Fair price for new Subaru Outback?

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Bb073084
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Fair price for new Subaru Outback?

Post by Bb073084 » Tue May 14, 2019 3:23 pm

I am finalizing a purchase of a new 2019 Subaru Outback. It is a Premium 2.5i with manufacturing configuration 13 and the popular package option #2. MSRP was $31,287, Invoice was $29,218, and final price (prior to taxes, license, and fees) was $26,468. Titles and fees are $550.

Is this a good price?
Last edited by Bb073084 on Tue May 14, 2019 3:36 pm, edited 1 time in total.

bloom2708
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Re: Fair price for new Subaru Outback?

Post by bloom2708 » Tue May 14, 2019 3:27 pm

Seems "good enough" to me.

Getting a "best" price would likely require too much work and worry. Not worth it.

Don't think about it again. Enjoy the new Outback. :beer
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tainted-meat
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Re: Fair price for new Subaru Outback?

Post by tainted-meat » Tue May 14, 2019 3:29 pm

Looks like a good price to me. Those are popular cars so I'm surprised you got that much of a discount.

fabdog
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Re: Fair price for new Subaru Outback?

Post by fabdog » Tue May 14, 2019 3:31 pm

and if it isn't? You'll go back and ask for a do over? :happy

Subaru Outback forum has a thread for prices paid

https://www.subaruoutback.org/forums/

Mike

Grt2bOutdoors
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Re: Fair price for new Subaru Outback?

Post by Grt2bOutdoors » Tue May 14, 2019 3:41 pm

Bb073084 wrote:
Tue May 14, 2019 3:23 pm
I am finalizing a purchase of a new 2019 Subaru Outback. It is a Premium 2.5i with manufacturing configuration 13 and the popular package option #2. MSRP was $31,287, Invoice was $29,218, and final price (prior to taxes, license, and fees) was $26,468. Titles and fees are $550.

Is this a good price?
The way you figure out if you got a "good/fair price" is to first determine what the dealers cost for the car is. The MSRP - almost no one pays MSRP.
The dealer's cost is under the invoice cost and the dealer is likely receiving an incentive from Subaru to sell the car. Also, depends where you bought the car from - I purchased mine from a fleet dealer, they sold such volume that they tended not to nickel and dime you for the sale as might some "retail only" car dealers. I think if you can get the car within 5% of the dealers cost, you got a fair deal.
"One should invest based on their need, ability and willingness to take risk - Larry Swedroe" Asking Portfolio Questions

Topic Author
Bb073084
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Re: Fair price for new Subaru Outback?

Post by Bb073084 » Tue May 14, 2019 3:42 pm

How do you get the dealers cost information?

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mhc
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Re: Fair price for new Subaru Outback?

Post by mhc » Tue May 14, 2019 3:54 pm

I determine a fair price by looking at what others are paying for the same car in the same region. If you are within a couple percent of the best price without spending too much effort, then you did well. This is where online forums are useful. For you it should be a subaru forum.

jayk238
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Re: Fair price for new Subaru Outback?

Post by jayk238 » Tue May 14, 2019 4:21 pm

Bb073084 wrote:
Tue May 14, 2019 3:23 pm
I am finalizing a purchase of a new 2019 Subaru Outback. It is a Premium 2.5i with manufacturing configuration 13 and the popular package option #2. MSRP was $31,287, Invoice was $29,218, and final price (prior to taxes, license, and fees) was $26,468. Titles and fees are $550.

Is this a good price?
I paid 39 for a 3.6 touring. 26 is pretty good for what you are getting

Grt2bOutdoors
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Re: Fair price for new Subaru Outback?

Post by Grt2bOutdoors » Tue May 14, 2019 7:37 pm

Bb073084 wrote:
Tue May 14, 2019 3:42 pm
How do you get the dealers cost information?
Go to Edmunds.com. Let's Build and Price Your Car Enter your zipcode
Select Make - Subaru Modal 2019 Outback
Customize Your Car - select the options you want.
The Outback for 2019 has six different styles, when you select one of the styles, it will show an Invoice and and MSRP. Invoice is what you should use to get an idea of what dealer pricing is before manufacturer incentives (and they are being incentivized you just don't know how much). Edmunds will tell you want the True Market Value is in your particular zipcode - in my zip, it turns out people are paying about 2% below invoice. When I bought my subaru, we paid 3% below invoice and got the dealer to throw in wheel locks and cargo net. The 5% i stated earlier is a range, some dealers try to sell you the car at invoice plus up to 5% of invoice. The dealers hate when you walk in to the dealership knowing what invoice is. You know invoice, you know they are getting incentive from manufacturer (you don't know the exact number for that).

Now you can negotiate, or not. If I don't like the price, there is another dealership nearby. Usually, I try to get the dealerships to give me an out the door price via an emailed quote before I step foot into the physical location. If they play games (some like to), I walk.
"One should invest based on their need, ability and willingness to take risk - Larry Swedroe" Asking Portfolio Questions

Yukon
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Re: Fair price for new Subaru Outback?

Post by Yukon » Tue May 14, 2019 7:41 pm

Call Grand Subaru in Chicago. They sell 50%? of their cars online and deliver. They were about 2 or 3k cheaper than everything local a few years ago on a 2015 subaru outback. But your price seems solid and probably good enough.
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vshun
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Re: Fair price for new Subaru Outback?

