Negotiating used car - Toyota Highlander

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renue74
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Negotiating used car - Toyota Highlander

Post by renue74 » Wed Nov 29, 2017 4:52 pm

I rarely, rarely buy cars. We tend to drive them until they fall apart. Both my wife and I own 2005 models.

Anyways, her Nissan Quest is falling apart and we've looking at a midsize SUV, the Toyota Highlander.

I've done some due diligence and have emailed 3 dealerships.....like I read here on Bogleheads. I told them I was ready to purchase in the next few days.

The local dealer came in quickly. I told them I was talking to 2 other dealerships and asked for her best price on the 2016 Highlander I saw on their site. The site price was $27,998.

Well, after a few emails, she basically said the $27,998 price was their absolute lowest price and best of luck to me.

Am I missing something? I know I'm not a master of negotiation, but as a dealer shouldn't they have at least tried to make me feel like they were giving me a "special" deal...even knocking off something.

I'm assuming the used car market has tighter margins, but what should I be expecting here?

livesoft
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Re: Negotiating used car - Toyota Highlander

Post by livesoft » Wed Nov 29, 2017 4:53 pm

You can get a used Lexus RX-350 for that price.

You are missing that things don't work out the way internet folks so they will.
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mega317
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Re: Negotiating used car - Toyota Highlander

Post by mega317 » Wed Nov 29, 2017 4:58 pm

What did the other 2 dealers say?

renue74
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Re: Negotiating used car - Toyota Highlander

Post by renue74 » Wed Nov 29, 2017 5:01 pm

mega317 wrote:
Wed Nov 29, 2017 4:58 pm
What did the other 2 dealers say?
Other 2 haven't come back yet.

renue74
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Re: Negotiating used car - Toyota Highlander

Post by renue74 » Wed Nov 29, 2017 5:03 pm

livesoft wrote:
Wed Nov 29, 2017 4:53 pm
You can get a used Lexus RX-350 for that price.

You are missing that things don't work out the way internet folks so they will.
:thumbsup But I thought the internet was full of only truth.

randomguy
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Re: Negotiating used car - Toyota Highlander

Post by randomguy » Wed Nov 29, 2017 5:06 pm

livesoft wrote:
Wed Nov 29, 2017 4:53 pm
You can get a used Lexus RX-350 for that price.

You are missing that things don't work out the way internet folks so they will.
You can get a used Porsche for that price also. it is just a matter of how used:)

How much do you think a used highlander should cost? 28k sounds about right to me for ~40k new car (don't know what options you are looking at), that is ~2 years old for a car from toyota/honda. It is funny that people complain about having to negotiate. Then when they get price that doesn't require negotiation, they also complain:) Or maybe they wait until after you show up for the test drive to take that last 500 off if you buy now.

fishmonger
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Re: Negotiating used car - Toyota Highlander

Post by fishmonger » Wed Nov 29, 2017 5:12 pm

it depends on the options/mileage, but used Toyota's hold their value incredibly well. It very well may be the case that's the price, and they know someone will pay it

N10sive
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Re: Negotiating used car - Toyota Highlander

Post by N10sive » Wed Nov 29, 2017 5:34 pm

As fishmonger stated Toyotas hold their value extremely well especially their SUV's and Tacoma. I am having the exact same problem. Can purchase a new vehicle for 3-6k more with zero miles or get one with 30-60k miles sometimes even more for that little price difference.

Some dealers at least around me have started the "no haggle" pricing so what you see is what you get sometimes. I don't personally like it but some people do.

dbr
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Re: Negotiating used car - Toyota Highlander

Post by dbr » Wed Nov 29, 2017 5:55 pm

renue74 wrote:
Wed Nov 29, 2017 4:52 pm

Am I missing something? I know I'm not a master of negotiation, but as a dealer shouldn't they have at least tried to make me feel like they were giving me a "special" deal...even knocking off something.
If they know they can get that or more for the car, then why should they try to make a deal with you by knocking something off to make you feel good. You will eventually find out if you might do better somewhere else.

