Post Friday 9/30 pricing...

1634 Views 20 Replies 14 Participants Last post by garyv, Sep 30, 2005

Peet

Discussion Starter · Sep 28, 2005

So I started posting this in another thread, but I figured it merits it's own. My situation is this. I expected a large payment from a client by now that was going to pay for the down payment on the car. Well, to make a long story short, the client won't pay up until late October now. I am trying to scrape together what I need to get a comfortable monthly for me. But, it may not happen this week.

What happens after Friday? I know that the 'employee pricing' goes away. The current price quotes I have from various dealers take that and some 'coupon' discounts into account. I have a couple of really great numbers on the hook, but if it goes over the 1st of the month - then what?

Would you dealers on the forum please chime in?

Many thanks to all in advance!
Peet

1 - 20 of 21 Posts

4drvette

· #2 · Sep 28, 2005

I have worked in the car business for many years. The factory rebates are just that: factory rebates. The dealer may be getting back end rebates but they won't always share that with you. :annoyed: If you are counting on the Employee Pricing discount, you need to act before September 30th. Otherwise the EPP discount may not be available. Scrape together what you can to make it happen or take a shot that GM will again "extend" the program.

Based on yesterdays actions of GM being rated as a "below junk bond" stock, they won't give these cars away forever. Just my 2 cents. I made the same mistake last December when the year end rebates stopped on January 4th and cost myself $3K in rebate savings...

VCONVERT

· #3 · Sep 28, 2005

No problem - just get a bridge loan for the needed amount and then when you receive the payment from your client convert to a conventional loan with a more comfortable payment. It's definitely worth it to buy now with the employee pricing.

Drift-caddy

· #4 · Sep 28, 2005

What he said....

6104696

· #5 · Sep 28, 2005

just switch from "cash accounting" to "accrual accounting" and then the receivable is an asset against which you can take the loan. We won't talk about how that effects you on the "payables" side, though......

(not an accountant, so this is meant in jest)

Peet

Discussion Starter · #6 · Sep 28, 2005

heh. ok, I'm now in accrual accounting mode...

[open door]
salesman greets me "hello Peet, you ready to buy the V?"

"sure am I reply, but here is my balance sheet and receivables ageing report for downpayment"
[thrown through closed door]

alcast082

· #7 · Sep 28, 2005

Put it on a credit card and pay the credit card off when the cash comes in.:thumbsup:
it's only a month so you won't even incurr finance charges.

6104696

· #8 · Sep 28, 2005

Peet said:
heh. ok, I'm now in accrual accounting mode...

[open door]
salesman greets me "hello Peet, you ready to buy the V?"

"sure am I reply, but here is my balance sheet and receivables ageing report for downpayment"
[thrown through closed door]

That would be perfect for you. Then you could just take the V as a settlement for your personal injury claim. I knew we could find a solution.

Peet

Discussion Starter · #9 · Sep 28, 2005

Rotflol!

MontySkull

· #10 · Sep 28, 2005

You can always refinance after your initial purchase.

CVP33

· #11 · Sep 28, 2005

Peet said:
So I started posting this in another thread, but I figured it merits it's own. My situation is this. I expected a large payment from a client by now that was going to pay for the down payment on the car. Peet

Peet,

I feel for ya' man. I too was once a man-whore. Put aside a little from each "trick" and then after you save enough from your "johns/janes", providing you avoid your pimp, you will have enough for the down payment. Just trying to help.

Signed,

cvp (former man-whore)

DILLIGAF

· #12 · Sep 29, 2005

I think GM will need to extend their employee pricing till the end of the year if they intend to sell cars before Xmas.I keep getting e-mails from dealers(hurry buy now stuff).I wonder how they'll sell cars without employee pricing.Give them a post dated 3 party check it should work.

Slywun

· #13 · Sep 29, 2005

I frequently watch Autoline Detroit (Speed Channel) and on a recent show (I think it was 9/18), they were discussing the "employee pricing"offered by the big 3. They described it as a brilliant idea that was just another sales tact with a different name, that wasn't necessarily a better offer than traditional rebates/incentives, but because of the title, was extremely successful. Not sure how accurate it was, but interesting none the less.
http://www.theautolink.com/autoline/archives_2005.html

Peet

Discussion Starter · #14 · Sep 29, 2005

CVP33 said:
Peet,

I feel for ya' man. I too was once a man-whore. Put aside a little from each "trick" and then after you save enough from your "johns/janes", providing you avoid your pimp, you will have enough for the down payment. Just trying to help.

