I'm incensed by "dealer mark up" on new cars. How about you?

[WarGamer]

We bought our first Toyota back in maybe... 2003? Then maybe around 2010 the local dealer was bought out by a new group.

When we were shopping for our 2012 Prius, every car on the lot had a small $1000-3000 dealer mark up added to the MSRP. Oh and they also were charging the $895 for "Paint Protection and Security Package" meaning another worthless markup.

Starting then, we travel 30 miles to another Toyota dealer where they sell at sticker price.

We've bought 3 more cars from that dealer since then.



And now... I've seen ridiculous mark-ups. Ford released their new crappy Bronco (check out the QC issues) and were asking up to 20k over sticker.

WHO pays over dealer price???

I mean, I guess I can understand if it's a 2023 Corvette Z06 or something... but for a Camry or a Tacoma?

[Kali]

1. is the new Bronco crappy?

I kind of like the way they look. I have an old one I inherited but it is a huge useless beast. I swear my Kia Soul has more interior room and 4 actual doors!

[doc03]

7. I had the old Bronco 1973 it was like a mountain goat

but rusted out in 3 years. The new ones certainly look nice but there is no way I would pay over sticker for one.

[ProfessorGAC]

19. Cars Rusted Much Worse Back Then

Everyone over 50 probably remembers a 60s or 70s cars that were 10 years old.
Rocker panels had holes, fenders rusting from inside out, roofs, trunks & hoods oxidizing.
One of our cars is a 2006. You would need a magnifying glass to spot any rust.
My 1973 Pinto, which I sold to my cousin in 1977, had some rocker panel rust when I sold it. 4 years vs. 26!
Coatings are SO much better than back then! Especially the clear coat that protects the paint. Plus, the electropriming process was a game changer.
Cars are actually built now to not become rust buckets.

[doc03]

20. I get a kick out of the old timers that worship their muscle cars.

Yes they were easier to work on but they rusted out in a couple years and weren't much good for over 100,000 miles.
You had a radio and heater, not much to break. Then they say they were made out of real metal but they were death traps in a wreck.
The fit and finish was terrible. I always say the Japanese taught the American companies how to make a good car.
Today they can get more HP out of 4 cylinder engine than the muscle cars did out of a V8.

[ProfessorGAC]

23. Japanese Cars

They took American principles of design & quality then shoved them down Detroit's collective throat!
They developed very little new. But, they didn't ignore those principles.
US manufacturers did.
Japan taught them a lesson the hard way.

[SoonerPride]

2. Supply and demand

Supply is low and demand is high, thus outrageous markups on new cars.

Buy a quality pre-owned car from Carvana instead.

[Lucid Dreamer]

13. Carvana caught my attention last year...

when I was considering replacing my 2006 Sienna van.

The system seemed pretty smooth, but I've always done "bargaining" and sorted of hated to give that up.

Eventually I had my van repaired, but I am curious about the Carvana experience you had.

[SoonerPride]

15. I haven't actually bought from them. I *almost* did

But then ended up buying a new car, but that was in 2019.

I would prefer the no-haggle experience myself.

[DetroitLegalBeagle]

3. people who can't or are unwilling to wait pay over msrp

There is a shortage of new vehicles which puts pressure on the used market. My buddy had to pay over MSRP on his truck because his lease was up and they weren't extending it. It sucks, but some places will still sell at MSRP. My brother is looking to buy my niece her first newer car for a graduation gift this year and is already concerned at both the cost and lack of options.

I mean, I guess I can understand if it's a 2023 Corvette Z06 or something...

Made me laugh because I feel the same way. Luckily my wonderful wife surprised me for Christmas and put a deposit down on the new Z06 for me last year. Kept it a secret for 9 months. For a half second I wanted to tease her for preordering before even seeing the product (she razzed me a few years ago for a video game I preordered, Fallout 76). But I thought better of it lol. Got it in writing that it would be sold at MSRP. Sold my 2018 Z06 last summer because I had planned on buying a C8 this year anyway. Guess I will be waiting another year though, the dealer says I likely won't have mine till January at the earliest.

[WarGamer]

6. Oh hell yes...

Enjoy that beast!!!

[DetroitLegalBeagle]

12. Oh I will

I loved my 2018. But we rented a 2021 C8 while in Las Vegas last summer. It was amazing. Even she fell in love with it. Prior to that, she just tolerated my Z06 because we had a deal that I could have that car if I sold my bike. But she had huge smile on her face while were driving the C8 and an even bigger one when she drove it!

[doc03]

4. A friend's sil bought a new Chevy pickup he got $250

on the sticker. But due to the chip shortage some of the options will not work until he gets a new chip.

[doc03]

5. A friend's sil bought a new Chevy pickup he got $250

on the sticker. But due to the chip shortage some of the options will not work until he gets a new chip.

[sdfernando]

8. I've never even paid MSRP always get lower price. /NT

[forthemiddle]

9. We were set to buy a 2022 Toyota RAV4 Hybrid

We had agreed to pay sticker, because they gave us a pretty good trade in. When it came time to sign the papers it was $7,000.00 over stickers.
We walked out!

[WarGamer]

10. good for you. Screw 'em

[spanone]

11. Used cars are crazy too.

[keithbvadu2]

16. Two versions of the Bronco

[MineralMan]

17. That's why we bought a new 2021 Chevy Trax last July.

I could see a shortage of new cars coming. I noticed that 2022 models were nowhere to be found. So, I picked a relatively unpopular subcompact SUV with AWD and started searching. I found ours "in transit" at a local dealer with the normal sticker price listed. So, I went there and bought it, sight unseen for a cash sale and wrote a check that day. We picked up the car three days later.

That was the last Chevy Trax that dealer had for six months. 2019 and 2020 used ones were selling for more than we paid.

It has turned out to be a good little car, too.

[liberal_mama]

18. My husband works at a large auto dealership and they hardly get any new vehicles now

This has been going on for most of the pandemic. As soon as they get any new vehicles, they are sold immediately for high prices. I hope the situation gets better soon as his paychecks are about half of what they used to be.

He took me for a drive by the dealership on Monday to show me how the lots were empty when a few years ago, they were packed full. This isn't a small dealership either. Prior to the pandemic, they had 800 employees.

[Dial H For Hero]

21. Why would I be incensed about supply and demand?

[Hassin Bin Sober]

22. I bet you don't mind getting a "deal" when the dealers are stuck with a glut or year end.