit are around 5% or less. The lower your credit score, the higher they become. For example, if your credit score is in the 500-600 range, you can see interest payments upwards of 19-29%.

Added interest costs pertaining to low/no credit can easily add up to an extra couple hundred dollars a month. If your credit score is causing leaders to astronomically increase the interest rates pertaining to the vehicle you wish to purchase, it’s best to hold off and build up your credit in the meantime.

Will you be putting down a down payment?

Putting a payment down will decrease the monthly payments of your finance/lease term. The larger the down payment, the lower the monthly costs become. While this will entice people to put down a larger down payment, it’s important to determine just what kind of down payment can realistically be paid. If you have a strict monthly budget but have accumulated some savings for your new vehicle, it may be best to put down a larger monthly payment. On the flip side, if you don’t have as much capital, a smaller down payment can still decrease your monthly payments. It’s also important to note that you can make lump sum payments at any time within your payment term that can decrease monthly payments down the road.

When it comes to purchasing your new vehicle, it’s best to be realistic and choose something that you love that is still within your budget. Our Dealer Invoice Report can help you save thousands on a vehicle purchase and may give you the wiggle room you need to purchase the vehicle of your dreams. Overall, it’s important to assess your current financial state and your ability to afford a new vehicle prior to jumping on such a massive purchase.

Found the car of your dreams but looking to cut back on the cost? Get your FREE Dealer Invoice Report today and save big on your next new vehicle purchase!

CarCostCanada

Ditch the Negotiation Process with a Dealer Invoice Report!

Ready to buy a car but don’t know what to buy and where to start? As per Deloitte’s global automotive consumer study, most consumers start researching for a potential car 3 months prior to the purchase. Definitely, car shopping is becoming more of a need than a want for new buyers in the market with only 1 in 3 buyers knowing the vehicle they want to buy. As for Canadians, it is more or less the same. To get new car deals in Canada, consumers end up physically visiting each dealership to first know what they actually need to buy.

Another study by Cox Automotive suggests that more than half of the buyers are concerned about the monthly payments as well as the total price of the vehicle.

Of course, buying a car is not a decision made overnight and the fact that this decision involves a lot of investment in terms of the promise of utility and the price a car comes for, you wouldn’t want to feel disappointed with one. Needless to say, customer satisfaction is a unique selling point in this area of purchase. A simple, hassle-free shopping experience with transparent pricing and specifications is the way to go.

But how to make the shopping experience, worth pursuing in the first place? The answer is – dealer reports. Here’s how dealer reports can save you time and money to make smarter car buying decisions – ones which you won’t regret!

Breaks Down The Financials For You

Free dealer reports provide all the information you need for the car you want to buy with the retail price and the best match dealer price for the make and the model you choose. Their accessibility and emphasis on detail make them your one stop shop for all the initial research you need. With all the information about the dealer and retail price comparisons, leasing and finance rates with special and factory rates included, you have better clarity of how much a dealer makes from the sale and how much you can end up saving – transparency at its best!

Empowers Your Negotiation Process

With dealer pricing at your disposal even before making the purchase, these reports certainly put you in a better position to negotiate for the car you need. It is probably one of the best ways of staying informed about the vehicle and assessing your best deal options based on the market scenarios. An online report is a very resourceful prerequisite to stay prepared for negotiation with proof in hand.

Simplifies Your Dealer Hunt

It’s evident that we all want the best deal/price for every investment we make. Cars are no exception! A car report makes sure that there are no hidden prices or interest rates when it comes to helping you decide the best dealership according to your budget and additional benefits preferred. It also recommends you a great dealer with better incentives to make that job easier for you – a dealer that is trusted and recommended based on car make offerings as well as our previous customer reviews and happy experiences.

Saves You All Those Pointless Visits

With car dealer reports, you can skip the long purchase processing times half of which is spent in negotiation. While dealers strive to make the dealing process shorter, reports are a digital way of accomplishing the same objective by reducing your time spent hopping from door to door at dealerships and the latter spent on bargaining for the price.

Establishes Comparable Options

When buying a car, you must keep your options open and choose what best suits your needs. A car report opens up a plethora of options for you to compare from based on your primary vehicle choice. This way you can find similar cars in the category and what each make has to offer.