I agree that the idea that doing business over the internet automatically produces amazing bargains is just not so.

livesoft
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Re: Negotiating used car - Toyota Highlander

Post by livesoft » Wed Nov 29, 2017 5:58 pm

I suggest expanding the geographic area that you are sending request-for-bids to.

BTW, what has your research told you that such a vehicle should cost you?
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dm200
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Re: Negotiating used car - Toyota Highlander

Post by dm200 » Wed Nov 29, 2017 6:01 pm

renue74 wrote:
Wed Nov 29, 2017 4:52 pm
I rarely, rarely buy cars. We tend to drive them until they fall apart. Both my wife and I own 2005 models.
Anyways, her Nissan Quest is falling apart and we've looking at a midsize SUV, the Toyota Highlander.
I've done some due diligence and have emailed 3 dealerships.....like I read here on Bogleheads. I told them I was ready to purchase in the next few days.
The local dealer came in quickly. I told them I was talking to 2 other dealerships and asked for her best price on the 2016 Highlander I saw on their site. The site price was $27,998.
Well, after a few emails, she basically said the $27,998 price was their absolute lowest price and best of luck to me.
Am I missing something? I know I'm not a master of negotiation, but as a dealer shouldn't they have at least tried to make me feel like they were giving me a "special" deal...even knocking off something.
I'm assuming the used car market has tighter margins, but what should I be expecting here?
Sometimes dealers put "teaser" prices for just one specific vehicle - and it it, in fact, the lowest they will go.

I assume this is a used vehicle- so it seems unlikely that different dealers will have an identical vehicle.

hudson
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Re: Negotiating used car - Toyota Highlander

Post by hudson » Wed Nov 29, 2017 6:22 pm

For used car purchases, I would visit the dealers in person and look at the vehicle before getting into the price.
I would look...take lots of notes and pictures...and leave. I'd do this for 6 vehicles. I would not go to an office sit down and talk price. I'd get the card of the sales person. I'd go look at Carmax. I'd look at certified used Toyotas.
When I had found several vehicles that I wanted, then I'd call back and talk price. I'd let them know that I was a serious buyer; then ask for their out the door price. I'd write it down then repeat the process at the other dealers. Now I would have 6 known vehicles and 6 prices. I would negotiate over the phone. I'd make sure that they knew that I was a serious buyer that was going to buy in the next few days....if the price was right. I wouldn't discuss anything except the out the door price.

If the salesperson asks me to name a price; I kindly refuse and let them name the price. I've found that this shortens negotiations and gets a better price.

I wouldn't use email except to pass documents or receive price quotes, etc.
Last edited by hudson on Thu Nov 30, 2017 10:50 am, edited 2 times in total.

Rashen
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Re: Negotiating used car - Toyota Highlander

Post by Rashen » Wed Nov 29, 2017 7:11 pm

put yourself in the dealer's shoes. some random dude emails you and tries to negotiate (via email!!) on the car without seeing it. you get hundreds of emails like this every week (after someone famous suggested this is THE way to find the best deal on the used car), and none of the people who ever inquired ever showed up at your door. Now.... understanding it... How would you handle it? Would you slash the price right away and pray that El Cheapo on the other side of the email exchange buys the car right away ? Or would you treat him like the rest of the crowd that wasted so much of your time?

Invest some of your time and go to the dealer in person.

Rashen
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Re: Negotiating used car - Toyota Highlander

Post by Rashen » Wed Nov 29, 2017 7:12 pm

oh and also check truecar.com 's used car listings.

AntsOnTheMarch
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Re: Negotiating used car - Toyota Highlander

Post by AntsOnTheMarch » Wed Nov 29, 2017 7:26 pm

Put me on list of people who don’t see “a deal” in used Honda or Toyota vehicles. I don’t think a few K$ is worth inheriting tens of thousands of somebody else’s miles. I plan to keep car for 10+ years (last one was over 20) so I’ll pay the premium and amortize.

That said, if you prefer used, be aware that there are different market dynamics at work than there are with new cars. A friend used a broker to find his used car of choice and swears by it. You provide criteria, pay a fee and they locate the best deal in the country and arrange to get it to your destination. Sorry, I can’t provide personal recommendation of such service.

