Buying a 2017 Mazda 3 new for $15k?

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understandingJH
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Buying a 2017 Mazda 3 new for $15k?

Post by understandingJH » Fri Aug 11, 2017 12:58 pm

So I'm thinking of buying a 2017 Mazda 3 Sport automatic.

MSRP is around 20,030.
Lowest offer I've gotten is $15.5k
This includes $2000 manufacturer cash back, and $1000 APR cash back, plus the rest being a discount given by the dealer.
I might be able to stack $500 loyalty discount as well.

However, the $1000 APR cash back requires taking a 0.0% loan up to 63 months.

So... I have the cash to buy outright, but the loan seems to make sense for the cash back. That said how long a loan makes sense. Is the longer the better with 0% APR to keep as much in the bank earning 1.11% interest (currently)?

Also, is this price good? Seems it's a good deal. I might be able to negotiate it to 15k even and save an extra $500 (or another $500 if I can stack the loyalty bonus -- checking with mazda on that via email).

UPDATE: If this can be moved to personal finance forum that would be appreciated. I posted it here by mistake :)

surfstar
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by surfstar » Fri Aug 11, 2017 1:04 pm

Sounds like a good deal and I'd definitely take 0% loans when I can make more than that easily.

chevca
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by chevca » Fri Aug 11, 2017 1:05 pm

Seems like a good deal to me... almost 25% off MSRP.

Take the loan and pay it off whenever you want since you have the cash.

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CAsage
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by CAsage » Fri Aug 11, 2017 1:25 pm

Bring a calculator when you go, and be prepared for a hard sell. I did some online pricing when I was (finally) ready to buy my new car, got some good prices. When I went to the dealer to actually get the car... suddenly there appeared lots of strange dealer-installed and very expensive b.s. items - etching? Protection package? (list $250, my cost $600). A couple others I've forgotten... And oddly enough the price I was quoted plus some items I caved on (well, they have to make up their profit somewhere) did not actually add up to the real prices the finance dude finally printed out. Bring a calculator - even the salesman's printed excel-looking price sheet did not add up correctly due to hidden dealer add-ons. I almost walked out, but they took off most of them when I got up to leave. So - even a great price may not be available without some ... work...

And 0% or .9% (which I got) financing is a great deal = you might consider just making payments to target when you want to have the car paid off, vs micromanaging a balloon payment in 5 years. You do still owe !

thangngo
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by thangngo » Fri Aug 11, 2017 1:31 pm

understandingJH wrote:So I'm thinking of buying a 2017 Mazda 3 Sport automatic.

MSRP is around 20,030.
Lowest offer I've gotten is $15.5k
This includes $2000 manufacturer cash back, and $1000 APR cash back, plus the rest being a discount given by the dealer.
I might be able to stack $500 loyalty discount as well.

However, the $1000 APR cash back requires taking a 0.0% loan up to 63 months.

So... I have the cash to buy outright, but the loan seems to make sense for the cash back. That said how long a loan makes sense. Is the longer the better with 0% APR to keep as much in the bank earning 1.11% interest (currently)?

Also, is this price good? Seems it's a good deal. I might be able to negotiate it to 15k even and save an extra $500 (or another $500 if I can stack the loyalty bonus -- checking with mazda on that via email).

UPDATE: If this can be moved to personal finance forum that would be appreciated. I posted it here by mistake :)
If 15.5k is everything except sales tax and registration fee, it's a very good deal! Take it if you are in need of a car. Then post a pic! :sharebeer

Considering 2018 models are coming, expect some deals and discounts coming.

understandingJH
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by understandingJH » Fri Aug 11, 2017 1:35 pm

thangngo wrote: Considering 2018 models are coming, expect some deals and discounts coming.
2018s are already on the lot, so yeah this is already including discounting for that reason I think (both by manufacturer and dealer).

aristotelian
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by aristotelian » Fri Aug 11, 2017 2:25 pm

Put $14K in a 5 year CD and save yourself another $1500.

thangngo
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by thangngo » Fri Aug 11, 2017 2:29 pm

aristotelian wrote:Put $14K in a 5 year CD and save yourself another $1500.
^ this assuming OP can utilize his salary for car payments.

understandingJH
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by understandingJH » Fri Aug 11, 2017 2:57 pm

thangngo wrote:
aristotelian wrote:Put $14K in a 5 year CD and save yourself another $1500.
^ this assuming OP can utilize his salary for car payments.
Shouldn't be an issue, plus I have an emergency fund large enough to cover the car and the CD. I like this idea. I am also permitted to pay the loan off after 4 months if I want.

understandingJH
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by understandingJH » Fri Aug 11, 2017 7:25 pm

Well the 2K cash back and 0% APR + 1k APR cash are mutually exclusive. While I could in theory make 1500+ by doing the 1k cash back and putting the money into a 5-year CD, I'd have $1000 less taken off the price in today's dollars and the hassle of dealing with a loan for 5 years (plus a small loan origination fee) that if I paid off early I'd be loosing money.

