Are you all paying over MSRP?
 

Went to test drive today.
Liked it.
Sat down to buy, was willing to pay sticker with destination plus dealer fees. Then they added a market adjustment fee of 4995 and an "inspection fee" of 1895. I simply couldn't justify paying an extra $7k for nothing.

What are you guys paying?

375 under MSRP. You have to order one to get around the market adjustments while the car is this new.

Never, just wait.

And as a hopeful GR86 buyer, this is where I’m worried 😒 doesn’t seem like Toyota has anything like Subaru’s ordering system.

Nope, ordered the car back in September and my dealer was asking MSRP. Plenty of dealers out there, find one that doesn't play games with you like that!

I have purchased a lot of cars new that have been highly coveted over the years and have sold for over MSRP when they first came out... a '96 Viper GTS, a 2000 model S2000, a new '97 Plymouth Prowler...and so on.

I have NEVER once paid over sticker for one of them.

While I love my new BRZ, there is no way anyone should pay over MSRP for this car.

Thanks for the input guys. I'm glad I wasnt the unreasonable one. Frankly, the dealer tried to make me out to be an asshole for calling out those fees.

Let me guess. Pembroke pines Florida?

Yes, exactly. How did you know?

1k under, but i'm up in canada

I drove the black brz they had there and dealt with the salesman trying to sell it to me for 43k hahaha

Its a safe bet if there is a BRZ that is on a lot that can be test driven its either marked up a lot or in Canada.

I can order one now for whatever shows up on the Subaru website after doing the build. The next lowest I found was $3,000 over the MSRP. Under the circumstances, I think MSRP is reasonable. I got my 2017 BRZ $4,300 under. It was less than six months out of the factory when I bought it. I’m pretty certain I want to order a 2022 BRZ, but the question is should I sell my 2017 now for the crazy-damn-near what I paid for it offer or wait until the new one arrives and take a chance on the used market?

The manual one? I drove the same one lol. They tried to hose you even worse than me.

1500 under MSRP. Ordered 8-28. Getting on 12-11. I have bought 9 cars through them though.

it was 32k msrp plus 5000 markup plus 1800 "pre dealer inspection" scam plus taxes title tag coming out to 43k otd.

I drove to orlando and got a white limited for 34k otd.

that is a smoking deal, good for you that you have a strong relationship with the dealer. but man, that really reveals just how much profit there is to be made by a dealer even just selling at MSRP...

At MSRP the dealer gets approximately $2700-$2800.

Ya the whole "cars are expensive so dealers must make a lot" myth has been around a log time. As you know dealers make their real money on volume, add ons, service and financing not on the individual car itself.


Even the manufacturers make far less per unit than people think. For them it all volume.

As far as the places making it up that is simple supply and demand so good for them if anybody pays it but these "inspection" fees are just plain shady business.

That would not be "profit". Cash flow yes but not profit. The profit on the car comes after all the operating costs are removed. There is going to be very little "profit" from a car.

Is that a general rule of thumb, or is that specific to the BRZ/86? I always thought that these cars had a lower margin than most (as they are a niche/smaller volume car).

Ya, I was like “so you guys pay someone 2k to look at the car when it comes off the truck? Are you hiring for that job?” They weren’t thrilled.

Aye... A healthy business operates on around a 6% margin after all expenses, taxes, etc.

If the dealer buys the car for $30K from Toyota and then sells it for $32K, assuming a 6% margin, that would be $120 dollars in cash profit for the owner of the dealership.

But, assuming the amount of work is the same, if they can sell the car for $36K, the margin might increase exponentially and wind up being $2K or more in profit, depending on a lot of different factors.

But having a car like this is typically a rare situation. Most dealers make their money selling $20~50/mo warranties on both new and used cars, flipping used cars, kickbacks from banks when they get someone to finance the car for 7+ years at 8% APR, kickbacks from the manufacturer for selling at a certain volume, and selling accessories or getting Bob or Jane to spend $3K on a brake job they don't need.