Post by vshun » Tue May 14, 2019 8:32 pm

Price looks good. In general figure out dealer cost (invoice minus dealer incentives/holdback and leave $200-$300 for the dealer to make on this car). Your price appears to be under it unless they run some huge hidden dealer incentive.

Winston19
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Re: Fair price for new Subaru Outback?

Post by Winston19 » Tue May 14, 2019 9:27 pm

I'm guessing there are deals to be had on 2019 Outbacks since the redesigned 2020 Outback has been announced.

Jack FFR1846
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Re: Fair price for new Subaru Outback?

Post by Jack FFR1846 » Tue May 14, 2019 9:33 pm

A bunch of wacky incentives seem to be flying around Subaru dealers right now. One near me is offering $2k off for factory orders. Another $6800 off all H6 models. Most have the $35 visa for test drives.
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cheapskate
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Re: Fair price for new Subaru Outback?

Post by cheapskate » Wed May 15, 2019 1:36 pm

Not sure if you already bought, hope this helps. I bought a new 2019 Subaru Outback (base model) for 21.8 last week (Bay Area).

I got a few quotes, made 2 dealers compete (on phone/text). Got that quote and bought quickly (I needed to buy a car urgently). I got the sense that dealers are willing to make deals because the new model is forthcoming ?

Pretty happy with the car and the price. Subaru Eyesight is standard on all models starting in 2019, so that and the AWD for that price was good enough for me.

Ben Mathew
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Re: Fair price for new Subaru Outback?

Post by Ben Mathew » Wed May 15, 2019 1:47 pm

The 2020 Outback is going to be an all-new model built on Subaru's new global platform, which has been well received. It might offer significant advances, including greater safety. I'm guessing the large discount for the 2019 model is due to it being the last year of this generation.

origami
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Re: Fair price for new Subaru Outback?

Post by origami » Wed May 15, 2019 1:52 pm

tainted-meat wrote:
Tue May 14, 2019 3:29 pm
Looks like a good price to me. Those are popular cars so I'm surprised you got that much of a discount.
As already mentioned here Outback is redesigned for 2020.

jaguar3003
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Re: Fair price for new Subaru Outback?

Post by jaguar3003 » Wed May 15, 2019 2:04 pm

I would check out Truecar.

I found it very useful in price comparisons.

Just use a fake phone number or you'll be inundated with phone calls

bloom2708
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Re: Fair price for new Subaru Outback?

Post by bloom2708 » Wed May 15, 2019 2:18 pm

origami wrote:
Wed May 15, 2019 1:52 pm
tainted-meat wrote:
Tue May 14, 2019 3:29 pm
Looks like a good price to me. Those are popular cars so I'm surprised you got that much of a discount.
As already mentioned here Outback is redesigned for 2020.
First year models are always "interesting". That might be a selling point for the 2019. X years in and most of the kinks worked out.
"We are not here to agree with you; we are here to provoke thoughtfulness." Unknown Boglehead

Ben Mathew
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Re: Fair price for new Subaru Outback?

Post by Ben Mathew » Wed May 15, 2019 2:27 pm

bloom2708 wrote:
Wed May 15, 2019 2:18 pm
origami wrote:
Wed May 15, 2019 1:52 pm
tainted-meat wrote:
Tue May 14, 2019 3:29 pm
Looks like a good price to me. Those are popular cars so I'm surprised you got that much of a discount.
As already mentioned here Outback is redesigned for 2020.
First year models are always "interesting". That might be a selling point for the 2019. X years in and most of the kinks worked out.
I've heard that manufacturers have solved much of the first year reliability issues. But I still like to wait till the 2nd or 3rd year of the model when possible. I'm not sure which year is the best balance between reliability, technology and price.

cheapskate
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Re: Fair price for new Subaru Outback?

Post by cheapskate » Wed May 15, 2019 2:32 pm

Whether to wait for the new model or get the current one depends on whether (a) the features in the new model are worth the extra $ (b) one is happy with the features in the old model (c) is the car going to be driven until it dies or whether it will be traded up in a couple of years.

I always hang onto cars until they die (or it becomes economically unjustifiable to continue repairing them), I usually am happy getting a good deal on the outgoing model. In this case, the fact that safety features (Subaru EyeSight) were standard on the outgoing model was good enough for me (I was in a rush to buy so could not have waited for the new model anyway, even if it has better safety features).

02nz
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Re: Fair price for new Subaru Outback?

Post by 02nz » Wed May 15, 2019 2:41 pm

bloom2708 wrote:
Wed May 15, 2019 2:18 pm
origami wrote:
Wed May 15, 2019 1:52 pm
tainted-meat wrote:
Tue May 14, 2019 3:29 pm
Looks like a good price to me. Those are popular cars so I'm surprised you got that much of a discount.
As already mentioned here Outback is redesigned for 2020.
First year models are always "interesting". That might be a selling point for the 2019. X years in and most of the kinks worked out.
The 2020 redesign sticks with the same basic engine and transmission (in the base model at least) but moves to the Subaru Global Platform, meaning the same suspension and other components have have been on Impreza, Crosstrek, and Forester for a few years now.

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