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Learn the Difference between the Invoice Price and MSRP to Secure a Great Deal on a New Car
If you are planning to r buy a car in the next 30 days, you should understand the difference between invoice price and MSRP. The MSRP is only the suggested retail price of the car, and the dealer can add several variables to hike up the selling price. On the other hand, the dealer invoice is closer to what the dealer actually paid the factory, giving you a fair selling price.
You can easily learn the difference between the invoice price and the MSRP by requesting a FREE online price quote. It does not matter if you want a car, truck, or SUV. It does not matter if you want to purchase or lease your new vehicle. Requesting a FREE online price quote will provide you with all the information you need regarding:
- The dealer invoice of the car that you want, so you pay less money for the same car.
- Updated pricing and discount information only from U.S. certified dealers in .
- Hidden rebates and secret incentives for huge savings, guaranteed.
- Special available financing and lease offers for bad credit applicants.
- The top local deals with low APR rates and low monthly payments.
Learning the difference between the invoice price and the MSRP will help you save thousands of dollars on your new car. Request a FREE online price quote to get all the pricing information you need delivered straight to your computer. There is no obligation to buy, and the service is totally FREE!
The Invoice Price and MSRP
Invoice Price: Think about it as buying a loaf of bread direct from the bakery instead of buying bread from a supermarket. The dealer invoice is how much the factory charges the dealer for each new vehicle. The invoice price includes the destination charge and the minimum equipment installed in the vehicle, but it does not include dealer expenditures such as advertising, financing, and selling expenses.
The MSRP: is the Manufacturer’s Suggested Retail Price, or most popularly known as the sticker price. The MSRP is only the suggested price of the car, and includes the destination charge and the amount of equipment installed in the vehicle. However, the MSRP, equipment, and destination charge may be indicated separately in the window sticker, and the dealer can either sell the vehicle above or below the MSRP.
Dealer Holdback – How it Relates to the Invoice Price and MSRP
The dealer holdback is simply a small percentage of the MSRP or invoice price, and is utilized by the car dealer to pay for advertising and interest expenses. Depending on the car that you choose, the holdback will be around 2% to 3% of the invoice price or MSRP, and will be given by the factory to the dealership after the dealer sells the car.
Car dealers will sometimes offer special buying and leasing incentives to sell as many cars as they can. This allows them to use the holdback as an added profit for the sale. If you know the amount of holdback for the car that you want, you can use this to your advantage by negotiating the dealer invoice, since you already have an idea on how much the dealer will earn from the sale.
Knowing the invoice price and the dealer holdback are critical elements that will help you get marvelous savings on any type of automobile.
Request multiple price quotes to hold all the pricing information in your hands, so car dealers know that you won’t settle for anything less than the fair market price.
When buying or leasing a new car, information is power. By requesting a FREE price quote, you are putting the power of negotiations in your hands, making sure that you drive away with maximum savings on your new vehicle!
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