Buying new with cash. Need advice.

Hello everyone this is my first post so I apologize if I am breaking any rules.

Anyways, I am looking into buying a 2013 trd sport in either black or white. I test drove one and thought it was nice.(Not as peppy as i thought and im coming from a 1992 toyota with the 22re) So I asked them to give me their best price.

With a graduate discount the best they said they could do was just under $40,000 Canadian. I am paying completely with cash and this is my first vehicle purchase. Does anyone have any tips for buying with cash. Toyota said they would not come down at all.

Oh I also test drove a 2013 rcsb gmc sierra but they want $41,000 screw that. But a ford f150 eco boost was 56,000 with 10,000 off. I hate to say it but ford is looking pretty good.

Thanks guys

 

Whats the sticker price on the Sport? No idea what a normal price in Canadian is.

 

Why not hop stateside for a bit, it would save you a lot of money. Not sure of the current USD to Canadian dollars is but I bet they are close to 1:1

 

Sticker price is $37,500. Iv heard Canadians get raped when bringing back a vehicle over the border and by the end of it its only a 2 grand difference.

 

I'd try another dealer. I at the very least try to get an OTD price that's under msrp.

 

Ya that makes sense. I definitely dont want to be in debt though so cash it is. Im gonna phone a couple other dealers and see what they can do.

 

Is it rare to get under msrp?

 

maybe you can get one of the couple dealerships in alberta that sell toytec stuff to toss in a lift or something to sweeten the deal? maybe extended service/warranty...? there's always one dealer that is willing to go the extra mile to get the sale. alternatively find one that has a 2012 in stock that fits what you want, you should be able to swing a great deal on what is basically an identical truck.

 

First word of advice is to PM me and let me know when your heading to the dealer with 40k in your pocket

Ill fly up to Canada and help you "negotiate"

 

Hi,
Not familiar with interest rates in Canada. Here in the states borrowing money is cheap. I'd put the smallest down payment possible and bank the cash with the caveat that you keep your hands off it. If you have an emergency (illness, job loss, lose your house...) and need money you've got the cash in the bank. Your not going to get a good rate borrowing against your paid off used truck. Sometimes you can get a better price by financing through the dealer. You build up your credit rating by being a good borrower and making timely payments over a period of time

 

Shouldn't be. The deal they're giving you seems like they're just taking sticker price throwing on tax, title fees, etc etc. and calling it a day. Don't be afraid to walk away. Perhaps some of your fellow Canadians can chime in with what they have paid recently.

 

Thanks for the advice. A leveling kit would be nice. Ya I always thought the dealership would at least work with me a bit but this one wouldnt even think about budging.

 

Lol its Canadian money, you won't want it.

 

Hey man, from my experience with Canadian dealers that I have spoken to, they usually do not dicker on the price at all.

I'm just going to play devils advocate here for a moment. What is your rationale for wanting to purchase cash. You mentioned you don't want to go in debt, but have you looked at the flip side of the coin? If you have 40,000 cash to drop on a vehicle I would presume that you are are smart with your money and worked hard for it, or have deep pockets.

Look at the cost benefit of dropping that 40,000 on the truck. Could that money be better invested somewhere that will give you return for your money, thus creating a positive cash flow and ultimately lowering the cost of your truck/borrowing?

You need to remember that buying this truck is investing in a declining value asset. Your truck will never be worth as much as the day that you first buy it, and will steadily and continually decline in value as you own it (not really investing at all). If you can negotiate a GOOD interest rate on your truck.. say less than 1% i.e 0.9 or something like that.. your total cost of borrowing will be minimal, while you can take your cash and invest in a GIC that returns 2.5% or more, thus covering the cost of the loan and then some. thus decreasing the total cost of ownership of your truck.

I'm not telling you NOT to spend the cash on the truck.. but to just explore your options and get educated about how you can make your money work a little better for you.

Congrats on your decision and good luck on the new purchase!!

 

Loonies > Pennies

 

I understand what your saying but I am deathly afraid of being in debt or owing money to anyone. Plus I am and single and have a decent job so money isn't really a problem.

Ya thats exactly what they are doing. Plus they said there was a $399 fee for some kind of theft thing. Like some of the body parts are etched with a code and if stolen the police can access a database and find my truck it its been chopped. Iv never heard of this before.

 

i know someone that did this and scored by doing it.

offer to finance through toyota financial rather than (whatever else) they make money off you cause of the interest so they actually will probably budge on the purchase price because of this.
when your next payment is due come in the dealership and pay your truck off. boom

 

cash has always talked with me. I have went in to a dealership and picked out a truck for 11,500 and walked out paying 8000 for it, that was cash.

 

Try calling and going through the Internet department. They usually deal in volume, and can get you a better deal with less negotiation.

If you got the cash, and wanna try and pull one over on the dealership...walk in with a price you feel comfortable paying. If its $37,500, have that amount in cash...get the sales manager, go get the cash and tell them it's now or never. Make the deal forthat price OTD or you're walking to another dealership and NOT coming back, period. Sometimes you can take the salesman aside and tell him that if the deal works out, you'll give him a $100-200 "tip" and that'll motivate them to make it work.

 

Haha you sound like my dad. I appreciate the wisdom but I need a new truck and while it would be nice to build my credit(pretty sure i dont have any credit right now) a new vehicle just has to happen. Where the money came from is a long and sad story that nobody wants to hear. But iv known about it for 11 years and now im finally getting it. The waiting has killed me. plus im not spending all of it. The rest is invested.