Good deal on a "demo"?

[nomadx]

My local dealer doesn't have much inventory, so I'm willing to drive to find the right car. A dealer 4 hours away has a "demo", supposedly driven by their GM. It's a 2019 GT2 SWP AWD with red leather. It has 6700 miles. They want 45900 out the door; all TTL included. They will also throw in a lifetime powertrain warranty, good at any dealer. Good deal? They sent me a carfax and all looks clean. Let me know your thoughts. What am I not questioning? Thanks, folks.

 

[Travis Wills]

A brand new one with less than 10 miles on it should be around that price out the door but only with the zero percent financing for 6 or more years.

With that many miles on it you should consider it to be a used car. The Stingers are depreciating pretty hard right now.

 

[eflyguy]

Agree with above. That is a used vehicle, and you should be able to get a new 2020 for around what they are "offering.."

 

[nomadx]

A brand new one with less than 10 miles on it should be around that price out the door but only with the zero percent financing for 6 or more years.

With that many miles on it you should consider it to be a used car. The Stingers are depreciating pretty hard right now.

I assume you mean a new '19. I've gotten quotes on a new 2020 GT2 and the best quote I got was 50,200 out the door.

 

[nomadx]

Agree with above. That is a used vehicle, and you should be able to get a new 2020 for around what they are "offering.."

I wish I knew the words to use to get them to that pricing on a 2020. Hasn't worked for me. Keep in mind, the 45,900 includes roughly $3400 in taxes.

 

[Travis Wills]

I assume you mean a new '19. I've gotten quotes on a new 2020 GT2 and the best quote I got was 50,200 out the door.

Yes I was specifically speaking of a 2019. They are much less willing to deal on the 2020 models. However, the differences between a 2019 and 2020 are so insignificant I would always choose the massive discounts with the 2019 cars.

 

[jellyman]

I bought(lease buyout) of my brand new MY19 GT2 in Jan '20 for $37.5k before TTL+fees. You should be paying lot less than $45.9 otd for what is essentially an used car. Dealer I bought my car has 20 GT2 advertised for $45.6k+TTL before any negotiation. They have 5 GT2's in stock around that price.

 

[eflyguy]

I wish I knew the words to use to get them to that pricing on a 2020.

That's your problem - you're talking to a dealer who isn't willing to work with you.

I bought my Stinger from a dealer 8hrs away, flew up (they picked me up from the airport), drove it home overnight.

 

[Edders]

Agreed with everyone else. Email everyone, as far as you are willing to buy, and then pit everyone against each other. That's what I did; it gave me the confidence to feel like the price I am (maybe) settling on is a great market price.

For a bit of background, I emailed about 20 or so dealerships around 100 km from me.I ended up dealing with 7 dealerships, which competed for my trade ins and sale price. I found out that new car prices are low (Invoice in Canada for the GT2 is $49,100), but so are trade in values. In fact, I think that next month when wholesalers take stock on how slow the car industry is moving, I expect a big fall in used car prices.

I'm a bit spoiled though, coming from Canada. I'm close to signing a deal here for the Limited, which is really a fully loaded GT2, $49,150... Canadian. That price and 1.9% financing (0.9% if you want 60 months), and first 120 days no interest payments.

At the same dealership, a new 2019 (rare) can be had for 0% financing for 84 months!

 

[nomadx]

Thanks, everyone. Luckily, i'm not in hurry to buy a vehicle. I let the dealer know that three thousand less would seal the deal. They weren't up for it. Back to my search. Have Kia imports slowed due to Rona?

 

[eflyguy]

I've read auto sales are down at least 25% across the board. Imports were scheduled and in-motion before this crisis happened, it's a several-month-long supply chain that doesn't suddenly stop when you yank the plug at the source. There will likely be even bigger incentives on the excess stock of unsold 2020 vehicles as we move towards the 2021 model year, which would drive demand for used vehicles even lower.

I wouldn't be paying new 2020 prices for a used 2019.

BTW, a few weeks ago, just for fun, I did the kbb best offer thing. My identical 2019 GT2 is better than showroom condition and has less than $8000 miles. It's worth $34k.