Ended up getting the car negotiated for $14,770 + tax, registration, and a small doc fee (which is regulated by my state). I can't believe I bought a car in one day so fast, but I love Mazdas and the need arose to buy a new one. Turns out I went with a different dealer in the end that sold cars to me before [so no up selling was attempted], but I negotiated with 3 local dealers in all. So that's 26% off MSRP, 13% off their advertised online price, 11% off their emailed follow price. Even True Car had it estimated at $17,223 (sample size 17), which if you subtract the discounts I had ($2500) lines up just about right (or maybe I did even better if that includes the Mazda 2k discount promotion). It's possible I could shop around longer and get a slightly better deal, but this is pretty fair and was hassle free as it only lasted a day.

Jack FFR1846
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by Jack FFR1846 » Fri Aug 11, 2017 7:31 pm

That's a great deal. Could it have been an "ad car"? You'd know if you call back in 2 weeks and your sales guy no longer works there. (no, really). I bought a Mazda 6 years ago with about the same MSRP and picked it up for $14.6k.

Don't be fooled by the "regulated by the state" doc fee. It's nothing but dealer added profit. The state might put a max on what they can charge, but it's 100% profit, which allows them to advertise the car below invoice.
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understandingJH
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by understandingJH » Fri Aug 11, 2017 7:45 pm

Jack FFR1846 wrote:That's a great deal. Could it have been an "ad car"? You'd know if you call back in 2 weeks and your sales guy no longer works there. (no, really). I bought a Mazda 6 years ago with about the same MSRP and picked it up for $14.6k.

Don't be fooled by the "regulated by the state" doc fee. It's nothing but dealer added profit. The state might put a max on what they can charge, but it's 100% profit, which allows them to advertise the car below invoice.
Yeah I know the doc fee regulation is for the maximum and can be negotiated, but I couldn't get them to budge on that (I tried). Besides they were offering about $250 less than the next best offer anyway which came from a place I trust less (and would likely have hassled me if I wanted to hold them to their quoted price once I showed up).

The model I bought is the base model (so it has hub caps instead of alloy wheels [but still look decent], no leather wrapped steering well, no windshield wipers that automatically adjust to the amount of rain falling, and a few other nice things. All those things add $1k to the list price and I had to compromise on the color as I prefer red over black. But I'm not willing to upgrade to the "premium package" just to have an extra bit of glitter -- not to mention the red color increases the MSRP by 300). So I could of had a tad snazzier car if I negotiated hard to essentially keep the price they quoted and take the 1.3K list of upgrades for perhaps~$800 more (judging by True Car), but in the end, I'd rather put that 800 towards my next car purchase 10 years from now.
Last edited by understandingJH on Fri Aug 11, 2017 7:55 pm, edited 4 times in total.

angelescrest
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by angelescrest » Fri Aug 11, 2017 7:46 pm

This is a fantastic deal, don't hesitate! I got a used Mazda 3 years ago for an incredible deal, but this might top that.

Helo80
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by Helo80 » Fri Aug 11, 2017 7:48 pm

CAsage wrote:Bring a calculator when you go, and be prepared for a hard sell. I did some online pricing when I was (finally) ready to buy my new car, got some good prices. When I went to the dealer to actually get the car... suddenly there appeared lots of strange dealer-installed and very expensive b.s. items - etching? Protection package? (list $250, my cost $600). A couple others I've forgotten...

VIN etching and nitrogen tire fill ups are basically huge money makers for a dealership as they're pure profit --- basically Edward Jones level stuff.

Window tint --- I would give fair market value if not comped. But, I've seen dealers pass on $500+ charges for window tint.
CAsage wrote: And oddly enough the price I was quoted plus some items I caved on (well, they have to make up their profit somewhere) did not actually add up to the real prices the finance dude finally printed out. Bring a calculator - even the salesman's printed excel-looking price sheet did not add up correctly due to hidden dealer add-ons. I almost walked out, but they took off most of them when I got up to leave. So - even a great price may not be available without some ... work...

Most finance managers are seasoned car sales vets and know how to work customers and squeeze them money in one last hoorah with the customer.

In all honesty, you probably do not need the extended warranty and other vehicle protections they sell.

For OP, mazda makes a pretty good car. Trust me, Mazda would not be selling you an extended warranty, even from the factory, if they were not making money in the long-run on it.

billfromct
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by billfromct » Fri Aug 11, 2017 9:25 pm

Get an "out the door" listing all the charges that will be listed in the written "purchase & sales agreement" that the dealer will give you when you pick up the car.

