Is this fair? Dealer offer on our trade

Springerdad · 08-15-2018, 09:03 AM

So,,,,, we are working a deal on another 5er. It's a long story, but I'll cut to the chase. Dealer makes initial offer which is not good. 12% off MSRP on their unit, and close to 50% of the retail value of our trade. I counter, offering 30% off MSRP on their unit, and they give us 70% of the retail value of our trade. Dealer comes back with 30% off MSRP on their unit, and 30% off,,,,, not retail, but average sale price of our unit, which is lower than their original offer for our trade. Why 30% off MSRP but not 30% off our trade's retail number? Am I expecting too much? I realize they are in busness to make a profit, but,,,,,, please educate me. Btw, I just bought a new truck, and the dealer gave me close to retail on my old truck, and discounted the new one heavily. There, I felt like I got a fair deal.

Ilovemywife · 08-15-2018, 09:07 AM

What is fair is a personal feeling. In many states there is a sale's tax advantage on trading in a vehicle and dealers often take advantage of that.

Why don't you hold off a bit and try to sell your unit online? I've had decent luck on craigslist but be prepared for stupid crazy offers and people making offers who aren't able to qualify for RV loans.

Springerdad · 08-15-2018, 09:10 AM

Quote:

Originally Posted by Ilovemywife

What is fair is a personal feeling. In many states there is a sale's tax advantage on trading in a vehicle and dealers often take advantage of that.

Why don't you hold off a bit and try to sell your unit online? I've had decent luck on craigslist but be prepared for stupid crazy offers and people making offers who aren't able to qualify for RV loans.

Yes, we are considering selling online. Thanks for offering that up.

W5CI · 08-15-2018, 09:24 AM

MSRP is a VooDoo number. Don't worry about the numbers except for the difference. that is all that counts. If you aren't happy walk away there will be another deal waiting for you down the road

IsleDog · 08-15-2018, 09:48 AM

when we traded in our popup we received some stupid low offers from several dealers. we went back and forth and even did their homework for them, showing them what the retail selling prices were at other dealers. we were offered less than 50% of what they ended up selling it for, we worked that up to getting 75% of what they eventually sold it for. also check other dealers and see what they are selling units for and point that out to them. do not be afraid to pull out your phone or what have you and show them face to face. the MSRP is a made up number, just like dry camper weight and dry tongue/pin weight. our new camper was about 40% off of the MSRP. but we knew what a fair price was because we had looked nation wide at all of the pricing. you can also ask them to sweeten the pot if you will with add ons and extras. we got a screen for our ramp door installed. cost to us was around $300. dealer cost is probably $100-$150, labor included.

Springerdad · 08-15-2018, 10:17 AM

IsleDog - thanks for that. We did check several dealers online within 200 miles of home and found most were offering them at close to the same price. What method did you use to do your sales search? Is there a website?

Scotrv · 08-15-2018, 10:21 AM

Quote:

Originally Posted by W5CI

MSRP is a VooDoo number. Don't worry about the numbers except for the difference. that is all that counts. If you aren't happy walk away there will be another deal waiting for you down the road

Not sure why you think the MSRP is a "VooDoo number. We will show our customers the MSRP sheet that came from the manufacturer on any new unit.

I do agree with you on the difference is the only number that matters. Simple fact is the more a dealer discounts the unit they are selling the fewer dollars there are to put on the trade.

JohnD10 · 08-15-2018, 10:27 AM

And don't forget that if you still own on your trade-in, that will also affect the end deal.

NMWildcat · 08-15-2018, 10:37 AM

When looking for a new RV, we find the model we want and then do a Google search. We buy from the dealer with the cheapest out the door price no matter where it is. You can do everything remotely with today's technology. Even did walkthroughs via skype.

30% off of MSRP is a starting place. The only reason to trade is because you don't want to deal with selling it yourself. You will always make more selling it yourself if you are willing to work a little.

We also never go back to any dealer for warranty work. Use an independent service only shop/mobile. They will get pre-approval, do better work, and take hours/days instead of weeks/months.

Good luck!

IsleDog · 08-15-2018, 10:40 AM

Quote:

Originally Posted by Scotrv

Not sure why you think the MSRP is a "VooDoo number. We will show our customers the MSRP sheet that came from the manufacturer on any new unit.

I do agree with you on the difference is the only number that matters. Simple fact is the more a dealer discounts the unit they are selling the fewer dollars there are to put on the trade.

this may come off as confrontational, but it is not meant to be. I just pulled up a random camper at two different dealers that are several states away from each other. they both list the MSRP and then what i will be "saving" with their special price. nobody is buying these at the MSRP unless they are suckered into it and the dealer is raking them over the coals. EVERY dealer tries to to make it look like you are getting the best deal out there, saving you thousands. when in reality, nobody uses the MSRP. call your insurance agent the day you buy it. if we got such a smoking deal off of MSRP, it should be insured for MSRP. surprise, its not. its covered at the replacement cost, which is the sales cost.