Rich Cape Cod
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Re: Negotiating used car - Toyota Highlander

Post by Rich Cape Cod » Wed Nov 29, 2017 7:47 pm

I have heard that Carvana is an excellent and no hassle way to purchase a used auto. No personal experience, but you can Google the reviews.

Best of luck,

Rich
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hudson
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Re: Negotiating used car - Toyota Highlander

Post by hudson » Wed Nov 29, 2017 7:54 pm

Carmax search for 2015-2016 Highlanders:

https://www.carmax.com/search#Distance= ... &Zip=28227

Dottie57
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Re: Negotiating used car - Toyota Highlander

Post by Dottie57 » Wed Nov 29, 2017 8:13 pm

Poquetauto.com. Has a highlander le plus AWD 2015 with 13000 miles for $30,800.

How old is the higlander and how many miles on it.?

hudson
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Re: Negotiating used car - Toyota Highlander

Post by hudson » Thu Nov 30, 2017 6:09 am

A Forbes article that may help...

What Are Some Good Tactics To Use To Lower The Price Of A Car While Negotiating With A Car Sales Person?


https://www.forbes.com/sites/quora/2013 ... 77db35871d

You've probably already done this Google search...if so my apologies....

https://www.google.com/search?ei=_-QfWu ... -fEPT53ijY

retiredjg
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Re: Negotiating used car - Toyota Highlander

Post by retiredjg » Thu Nov 30, 2017 10:29 am

renue74 wrote:
Wed Nov 29, 2017 4:52 pm
Well, after a few emails, she basically said the $27,998 price was their absolute lowest price and best of luck to me.

Am I missing something? I know I'm not a master of negotiation, but as a dealer shouldn't they have at least tried to make me feel like they were giving me a "special" deal...even knocking off something.
A couple of things seem likely. Either they are a "no haggle" dealership or they really did give you the lowest price the first time.

There is a no haggle Toyota dealership near me (for used cars, don't know about new cars). I prefer that approach and would have bought from them if they had what I wanted.

Compare the Highlander you want with a search of a similar vehicle (including options) from CarMax. You might find the price is about right.

an_asker
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Re: Negotiating used car - Toyota Highlander

Post by an_asker » Thu Nov 30, 2017 10:37 am

retiredjg wrote:
Thu Nov 30, 2017 10:29 am
renue74 wrote:
Wed Nov 29, 2017 4:52 pm
Well, after a few emails, she basically said the $27,998 price was their absolute lowest price and best of luck to me.

Am I missing something? I know I'm not a master of negotiation, but as a dealer shouldn't they have at least tried to make me feel like they were giving me a "special" deal...even knocking off something.
A couple of things seem likely. Either they are a "no haggle" dealership or they really did give you the lowest price the first time.

There is a no haggle Toyota dealership near me (for used cars, don't know about new cars). I prefer that approach and would have bought from them if they had what I wanted.

Compare the Highlander you want with a search of a similar vehicle (including options) from CarMax. You might find the price is about right.
Just purchased a Corolla from a local Toyota dealership. It was a no haggle no hassle dealership. But they were part of the Truecar/Penfed Car Buying Service, which is how we went there in the first place. Will write in detail in my own thread :-) but yes, such dealerships do exist and while seasoned negotiators can knock a few hundred (or thousand) off that price as well, we went with this dealership as the price was within the range we wished to pay.

PS: That said, when we purchased our previous car, we had gone to a (different) local Toyota dealer and he absolutely didn't want to make a deal. At that time, we purchased a Nissan Altima which had extra features than the Camry (which we were looking at) did, and was priced a few thousand less!

PPS: OP, have you tried seeing what the price is for a NEW Highlander? You might be surprised!! Use Truecar as a starting point - go all the way where you enter a phone number (that you can screen your calls) and an email address (which you don't mind getting bombarded with emails) and see if you can ferret out Out The Door price quotes from the three dealerships. You might be able to get a new car for a couple thousand more - with warranty, a couple of years worth of free maintenance, lifetime power train warranty (for original owner only), etc.

