Negotiating a price

Discussion in 'Beginning RVing' started by marstrings, Jan 10, 2008.

  1. marstrings

    marstrings New Member

    Hi folks, hope you all had a good Christmas holiday. It already seems like a long time ago to me :)

    I've been studying my RV Consumer Group guide and have narrowed my search down. As a matter of fact I've found a 'pre-enjoyed' class C that looks perfect (as far as I can tell from England).

    However, the vendor is asking nearly $40,000 for it, while the NADA guide is giving a figure of just around $30,000. It's a big difference. Leaving aside issues of inspection (which I know I would be a fool to not do, and fully intend to), if the NADA guide is about right, what sort of offer should I put in for it that would be taken seriously, but that would realistically end up with me paying somewhere around the NADA guide price?

    I have no experience of negotiations. Anyone here with some good suggestions?

    M.
     
  2. Grandview Trailer Sa

    Grandview Trailer Sa Senior Member

    Re: Negotiating a price

    Glad you are not talking to me :laugh:

    Seriously, are you just looking at the base NADA price? Usually Class C's have a generator. That would not be in the base figure and could possibly add several thousands. There are probably other options that need to be added in also.

    You can probably buy less than asking price, but these things need to be factored in.
     
  3. TexasClodhopper

    TexasClodhopper Senior Member

    Re: Negotiating a price

    Keep in mind that it isn't exactly the best of times for RV dealers. I don't know if I would call it a buyer's market just yet, but it could be.

    Start at 30% off of what you would be willing to buy it for.

    Who the heck cares if they take it serious or not? If they're trying to sell it, they'll let you know by proposing a counter price. You can go from there.

    If you get scoffed at and/or ignored, then look elsewhere.

    If you just have to have that particular RV, you can make another offer, but you will be revealing your desire to have it to the dealer, so go slow. The dealer might just wait to see how MUCH you desire that RV.

    I think they'll want to sell it.

    Don't forget that cash talks!
     
  4. hertig

    hertig Senior Member

    Re: Negotiating a price

    Which NADA figure are you looking at? There is Wholesale, which is what the dealer allegedly paid, so offering less than that (assuming everything is working) is probably not useful. Then there is low retail, average retail and high retail. You probably don't want to go over average retail (in fact, I would try to keep the 'out the door cost' under average retail because that is what the unit is costing you no matter who is getting the money), so I might start about halfway between wholesale and low retail.

    Another price to stay under is 25% off MSRP, since one can usually buy new for that amount, so paying that for a used unit is questionable.

    I deal in 'out the door cost' only, because you'll be amazed at what additional fees find their way on your final bill. Also, remember that once you make an offer, the ONLY ACCEPTABLE RESPONSE is one of 'sold', 'no, but how about (lower than their last bid)', or 'get lost'. Anything else is just noise, and at many dealerships, a lie. Never, ever, raise your offer until the other party comes down some. If you can't get one of the acceptable responses to your offer, walk out. And if a deal falls through (you walk and they let you), try again in a week or a month, they may be in a better position to deal then.

    As mentioned, the NADA value won't do you any good if it is not accurate. Make sure you add for any options and subtract for any problems.

    And if you do agree to buy, make sure that you get a signed list of the promises they made before signing or turning over money, or they may not follow through on the promises.
     
  5. marstrings

    marstrings New Member

    Re: Negotiating a price

    The NADA figure is the Average Retail price. I looked through the list of features described in the advert and included them in the calculation, so I think the NADA value must be fairly close.

    Thanks for the advice on negotiating guys. I'm trying to sound serious about buying (not just browsing), without coming across as too keen, of course. Is it right that the price listed is always excluding sales tax? Does the percentage vary state to state? Are there other extra costs that often get added to the advertised price that I should be aware of?

    One problem I have is that I'm in the UK until March and when I get the the US, I need to find a motorhome fairly quickly. I don't want to come across too hurried to the vendor, but I really need to move on possibilities now. Is there a professional inspection service I can use?

    M.
     
  6. rjf7g

    rjf7g Senior Member

    Re: Negotiating a price

    GTS will say that I don't negotiate, I just sign on the dotted line. That's because he started off with a fair price and a commitment to take care of me. I also recognize that this is how he makes his living...if you ever consider a fifth wheel or travel trailer, deal with him!
     
  7. rwkopper

    rwkopper New Member

    RE: Negotiating a price

    I own my 2nd 5th wheel trailer and my experience and research showed that there was approximately a one third mark up in the units. So, the person who said begin at 30 percent off is right. You can expect that they are going to make some money on the deal. My last purchase, about 2 years ago, I got about 27 percent off the sticker and felt I probably could have done slightly better if I had even more patience and experience.

    For what it's worth. Good luck...Ron.
     
  8. marstrings

    marstrings New Member

    RE: Negotiating a price

    I think I read somewhere that it is possible to hire professional mechanics to inspect a motorhome prior to buying. Is that true?

    Does anyone know where to find such a service?

    Ta.

    M.
     
  9. rjf7g

    rjf7g Senior Member

    Re: Negotiating a price

    I tried doing this when I was considering buying out of state and couldn't travel to the camper. I called RV repair services in the area and asked if they offered this service and 2 out of 3 did. They will do a PDI (pre-delivery inspection) for a fee. The kicker for me is that they wouldn't go to the camper, I had to bring the camper to them. The two quotes I got were $250 and $350, and I know nothing about either repair shop in terms of reputation nor do I remember the details about what was included.
     
  10. marstrings

    marstrings New Member

    Re: Negotiating a price

    I suppose if they're going to inspect the underside of the vehicle, they need it in their workshop. But it does make the remote control of things more difficult. Especially from the UK!

    I seem to be having a one step forward, two steps back day today. Thanks for your reply though - I'll google PDI and see where I get.

    M.
     
  11. hertig

    hertig Senior Member

    Re: Negotiating a price

    No sales price advertised includes sales tax, and the percent does vary from state to state and even within states (differing city sales taxes or outside city limits, a few places with county sales taxes). Then there is title and registration, which also varies from state to state. And this is just what is required of the dealer. Some will tack on the darndest things, like the one locally demands a $80 document preparation fee. Works about to about $10 per typo, so I can see why they want it.

    I find it much more relaxing (for me at least, less so for the dealer) to only deal in 'out the door' price. This way I know exactly what I will be paying up front. And if the dealer does try to pull a fast one, who cares; he's just moving money around in his own pocket.

    Look for mobile RV repair businesses in the area to see if they will do a PDI. They are designed to go to the rig to fix it, so one supposes they could also go to it to do a PDI.
     

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