The dealer could part with a BRZ for under MSRP, but if the sales manager does squeeze someone for that much over invoice, it might count towards his commission, assuming they aren't all salaried which I think a lot are anymore.

It’s specific to the BRZ. And that’s a BRZ Limited. The profit is similar to a midrange Impreza. A high end Ascent brings in 2x what a BRZ does.

Before the current market conditions, yes dealers made up more profit on deals with financing, maintenance plans, warranties, and the protection packages like wear and tear protection and paint protection. Sometimes the profit from those were more than profit from the car.

Honestly when a dealer pledges MSRP I always feel like there’s a catch. Especially if I’m paying cash or not planning to buy anything in the finance department. That’s why I have multiple deposits and back ups.

I ordered a Limited first week of Nov. Put down a $1K deposit to order it. Sticker is $32K. I was willing to pay MSRP but they insisted I pay $499 for a "Dealer Prep Package". I said fine drop the purchase price $500. He did. Total cash price with TTL and $1K destination is right about $36K.

In general, the more expensive a car is, the more profit there is (and correspondingly, more you can negotiate off MSRP). If you get a grand off a low-end car you are doing pretty well.


To answer OP's question - paid $500 under MSRP.


edit: actually $1000 off total because they got me the $500 cash bonus as well and just set up financing thru a bank instead of the dealers financing (same interest rate)

@OP, I paid over MSRP today (2k) on limited. Found a sapphire blue that the original buyer had backed out of and the dealership that I had originally reserved one with was telling me that the car was going to be 2.5k over sticker (was able to grab an unclaimed allocation in october).

Carvana's picking up my 2019 TRD (13k miles) for 1k less than what I paid for the BRZ tomorrow. Wasn't too bad, basically paying 1k + tax to go from the 2019 TRD to the new BRZ.

LA/OC area.

Also paid MSRP for an MT Limited, but honestly didn't even haggle so not sure if I could have gotten it down some. The dealer didn't try to tack anything on, and I figured MSRP was a 'good deal' given the current supply situation.

I ordered mine in Orlando and had a small chat woth the dealer today and was told that my brz had arrived. Asked if I had talked numbers and was told to expect some fees. They said all the other dealers in the area are asking for 4-5k in market adjustment and they’re only asking for 1k. Any idea what other fees they could be trying to ask for?

Shady. You should have received an itemized purchase agreement when you ordered the car. When I picked mine up they pulled that up and asked me how i wanted to pay/finance, nothing else.

Same, no games. They actually helped me safe $500 via calling Subaru Corporate for a loyalty coupon. MSRP -$500 thanks to them for having me do that.

I paid $26,600 for my premium. Was able to get no haggle invoice pricing through the VIP program.

I was able to pick up an unclaimed allocation in the pipeline end of Oct for MSRP. And picked it up last week. They are not doing mark ups at all but orders are out until past March. Not sure how far out they have sold their normal allocations.

I can confirm that as someone working for one of the nations largest privately owned dealership companies. All of the money is in the aftermarket warranty they provide, kickbacks from banks, and service work. Not saying they're bad people though, a lot of kind people work for this dealership company and I wouldn't hesitate to buy a car from them.

I've done that before. I basically say, "this is the price we agreed to, if you have other fees that you "have to charge" on the paperwork, then it comes out of the bottom line amount. You can call it whatever you want, but that's all I'm paying".

Welp, I thought I was paying MSRP but got upsold last minute on the classic dealer add-ons (wheel locks, KARR security etc.) At this point I was kinda too tired to argue/threaten to leave so I offered to get the extended warranty if they dropped the KARR security system.
Car was ~34k MSRP with accessories, +2k in dealer upsell nonsense (extended warranty), +3kish in Commiefornia registration. All around 39-39.5k out the door depending on if you include the $500 deposit.

I paid $1,000 under MSRP and also got a $600 coupon from Subaru towards the price.

Her in Calif they're all about 6-7K markup

Put a $500 deposit down last week for an order at $500 below MSRP in Missouri.
Expected delivery around March 2022.

Modesto Subaru is MSRP. Mine was just an available allocation, not an order even.