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dm200
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Re: Negotiating used car - Toyota Highlander

Post by dm200 » Thu Nov 30, 2017 10:43 am

This is a technique I have seen used successfully in purchasing a used car, especially when the "firm" asking price is above the NADA or KBB "book".

Get a "Cashiers Check" or official check from a bank or credit union for the amount you are willing to pay (and an amount 'justifiable' by NADA or KBB). Sit down at the desk with the sales person and slide the check over to him/her. Make him or her either take the sale or give it back. They do not like giving the check back. If he/she gives it back - get up and walk out the door - do NOT fall for further negotiation.

This works best when you can get a low or no cost such check from your bank or credit union.

inbox788
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Re: Negotiating used car - Toyota Highlander

Post by inbox788 » Thu Nov 30, 2017 10:52 am

renue74 wrote:
Wed Nov 29, 2017 4:52 pm
The local dealer came in quickly. I told them I was talking to 2 other dealerships and asked for her best price on the 2016 Highlander I saw on their site. The site price was $27,998.

Well, after a few emails, she basically said the $27,998 price was their absolute lowest price and best of luck to me.

Am I missing something? I know I'm not a master of negotiation, but as a dealer shouldn't they have at least tried to make me feel like they were giving me a "special" deal...even knocking off something.

I'm assuming the used car market has tighter margins, but what should I be expecting here?
How do the specifications compare to these?

https://www.carmax.com/car/15429469
https://www.carmax.com/car/15291599

You should never pay more than Carmax, and often you can pay substantially less by haggling with dealers or buying private party. Overall, sounds like just an OK deal. If you miss it, you won't have a hard time finding something similar. It's high end retail pricing. Is it a Toyota dealership? Certified Pre-Owned? Whereabouts are you?

Jack FFR1846
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Re: Negotiating used car - Toyota Highlander

Post by Jack FFR1846 » Thu Nov 30, 2017 10:55 am

Some dealers are "Fixed price, no negotiation" dealers with used cars and that's set by the owners. In my area, I know that Car Max, and all Herb Chambers dealers and Metrowest Subaru are this way. BUT (that's a big but) They DO lower prices with time. You can watch any used car at car max and at any of these dealers online and the price will change every 2 to 3 weeks. In short, they keep the price firm but change it with time. The price might stick if they have solid interest in a car. Say 3 people have shown interest.....then they leave it as it is until the interest goes stale. Look at Car Gurus as they'll tell you how long the car's been for sale and what it originally listed for and what the prices were with time.
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bottlecap
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Re: Negotiating used car - Toyota Highlander

Post by bottlecap » Thu Nov 30, 2017 11:02 am

Go into the dealer. Take notes. Tell them you are looking at other vehicles and will get back to them. They will probably give you a number before you leave if you buy it today. Let them give it to you.

Then go back and do your email thing. If you can work out a deal via email, then great.

If not, show up with cash to the dealership and make your final offer. If they don’t accept, go to the next one.

I agree that they probably get these emails all the time and discount them. If you show up beforehand, that shows commitment and is more likely to draw a response.

JT

Hug401k
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Re: Negotiating used car - Toyota Highlander

Post by Hug401k » Thu Nov 30, 2017 2:11 pm

We had a similar experiences on used Honda Pilots. There is just plenty of demand and not as much supply so they don't negotiate. Also in the Metro Boston as one other poster mentioned.

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N1CKV
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Re: Negotiating used car - Toyota Highlander

Post by N1CKV » Thu Nov 30, 2017 5:10 pm

I have been getting that same result from multiple dealers.
I have followed up with a phone call and visited the dealer. They didn't offer quite enough for my trade and refused to budge on the price from what was listed online. The price "on the lot" window sticker was about $2,000 more.
This is looking at a used Tacoma.
They even followed up with a higher offer for my trade by email, but still would not budge on the online price.
I am kind of glad, after looking some more I think I prefer the Colorado, but might just keep my full sized truck in the end.
I have met a lot of people that claim to love money, but they also seem to be the same people that are in the biggest hurry to get rid of it.

lakja
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Re: Negotiating used car - Toyota Highlander

Post by lakja » Thu Nov 30, 2017 5:55 pm

It’s been my experience that used cars are very difficult to negotiate off listed sales price. One way to evaluate the deal though is to find the trade-in value as dealers usually pay pretty close to this value at wholesale, maybe a little lower.

