Car Prices Blogs


How to Figure Out the Actual Price on a New Car

August 29th, 2011

The actual new car prices of all models sold today can be tricky considering that dealers will do anything in their power to earn a marginal profit.

Nothing bad about that. Besides, dealerships need to earn money in order to continue providing the best service. However, figuring out the actual car prices will further help you save money on a new car. Remember that it is possible to save money on any type of car. Whichever model or marquee you choose, you need to perform some research in order to effectively negotiate the price of the car and come up with a price that is considered ample for both you and the car dealer.

With that in mind, you will need to determine the dealer invoice and true dealer cost. The dealer invoice indicates how much the car dealer had to pay for the car while the true dealer cost integrates the dealer invoice to come up with a real on-the-road price.

The true dealer cost can be obtained by performing the simple calculation below:

True Dealer Cost = dealer invoice + destination charges + vehicle options – holdback

The true on-the-road price or actual price can be computed as follows:

Actual cost = true dealer cost + taxes and licensing – rebates

Ask for a free quote and obtain the dealer invoice to accurately figure out the actual price on any make and model of car.