CPO cost added to price?

looked locally at an advertised CPO 2017 Tacoma trf offroad with 26,000 miles. Advertised price $28,043. Trading in my 2014 Subaru outback. The first deal paper offered me $12,000 trade in. I didn't keep a copy of this but told them id need $15,000 to trade that day. Well they came back with the deal paper showing me $14,500 for my car but also adding $2895 for the CPO. I thought the dealer did this to help sell trucks? I did keep this copy. I don't remember the first showing im responsible for the added $2895. Anyway I got my keys and went to a nice lunch. Is this normal activity from a Toyota dealer on CPO trucks? My wife has bought 3 Camrys from the same dealer. Any input, thank you.

 

I’ve never heard of a dealer charging you for the CPO aspect. They’re trying to recoup the extra money they’re paying you.

 

Is your Outback actually worth $15k or do you just think it is? I am going to go out on climb and say that $12k for a 6 year old car it is pretty good. How many miles on it?

 

In my experience any Certified Pre-owned expense is typically included in dealer's advertised asking price upon which a potential buyer then negotiates. Not listed/added as a separate line item after deal is made.
Seems they got creative and added the CPO expense to get to within the $2500 of the $15,000 you wanted for your Subaru. Perhaps they were hoping you wouldn't notice?

I'd walk away if they don't remove the $2895.

 

well they have one 2013 on their lot for $18000. KBB is between $13500 and $15000 range.

 

Exactly what I was getting at. KBB is a joke.

 

Sounds like that dealer is playing games.

If you like the truck, you have two options: walk away or play the game.

If you play, grind them down because that’s what they are trying to do to you.

Good luck.

 

It’s normal practice for just about every car dealer.

CPO does have a cost; it’s effectively an extended warranty offerred through Toyota for Toyota’s. I believe it costs the dealer less than $2895 and yes it usually is added to the asking price on a CPO car but it doesn’t have to be. My dealer routinely offers cars with or without CPO as long as they’re eligible.

If you don’t have to include the Subaru in the deal, try selling it to car max or a local used car place as a separate transaction. If you still don’t like the deal st the 1st dealer and can’t negotiate one you like, walk away.