Provides Access To Incentives

With a dealer report, you not only get detailed information about the already known incentives but also the ones that are non-advertised and less known to many. This is not only an add on knowledge but also helps you customize the incentives prior to making a purchase! Most reports also offer the choice of insurance that matches your purchase and will probably be the most beneficial in the long run.

A report helps you identify risks and opportunities with comparable pricing and benefits to streamline the process of buying a car – making the experience worth it!

With a CarCostCanada dealer invoice report, you get exactly what you want – from the initial research to the final call, every step in the car buying process is made super easy for you digitally. With access to a wide database of national dealerships in Canada, our report is a smart way to save money and time spent in car buying.

Check out what a sample detailed report looks like and request your FREE dealer invoice report to make the most of your next dream car purchase!

CarCostCanada

The Dealer Paid What? Everything You Need to Know about Dealer Invoice Pricing!

Whether you are purchasing your first vehicle or looking to make a well-deserved upgrade, the thought of a new vehicle can meet you with much elation. When purchasing a new vehicle, there are a plethora of factors to consider: make, model, colour, add-ons, packages, and the one factor many people look at first – price. Most people have a vehicle in mind, but more often than not, the price is the determining factor when deciding whether or not to go ahead with their purchase. Some will try their best to negotiate with the dealership, but doing so can be tricky, time-consuming, and produce lackluster results.

The price the dealer shows you is the MSRP (manufacturers suggested retail price) of the vehicle, which, as the name suggests, is the recommended price a dealer should charge a consumer for the vehicle. There are ways, however, to lower this cost whether you plan to lease, finance or purchase a vehicle outright. The Dealer Invoice Report can help you save a significant amount of money on your new vehicle purchase without having to practice your best negotiating skills for hours on end.

What is a dealer invoice?

A dealer invoice, also referred to as the “dealers cost”, is the price the dealer pays the manufacturer for the vehicle. This price is often lower than the MSRP to allow room for maximum profit for the dealer. For example, the dealer cost of a vehicle could be $30,000; in which the dealer pays said amount to the manufacturer. The dealer will then work with the automakers to determine the MSRP – or “sticker value” – of the vehicle which more often than not, is higher than the dealers cost. The car could then be put on the market for $35,000 for example, which is the price the consumer would pay for the vehicle.

How can a dealer invoice report help me save money on my vehicle?

A dealer invoice report gives you a detailed breakdown of the dealer cost of the vehicle as well as various incentives that can help you save on your new vehicle purchase. For example, if you are looking to finance a new 2019 vehicle, the dealer invoice report will breakdown the monthly payments in accordance with the dealer price of the vehicle. The report also contains discounts, such as dealer cash incentives, that the dealer may not tell you.

How do I fill out a dealer invoice report?

Filling out a dealer invoice report is a simple process that can be done online (no need to head to the dealer to do this!).

Log in to your account (or create one easily via email or Facebook)
Pick your desired car make
Pick your desired model under the make. It’s important to pick the EXACT make you would like. For example, if you are looking for a new Mazda GT, the model comes in both FWD (front-wheel-drive) and AWD (all-wheel-drive); both possessing different price tags. Ensure you pick the exact model you would like.
Review your report + savings
Bring the report to the dealer to obtain the savings outlined in your report

What information can I find on my Dealer Invoice Report?

Your dealer invoice report will give you a vast amount of information pertaining to your vehicle of interested. Including, but not limited to:

Invoice Price (dealer cost) of the vehicle
Pricing Guidance; how to calculate the best deal for your vehicle of choice based on the invoice price plus any incentives you may be eligible for
Factory Incentives; discounts made available via the manufacturer (eligibility may vary)
Lease and finance rates
Recommended Dealership; recognized dealerships within an appropriate distance that work with CarCostCanada members to help them save the most money possible
Vehicle Pricing and Options Details; a detailed breakdown of the costs pertaining to the vehicle in relevance to the base and/or any features/add-ons
Comparable Vehicles; vehicles that boast similar features and pricing in accordance with the subject vehicle
Standard Features; a detailed breakdown of the subject vehicle

How much money can a Dealer Invoice Report actually save me?

