[Dimitris]

Hello,

I am interested in buying a new Toyota Yaris liftback so yesterday we went with my wife to a car dealership. We had a look at the car and we really liked it however for a stripped automatic version he came down to a price of $11495 without tax but including all the rest of the fees.

Although he wasn't very pushing he kept saying that this is an amazing deal and that we should get it otherwise it will be gone because its the last 2007 model yada yada yada. My wife really wanted to reserve it putting some money down, however since it was the first time we went to the dealer and given the fact that it was dark and we haven't test driven it I wanted to go home and think about it.

The price was matching an advertisement they put on a paper one week ago however we have seen that if you are a student you can get a $1000 rebate. When we asked for it what they did was up price the model and give us a $400 rebate which took it to $11495 without sales tax. I thought it was bit lame but anyway the price was good so I didn't say anything.

Given the fact that we don't really need a car right away cause our current cars still work (knock wood) is there something more I could do to get a better price or what other tips do you guys have for me. Please note that we haven't checked other brands yet but I dont think I would mind paying a bit more for a better car (better equipment or slightly bigger).

Also we are interested in finance options cause I am going to grad school this September and unfortunately we dont have loads of cash sitting around. Is there a way to get lower APR or even 0% APR in such a small car?

Thanks a lot!

 

[stevenkelby]

I don't know how finance works over there but I do know cars. They Yaris is a fine car. Have you looked at the Honda Jazz? I think it's Jazz there, maybe Fit? Anyway, I prefer them to the Yaris in that class but either is a "good car". Definitely test drive as many different cars as you can for as long as you can. It amazes me that people won't buy jeans without trying them on but they'll buy a car without driving it! I'm sure not you, but I a lot of people want a certain car for the looks and image and don't care how it drives. Fair enough for them I guess. Buy some car mags to, do a bit of research. Mags are cheap and the net is free. Don't rush into anything until you are sure you have exhausted all possiblities.

As for negotiating, do you have a few dealers around? When buying a new car I spend time at many dealers and get their best price, trying to figure out the absolute minimum they will sell it for all inclusive, on the road, tank of fuel, floor mats if you want them, everything. Lets say $11495 for your dealer. Then I go to different dealers and ask the price. Then ask if they can sell the car with the same options, etc. for say, $11,000 or whatever as thats all I have finance for and I can sign today if they will do it at that price. Be sure you have finance and be ready to buy! The point is, there is a minimum price they will sell for. In your case it may be $11495, or it may be $10495. I want to get as close as possible to that minimum. Just have to work out what that low price is.

Most people can't be stuffed with this and just pay the price though,and fair enough.

I'm not tight with most other things at all but I can't stand paying more than the minimum for a car as I have been in the industry and know how it works, they're all snakes!

Good luck!

 

[laxx]

Next time you go to a dealership, don't bring up the rebate until after you've settled on a price and am ready to buy. Dealerships HAVE to give you your student rebate and it's applied BEFORE tax. Toyota reimburses them the money, so don't let them jerk you like the last guy did.

Also, negotiate an out the door price (car price + TTL). You don't want to get hit up with random fees here and there, so settling on an OTD price will eliminate that.

Do also remember that after you settle on a price, most dealerships will try to change it when you sit down with the Finance Manager (when you're in "the box"). Don't let them do it. Just walk out if they do.

Also, don't buy extended warranty. You can get it anytime during the standard warranty, so why add an extra ~$1000 onto your financing. It's a waste to pay the interest on that $1000 when your existing warranty isn't even up yet. If you plan to get it, just pick it up a month before the factory warranty expires. It'll save you some money in the long run as you're not paying X.Y% interest on it.

 

[plus_c]

Quote:

Originally Posted by stevenkelby /img/forum/go_quote.gif I don't know how finance works over there but I do know cars. They Yaris is a fine car. Have you looked at the Honda Jazz? I think it's Jazz there, maybe Fit? Anyway, I prefer them to the Yaris in that class but either is a "good car". Definitely test drive as many different cars as you can for as long as you can. It amazes me that people won't buy jeans without trying them on but they'll buy a car without driving it! I'm sure not you, but I a lot of people want a certain car for the looks and image and don't care how it drives. Fair enough for them I guess. Buy some car mags to, do a bit of research. Mags are cheap and the net is free. Don't rush into anything until you are sure you have exhausted all possiblities.

This is good advice. The Honda model is called the Fit here, and it is a very good car. However, the Fit is also a few thousand dollars more than the Yaris.