Signed,

cvp (former man-whore)

Not at all entirely sure how that helps, but my john happens to be one of the top 3 tool manufacturers in the U.S. We'll leave it at that. Being the business owner, I'm the pimp too (kinda like how that works). The tricks are .aspx and .asmx in nature. Anyone need any?

CVP33

· #15 · Sep 29, 2005

Peet said:
Not at all entirely sure how that helps, but my john happens to be one of the top 3 tool manufacturers in the U.S. We'll leave it at that. Being the business owner, I'm the pimp too (kinda like how that works). The tricks are .aspx and .asmx in nature. Anyone need any?

Ok you lost me at top 3 tool. :thumbsup: Good luck on the V.

euclidjr

· #16 · Sep 29, 2005

Peet said:
. . . What happens after Friday? . . .

After Friday? It gets easier to get a good deal IMHO. The employee pricing has actually made it hard on savvy buyers to identify and obtain a good deal. The employee pricing is just a blended manufacturer incentive and dealer discount off of MSRP - we just don't know how much. As a result, it is hard to determine where to shoot for in terms of price below invoice with the incentive.

Furthermore, with the employee pricing, dealers are being compelled to give a discount to everyone who walks in the door. (The good news for dealers is that a lot of people think it is no haggle pricing - not so.) As a result, they aren't getting the high dollar sales at or near MSRP that make it easier for them to take a deal at or below invoice.

Accordingly, I think we will continue to see some form of incentive from GM - particularly on '05s - after employee pricing ends. The pricing on a 52,685 V is about 1,300 below invoice and I have had offers to go 1,000 below that. I'd like to think that a high-dollar car like the V will pull a 3-4,000 incentive next week (but I may be crazy - anyone know what they did last year with the '04s?) which could garner you a better deal.

Remember, dealers always want you to buy today and always want you to believe that an offer is only good for the next 20 minutes while the sales manager is in a good mood because his wife took care of business last night.

Good luck,

Rich

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barry007

· #17 · Sep 29, 2005

Peet, do what i did - assume a payment from someone who is in financial hardship, divorced, or just doesn't love the V...that way you have no out of pocket expenses and can enjoy the V immediately.

My .02
B

ps
i'll sell you mine for 65k (trying to keep resale up there

)

Peet

Discussion Starter · #18 · Sep 29, 2005

man oh man, dealers... I went in yesterday to get my car appraised and talk turkey. First they quoted me 46.2 on an 05 silver with shocks. Nice price no doubt. On the way there, I stopped at a different dealer. Had an 05 redline with shocks for 46.5 and was willing to talk too. Hmm I said to myself. That's a $1k option, means that if it was a silver, logically it would be a 45.5 car.

Anyhow, went to the non red dealer who is closer. My trade is an 05 G35 MT with 4400 miles. 38k new. They offer me 26 on trade and list the selling price of the V as 47.6. Of course all they told me was the extremely high monthly, to which I insisted I see the components of the sale. I blew my stack. After working with them for a week, they backpedal on their selling price and slap me twice on trade. NADA Black Book on my G is 31500 with no options. Mine has low milage and every option. Should be a 33-34k seller at wholesale.

This will be the fourth car I buy this year (long story), I've never been treated this poorly. URRGH.

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Koooop

· #19 · Sep 29, 2005

2005 Redline, Roof, 8,000 miles...$36,200 hammer price at yesterdays auction.

Peet

Discussion Starter · #20 · Sep 30, 2005

yowch. crazy numbers. I honestly feel for everyone here that paid higher pricing. I typically am that person whenever anything non-automotive is involved. Apple 21" cinema display $5,000 been there, $6,000 projection HDTV (now worth $800) still there, and my recent favorite, HDTV Tivo $999, week later $495, two weeks later find out it's being discontinued by Directv. Yea. There too. I've got emails out to every dealer in the area I'm interested in. We'll see what comes back.

Cheers.
P

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