With that value, you can figure you’re going to spend around 3-5k above trade for dealer profit and refinishing of the car to get it ready for resale. With that said, Highlanders are in high demand. I’d buy a new one if you’re set on that model.

GottaRun
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Re: Negotiating used car - Toyota Highlander

Post by GottaRun » Thu Nov 30, 2017 6:45 pm

i have a 2005 Nissan Quest, like you. I kinda wish it would fall apart, but it simply won't.

it has nearly 270,000 miles and purrs like a kitten. It simply will. not. die. bought it fall of '07.

my 17 years old son has been driving for the past year, so it's starting to age a bit...

ok; back to the Highlander, if it's in really nice shape and top trim level, I can see in the mid to upper 20's easy for a 2016.

Camry and Highlander are Toyota's top models and I think the resale reflects this.

I don't think you can go wrong with a highlander.

If your Quest hasn't blown up on the side of the road, what's the rush? Take your time and keep shopping till you find a better Highlander at a price you think is fair. with 2018 hitting lots, there should be bunch of nice trades coming in.

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Re: Negotiating used car - Toyota Highlander

Post by GottaRun » Thu Nov 30, 2017 6:48 pm

N1CKV wrote:
Thu Nov 30, 2017 5:10 pm
I have been getting that same result from multiple dealers.
I have followed up with a phone call and visited the dealer. They didn't offer quite enough for my trade and refused to budge on the price from what was listed online. The price "on the lot" window sticker was about $2,000 more.
This is looking at a used Tacoma.
They even followed up with a higher offer for my trade by email, but still would not budge on the online price.
I am kind of glad, after looking some more I think I prefer the Colorado, but might just keep my full sized truck in the end.
...everyone raves bout the diesel Colorado. The mini-duramax. My younger bro just bought a new, Crew TRD taco. It's SIC. He saves zero money, but that's another story. :mrgreen:

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Alexa9
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Re: Negotiating used car - Toyota Highlander

Post by Alexa9 » Thu Nov 30, 2017 7:32 pm

Used cars are the most negotiable. Offer them your price, give them your phone number, and walk away. Don't get attached to one vehicle. The longer it sits there the better. Wait for a deal if you have the patience. You're better off buying used from a private party one owner with clean Carfax than a dealer unless you want a CPO.

renue74
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Re: Negotiating used car - Toyota Highlander

Post by renue74 » Thu Nov 30, 2017 9:37 pm

GottaRun wrote:
Thu Nov 30, 2017 6:45 pm

If your Quest hasn't blown up on the side of the road, what's the rush? Take your time and keep shopping till you find a better Highlander at a price you think is fair. with 2018 hitting lots, there should be bunch of nice trades coming in.
:) The Quest has blown up...almost. Last week, we had $1000 of work. Timing chain still has issues and they had to replace the engine mounts. According to the mechanic, Nissan suggests replacing the engine with the mounts needed replacing. Drove it home and the next day, the radiator blew. It's back at the shop this week for that.

A wife w/o a car is the worst wife ever. I've felt the brunt of the "we have to do something," talk all week.

Toyota dealership actually called back today. They took $900 off the $27,900 price. Strange how there are so many people who contact me from one dealership. I think I've had 4 or 5 contacts since yesterday. But no price changes until today at 6pm.

livesoft
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Re: Negotiating used car - Toyota Highlander

Post by livesoft » Thu Nov 30, 2017 10:14 pm

I'm laughing that you seem to have anchored on the price. The $900 off is a joke. You have to get the sellers to anchor on your lower price. I'd counteroffer at 25% off or about $21,000. But you had better find somewhere in the US a 2016 Highlander that sold for around $21,000, too, and point that out to them. It doesn't matter if the condition and options are the same or not because you just want them to anchor on your lower price offer.
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