 

[nomadx]

I've read auto sales are down at least 25% across the board. Imports were scheduled and in-motion before this crisis happened, it's a several-month-long supply chain that doesn't suddenly stop when you yank the plug at the source. There will likely be even bigger incentives on the excess stock of unsold 2020 vehicles as we move towards the 2021 model year, which would drive demand for used vehicles even lower.

I wouldn't be paying new 2020 prices for a used 2019.

BTW, a few weeks ago, just for fun, I did the kbb best offer thing. My identical 2019 GT2 is better than showroom condition and has less than $8000 miles. It's worth $34k.

Sounds like it's best to be patient for the right deal. A new car is never an investment, but that's a significant drop in value. I intend on driving it until it no longer runs. The only reason I will stop driving my '11 optima SX is that I'm giving it to my 16 yr old daughter.

The dealer kept calling the "demo" new, because it was never actually sold and stated he couldn't come down that far on a "new" car. Sorry, it's not new!

 

[MerlintheMad]

The dealer kept calling the "demo" new, because it was never actually sold and stated he couldn't come down that far on a "new" car. Sorry, it's not new!

Repeat something enough times and others will start to believe it. This dealer should be in politics. Hah.

You'll find a realistic, ethical dealer and then we'll all hear about it (and see pics of your new ride).

 

[stasek]

Sounds like it's best to be patient for the right deal. A new car is never an investment, but that's a significant drop in value. I intend on driving it until it no longer runs. The only reason I will stop driving my '11 optima SX is that I'm giving it to my 16 yr old daughter.

The dealer kept calling the "demo" new, because it was never actually sold and stated he couldn't come down that far on a "new" car. Sorry, it's not new!

You gotta love the way BMW does things with their demo/loaner cars. As long as the mileage is under 5k miles, the car doesn’t take too big of a hit in residual value (already inflated) and qualifies for new car rebates. 20% off MSRP plus rebates on a $45-$50k 3 series will get you close to $200/month lease (especially if you qualify for loyalty). Wish Kia followed suit...

 

[Lonz]

When I bought my 2019 AWD GT2 in October of last year, the dealership tried selling me a demo model, too. It had several thousand miles on it. I said, "No way! That's like getting a hot new girlfriend, knowing your buddy already banged her! No thank you!" They did a dealer trade, and I got it for $38,800 (this was my "adjusted capital cost."). I did the 24 month lease rebate trick, and then paid it off immediately. In my state, we pay taxes separately at the DMV when we title our vehicles.

Bottom line, for a 2020, you should be shooting for 10% off of MSRP, and then apply the 24 month lease rebate. Including the lease acquisition fee of $600, and a $199 dealer doc fee, you should be right around $39k for the "adjusted capital cost," which is the true price of the vehicle. This does not include tax.

Hope this helps!

 

[Edders]

39k is a pretty good price in America. I wish Canada had these "lease tricks", I would have saved a bundle!

 

[eflyguy]

Just to add to my earlier comment, I decided to dig a little deeper and seek out the official stats regarding new vehicle sales. (I had "read somewhere" they were down 25%.)

Compared to March 2019, the UK recorded over 40% drop, and the US right behind at just over 38%. I would not expect there to be much of an improvement in April.

This just further emphasizes how high the OP's "deal" was, but let's face it, who should lose the most in today's situation? The dealer still has employees to pay (most work on commission).

 

[Edders]

Yes, in this climate the original price was expensive. If you have a trade-in, however, you may have to consider your timing. According to the dealer I just dealt with, wholesalers are in flux right now, and it's hard to know how the used market will go, but it hasn't moved this month. If it stays flat, your trade in value may tank faster than MSRP prices. Or not, just what was told to me.

 

[nomadx]

So, I'll be picking up a 2020 SWP GT2 AWD with red leather on Saturday. I finally found a dealer that would work with me. The owner of the dealership drove it for 1900 miles, so they discounted to 45K and let me provide my own bank financing, which is better than what they had to offer after rebates. Super excited! I appreciate everyone's insight.

 

[nomadx]

I finally got stung! What a machine!