The savings depend on the make, model, and year of the vehicle, as well as any current incentives offered by the manufacturer and the original cost. Typically, members report savings in the thousands. For example, a 2019 Honda CR-V EX-L AWD has an MSRP of $38,285 and a dealer invoice price of $35,659; savings of over $2,500! Some makes and models will have fewer savings, whilst others may boast even more.

Another key component when it comes to saving money with your dealer invoice report is the incentives. The report outlines any incentives that are made available through the manufacturer. These could amount to significant savings on top of the savings from the dealer cost. It’s important to note that a majority of incentives require eligibility which should be discussed with the dealer at the time of the purchase.

What is the cost of a Dealer Invoice Report?

The first Dealer Invoice Report is free for Car Cost Canada members!

Will the dealer accept my Dealer Invoice Report?

We work with a surfeit of dealers who are more than happy to help you save money on your purchase so you can walk away happy. Within the report, we provide a recommended dealership that works in harmony with CCC to provide you with exceptional service and pricing. Should you choose another dealer, no issues should arise. Most dealers are happy to work with you and your report as the sale of a vehicle is beneficial for them as well. Some dealers, however, may push back and try to negotiate on the MSRP with you, despite your possession of the dealer cost. If a dealer is unwilling to accept your report, which is a rare feat, don’t despair; there are many dealers willing to help you save your hard-earned money.

What are my vehicle exceptions when it comes to my Dealer Invoice Report?

We work with several automakers, so your choices are plenty! The automakers we partner up with provide deals on the newest models available on the market; last, current, and upcoming year. Our report can help you save money on the most recent models your make of choice has to offer. Here is a list of automakers we work with!

Buying a new vehicle is a rewarding milestone; whether you have finally saved up for your first vehicle or you are ready to take the leap and put yourself in something more luxurious. Purchasing a vehicle is a huge step and the ability to save money on your new vehicle makes the process that much more rewarding.

Ready to get behind the wheel of a new ride? Contact us today and save your hard earned money on the car of your dreams!

CarCostCanada

How to Negotiate Using Dealer Invoice Reports

When you are in the market looking for a new car, it’s important that you educate yourself with essential tips and knowledge to make the best decision. From obtaining a dealer invoice report to the negotiation itself, ensuring that you have the best information from the beginning will prove to be beneficial to you.

Keep reading below to uncover how having a dealer invoice report in your hands before you step into the dealer’s office, can help you get the best car deals in Canada.

Obtaining a Dealer Invoice Report

Dealer invoice reports are important for both the dealers and customers to understand vehicle value. When vehicles are transported to a dealership, a certain price is paid to the manufacturers — which is referred to as the invoice price. The price seen on the sticker of vehicle ads is the MSRP – manufacturer’s suggested retail price, which incorporates the margins set for dealers.

Whether you are financing or leasing a car, invoice reports are essential as the purpose of them is to provide an accurate understanding of the vehicle you will be driving.

Know the hidden details

Buying a new car is an important decision, with a major part of your savings at stake, you ought to know even the minutest detail involved in the process. Dealer invoice reports will give the dealer’s cost, along with hidden factory incentives and rebates that you are entitled to when buying new car.

When you have all this information with you, you can ask dealers for their starting quotes, and you’ll be able to identify any unnecessary costs. The dealer will know that you’ve done your homework and are quite serious about finding the best car deals.

Negotiation power

Provide a reasonable number to begin with during negotiation, by adding a specific percentage to the invoice price. Usually the dealer’s margin is not more than 8.7% as per recent research, and it would be wise to consider this factor when negotiating. Keep the dealer’s perspective in mind as they are looking to satisfy their customers but also expected to make a certain amount of revenue. Since you have your dealer invoice report, you will be able to identify what number to start with and what the ideal negotiated numbers would be for both parties.

3% – 5% Rule

A smart negotiation tactic would be to follow the 3 to 5% rule. Add 3-5 percent to the invoice price for the dealer margin. If you keep the expectations realistic and do your research, you will certainly be able to negotiate a price in your favour.

Looking for assistance when finding the best new car deals in Canada? Get your customized, free dealer invoice report from Car Cost Canada now and be ready to enjoy the big savings!