If the "out the door" itemized list that the dealer e-mails you does not match the written "purchase & sales agreement", walk out.

The car dealer offer sounds like the old "bait & switch". They "bait" you with a low price then "switch" to a higher price with all the extras at the time you pick up the car.

I got a $2,000 finance rebate off the Sonata I bought a few years back. I paid off the 6% loan after 3 months because the terms of the loan did not include a prepayment penalty. I don't know if a prepayment penalty is even legal on car loans anymore.

bill

understandingJH
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by understandingJH » Sat Aug 12, 2017 8:27 am

billfromct wrote:The car dealer offer sounds like the old "bait & switch". They "bait" you with a low price then "switch" to a higher price with all the extras at the time you pick up the car.
That may have been the case with one of the dealers I was talking with, but who I ended up buying from, the quoted price was the out the door price plus tax, temp tag registration, and a doc fee that I knew they would likely not budge on (which isn't much and I negotiated the price to offset that).

Before taxes my final cost was a just a few dollars over $15k. The down side is that in my state the $2500 of manufacturer discounts are taxable, so I still have to pay tax on that.

db1216
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by db1216 » Sat Aug 12, 2017 10:28 am

Sounds like an excellent deal to me. I bought a Mazda CX-5 from my local dealer. I was worried about the bait and switch myself so I was one of those hard sells and questioned just about everything. They were so concerned with upsetting me that the salesman said like three times after the car was delivered, "See, we kept our word!" Honestly, after the fact, I feel like maybe I overdid it. When we went to get the numbers from the finance guy for the cash back, I questioned everything and looked at him like he had lobsters crawling out of his ears when he asked if I wanted to pre-pay maintenance at a discount. He let me "write my own" financing interest and months-wise, which I've never had happen before. "Want to do 60 months, less, more, 62?" I wasn't sure how to handle that question right off bat.

With all that said, not only did they give me a great deal and get me exactly what I wanted without any real haggling necessary, doc fee removed, and their service department is excellent too. They keep giving me extra stamps when I come in for free oil changes. I guess I should have probably pre-bought that maintenance, to be honest. Oh, and I love the Mazda. Every time I go back I feel a little bad that I was so short with them when negotiating.

Sounds like you have a win too! Keep cynical. :sharebeer

itstoomuch
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by itstoomuch » Sat Aug 12, 2017 10:51 am

DS bought a M3i with Skyactv, new 2014. Stick. Base model with no backup camera, no GPS, standard sound system.
He was offered either a low interest financed or cash purchased at slightly higher price, Oregon. It was a substantial discount to what was offered in Washington Seatle area where he lives. He took the finance package. He could have purchased with cash but he had purchased a home the previous year and rebuilding his funds.

He loves it and big enough for 3 with ski equipment or camping stuff.
It does get 40+ mpg and as high as 45mpg. Which is comparable to our 2008 Prius.

Appears like you its a deal. Be sure its a Skyactv and no Fastfax.
4 buckets: SS+pension;dfr'd GLWB VA & FI anntys, by time & $$ laddered; Discretionary; Rental. Do OK any 2 bkts. LTCi. Own, not asset. Tax 25%. Early SS. FundingRatio (FR) >1.1 Age 67/70

understandingJH
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by understandingJH » Sat Aug 12, 2017 5:30 pm

itstoomuch wrote:
Sat Aug 12, 2017 10:51 am
DS bought a M3i with Skyactv, new 2014. Stick. Base model with no backup camera, no GPS, standard sound system.
...
Be sure its a Skyactv and no Fastfax.
Yep, it's Skyactv. I do wonder how long the ~40MPG (or 155 HP) will last once carbon builds up on the valves since it's direct injected instead of port injected [which allows detergents gas to clean the carbon off the values]. But I love how Mazdas drive [like a BMW without the cost] and most cars now seem to be going the direct injection route.

I could have saved a bit more going with a stick shift, and it would be more fun for when I'm driving it on fun roads, but not for the normal daily commutes. This base model does have the backup camera, touch button start, bluetooth, touchscreen (No GPS, but the gps instructions from my phone connect to the car's audio via USB or bluetooth). It has more features than my previous Mazda did. It is missing some tech-based safety features (auto stopping which is standard on the 2018, lane departure, blind spot monitoring). To get that would require paying thousands more. Whether or not this was a smart choice time will tell. I'm also not sure how helpful those features actually are, on a statistical perspective.

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Re: Buying a 2017 Mazda 3 new for $15k?