IsleDog · 08-15-2018, 10:46 AM

Quote:

Originally Posted by Springerdad

IsleDog - thanks for that. We did check several dealers online within 200 miles of home and found most were offering them at close to the same price. What method did you use to do your sales search? Is there a website?

as others have said, look nation wide. you may find a better rate. you can get service at a mobile rv tech or dedicated rv service center close to home. we looked at the usual suspects, CW was off the list right away. but RV trader was a starting place. otherwise, just google till you are 40 pages deep reading pricings. then start the email campaign to each dealer and see if they even want to play ball. if not, move on. when i bought my pickup, i drove 650 miles one way to get it because it was a great price for exactly what we needed. same truck in my area is 4000-6000 more. same can hold true for campers.

babock · 08-15-2018, 10:48 AM

Do your research nationwide on what these trailers go for and then start your negotiation with a dealer. Personally, I am willing to drive to buy one.

Once your negotiation is done with your new trailer, then see what the trade will be. You will find that you will make more money selling your old trailer yourself. It's up to you if the difference between the trade and what you can sell it for is worth it to you.

JohnD10 · 08-15-2018, 10:53 AM

Most will want to trade in instead of sell outright for two reasons...

1) Still owe a lot of money on the trade-in and can't afford two payments at once.

2) Look around at all of the used RV's in your area.

If they are all over the place, your RV for sale might just sit in your driveway for years while trying to sell it.

Sometimes taking a hit at the trade-in is the better option.

Unless you are willing to deal on your old unit...or sit on it for up to a year or two!

Cypressloser · 08-15-2018, 11:01 AM

You know the MSRP, you can probably find the dealer invoice price here: https://seedealercost.com/products/c...egorySlug/recv
The NADA guide should give you an idea what your trade in is worth, wholesale and retail.
The negotiations are up to you.

NMWildcat · 08-15-2018, 11:01 AM

Quote:

Originally Posted by JohnD10

Most will want to trade in instead of sell outright for two reasons...

1) Still owe a lot of money on the trade-in and can't afford two payments at once.

2) Look around at all of the used RV's in your area.

If they are all over the place, your RV for sale might just sit in your driveway for years while trying to sell it.

Sometimes taking a hit at the trade-in is the better option.

Unless you are willing to deal on your old unit...or sit on it for up to a year or two!

And we have had the opposite experience. Used RVs are selling for more now because of the overall demand for RVs. Lately we have had three friends sell their RVs within days of posting them. And for bluebook or better. Of course they were in good shape and well taken care of.

And for your other points; if you owe more than it's worth, then you can't really sell or trade. If you are upside down in your trade, then you will be even more upside down on your new RV. And I don't know of anybody who buys a new RV before selling the old one. Just doesn't make sense.

RobinDella · 08-15-2018, 11:35 AM

Quote:

Originally Posted by IsleDog

as others have said, look nation wide. you may find a better rate. you can get service at a mobile rv tech or dedicated rv service center close to home. we looked at the usual suspects, CW was off the list right away. but RV trader was a starting place. otherwise, just google till you are 40 pages deep reading pricings. then start the email campaign to each dealer and see if they even want to play ball. if not, move on. when i bought my pickup, i drove 650 miles one way to get it because it was a great price for exactly what we needed. same truck in my area is 4000-6000 more. same can hold true for campers.

That's what we did searched and researched nationwide for a year. Found what we wanted and found it at dealer 200 miles away. Even did negotiation on the phone. No need to go to dealer as we walked through that model at local show. MSRP? we didn't even care about that number as it is so way out of the average paid price. They inflate that number then tell you "Look! you're saving $25000 of the msrp!"...uh yeah ok

wanderingbob · 08-15-2018, 11:41 AM

Out the door trade difference is all that matters ! Dealers have to make a profit or they will be gone . The amount of profit is were the fights start !

Springerdad · 08-15-2018, 11:55 AM

Quote:

Originally Posted by wanderingbob

snip - Dealers have to make a profit or they will be gone . The amount of profit is were the fights start !

Agreed.

My angst was over the fact that they wanted to discount my trade by the same percentage as their unit,,,,, ok,,,,, I get that,,,,,, but based on low sales record rather than NADA list price.
It just didn't feel like an apples to apples deal.

NMWildcat · 08-15-2018, 12:14 PM

Is is interesting to watch how different the numbers are with and w/o trade

. My friend likes to make the deal telling the dealer there will be no trade. Then when that is almost final, throw in a trade. It never seems to work well for him, but he enjoys it

We always seem to come out ahead selling our old one first. Then the deal on the new is so much more straightforward.

poriggity · 08-15-2018, 12:24 PM

We just bought our 2019 no boundaries 19.5 a couple of weeks ago. I searched high and low locally for the unit we wanted. The only local dealer that had one was not willing to budge off of the 27k msrp. We ended up buying one in Missouri from a dealership there for $20k out the door. Of course we were also fortunate that we were flying out there to visit family, so we got to personally inspect the unit before purchasing, and my parents are currently on the way to us to deliver our trailer. We live in Reno, Nv. I would have driven to missouri to pick up my trailer if I needed too, since I saved $7000 off of what my local dealers wanted to charge.

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