Have you considered buying a year or two old used car? The now-discontinued Scion xA and the first-generation Scion xB are very similar cars, and you might be able to get one of those with better content for about teh same price.

 

[no1likesme]

Quote:

Originally Posted by plus_c /img/forum/go_quote.gif Have you considered buying a year or two old used car? The now-discontinued Scion xA and the first-generation Scion xB are very similar cars, and you might be able to get one of those with better content for about teh same price.

used car ftw!

Although I wouldn't buy one the xb is pretty cool lookin.

 

[RYCeT]

Hi Dimitris, good choice on getting last year model, you can get a great deal on it. The things you should keep in mind, "everything is negotiable" and "don't be afraid to be rude & walk off if they can't give you what you want."
Dealing with car salesman is war and you have to be prepared for it or you'll be taken for a ride. I learn it the hard way the first time I bought a car. 2nd time, I learn my lesson got a great deal on it.

These are some articles you want to read before you buy

10 steps to buying a new car
Negotiating 101

This is what I do the 2nd time.

I get an car loan pre-approval (w/ loan amount & rate shown) from my bank or other financial institution.
I research the car that I want, get their invoice price from Edmunds.
I determined what model, color & options that I want and type it on paper.
I faxed that detail with my fax number (do not include your phone number) on the bottom to every local dealers and told them to give me a good final price, break the cost down individually & faxed it back to me.
Compare each offer, take 2 of the lowes offer, go to the 2nd lowest and provide them with the faxed copy of the lowest and ask them to give you their best offer on paper and then go to the lowest offer & ask them to do the same.
When you've decided to buy and start talking about financing, provide them with your pre-approval paper and ask them if they can beat that terms.
When you've got everything and start signing paper, don't take a relief yet, it's not over, see each cost break down individually, and question them if you do not understand what it is for, get them to remove/reduce it if their answer is not acceptable. It's not uncommon for dealership to take advantage at this point.
Last thing, congrats on yourself on your great deal new car.

I got lucky on my 2nd time buying a new car, they got financing promotion. My rate was 1.9% on a last year Civic model with a great bargain.

 

[Dimitris]

Thanks a lot guys! I will definitely try to see more models and test drive the cars too. The good thing is that we don't need a new car right away so we can shop around for a while.

 

[laxx]

Also, don't buy from the dealer you test drive from.

 

[craiglester]

you'll be lucky to get a decent XB for that money.. they hold their value surprisingly well and dealers know this.. you'd need to go private to get one for that kinda change.

 

[nfusion770]

I pretty much agree with what RYCeT posted. We purchased our last 2 new cars over the internet. We narrowed it down to a few options and took them for test drives. About a month later, when we were ready, we emailed the local dealers and received quotes within $100 of Edmunds TMV. Brought in our own financing (unless there is a manufacturer deal) and drove off as painless as can be. I guess you could negotiate the last $100 or so if you like that kind of stuff.

Good luck.

 

[ken36]

I always buy a one year new Toyota Avalon. Traded in to dealer by a valued repeat customer. Pay cash. December. Keep car 5 years.
Do it again.

 

[soundboy]

Have you check into the Nissan Versa?

I looked at the Honda Fit several days ago and it is certainly a great car. Great gas mileage, Honda resale value and reliability, easy to get in and out of, and perhaps more importantly for me at least, all the safety features such as 6 air bags. Heck, it even had more room for my sister's dog (with the rear seats folded down) than my mom's 2005 Toyota Highlander. However, it's several thousand dollars more than the Yaris you are looking at.

Definitely stay with 2007 models at this time of the model year. Absolutely do NOT buy an extended warranty....you're considering a Toyota after all. I stupidly got a $1,800 7 years/100,000 miles extended warranty from Toyota for my 2001 Camry that just expired as the car went over 100,000 miles with not one problem. Luckily, I can get my money back since I didn't use the warranty at all. However, I wonder what kind of hoops I have to jump through to get the money back (and without any interest accrued).

 

[mrarroyo]

Have you tried one of the online companies?, like: www.carsdirect.com

 

[3x331m]

Try to find out the real invoice price. If you're armed with that information, you're in control.

 

[slick]

A popular car can be hard to get a discount on. Ask people that bought the first batch of 2006 Civic's. Dealers couldn't keep them on the lot, and they sold at MSRP.

If you see people driving a Yaris, ask them what they paid if you can. I mean, just because some person got a great deal on a Yaris on the other side of the country, doesn't mean you will either.

If the Yaris sells for an average of $1000 under MSRP, then really, thats your goal to shoot for when dealing.

In the end, if its in your budget and YOU are happy, leave it at that.