Post by BogleBoogie » Sat Aug 12, 2017 5:58 pm

understandingJH wrote:
Fri Aug 11, 2017 7:25 pm
Well the 2K cash back and 0% APR + 1k APR cash are mutually exclusive. While I could in theory make 1500+ by doing the 1k cash back and putting the money into a 5-year CD, I'd have $1000 less taken off the price in today's dollars and the hassle of dealing with a loan for 5 years (plus a small loan origination fee) that if I paid off early I'd be loosing money.

Ended up getting the car negotiated for $14,770 + tax, registration, and a small doc fee (which is regulated by my state). I can't believe I bought a car in one day so fast, but I love Mazdas and the need arose to buy a new one. Turns out I went with a different dealer in the end that sold cars to me before [so no up selling was attempted], but I negotiated with 3 local dealers in all. So that's 26% off MSRP, 13% off their advertised online price, 11% off their emailed follow price. Even True Car had it estimated at $17,223 (sample size 17), which if you subtract the discounts I had ($2500) lines up just about right (or maybe I did even better if that includes the Mazda 2k discount promotion). It's possible I could shop around longer and get a slightly better deal, but this is pretty fair and was hassle free as it only lasted a day.
Sounds like an excellent deal, congrats! Someone recently posted an article showing how sedan sales are way down across the board (SUV's up) which may be a reason why these deals are out there. Nice work.

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Re: Buying a 2017 Mazda 3 new for $15k?

Post by LadyGeek » Sat Aug 12, 2017 6:39 pm

This thread is now in the Personal Consumer Issues forum (car).
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miden851
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by miden851 » Sun Aug 13, 2017 10:40 pm

Mazdas are always nice, to me they're VWs made in Japan
I have mine '08 Mazda6i and it serves me great; currently at 173k

JDot
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by JDot » Mon Aug 14, 2017 1:40 am

So as a somewhat reformed "car guy", I've decided to buy a used prius in Oct. when my current lease is up. You've got me thinking though. Really... $15k for a new 2017 mazda 3 hatch? Maybe I should look at these.

surfstar
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by surfstar » Mon Aug 14, 2017 10:32 am

JDot wrote:
Mon Aug 14, 2017 1:40 am
So as a somewhat reformed "car guy", I've decided to buy a used prius in Oct. when my current lease is up. You've got me thinking though. Really... $15k for a new 2017 mazda 3 hatch? Maybe I should look at these.
If you need Prius like mpg, but want fun to drive, another option is a VW... Deals to be had on them, either new, or used TDIs. The 2015 TDIs get 50+mpg under commuter duty, I've read many times. (We own a 2016 Sportwagen, non-TDI and average 37+ mpg)

I believe the Mazda3 is a strong contender for VWs, though. That's for sure. Fun to drive and still economical.

ttlmetal
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Re: Buying a 2017 Mazda 3 new for $15k?

Post by ttlmetal » Mon Aug 14, 2017 1:33 pm

I bought the 2016 Mazda 3 iTouring trim (love them sun roofs) around this same time last year for roughly $17k. With T&L, came out to around $19,500 out the door using all incentives I could possibly find and haggled all via email. I would say that's a pretty solid deal for the Sport. I love my Mazda. I get ~40mpg average commuting even in SoCal traffic. It has all the bells and whistles I could possibly want in a car these days without dropping an unnecessary amount of extra funds. Drive feels the best I've felt in a standard vehicle and if you ever need that 6 cylinder-like dip in a tight situation, the Mazda3 will be able to provide that, despite its 4 cylinders.

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Re: Buying a 2017 Mazda 3 new for $15k?

Post by stoptothink » Mon Aug 14, 2017 1:59 pm

surfstar wrote:
Mon Aug 14, 2017 10:32 am
JDot wrote:
Mon Aug 14, 2017 1:40 am
So as a somewhat reformed "car guy", I've decided to buy a used prius in Oct. when my current lease is up. You've got me thinking though. Really... $15k for a new 2017 mazda 3 hatch? Maybe I should look at these.
If you need Prius like mpg, but want fun to drive, another option is a VW... Deals to be had on them, either new, or used TDIs. The 2015 TDIs get 50+mpg under commuter duty, I've read many times. (We own a 2016 Sportwagen, non-TDI and average 37+ mpg)

I believe the Mazda3 is a strong contender for VWs, though. That's for sure. Fun to drive and still economical.
FWIW, the new 1.4T in the base jetta is diesel-like efficient. We have a '17 jetta. It is rated for 28 (street)/41(highway), but my wife usually averages mid-high 30's (almost all street miles) and on our recent family vacation we averaged 50+ to and from California from Utah (600+ miles) with the car completely full (our family of 4 and 9 days worth of stuff). Yep, not a typo and we were going 70mph. We purchased the vehicle for ~$15k OTD in February and could not be happier.

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