Buying Question - New Leftover 2015 Lariat
#1
Buying Question - New Leftover 2015 Lariat
A local dealership has a new leftover 2015 optioned pretty much exactly how I'd want it (crew cab, 5.0, 502a, sport package, etc.). MSRP is about $58k and they're asking roughly $48k (after smart bonus and other rebates). They're willing to give me full KBB for my trade in, but the problem is I can find other 2016 (not 2015) Lariat CC 502a's for about the same discount at other dealers (just not the exact configuration I want). I know 2017s are just around the corner - and I'm not in a huge rush, but also like this truck. Am I crazy for considering a '15 at this point? $10k off a soon-to-be 2 model-year old truck doesn't feel like a great bargain. Realistically, what kind of discount vs the '16s should I hope to get if I went with this option?
Last edited by benb123; 07-25-2016 at 07:57 PM. Reason: Typo
#2
#3
The dealerships perspective is it's a good deal and someone will take it. It doesn't have to be you. Asking for an additional $5k off will be very unlikely to happen unless it's truly their oldest unit (500 day old units and things like that). Chances are that award goes to a commercial piece. The rebate difference isn't that much from Ford, and the markup from invoice is the same. One difference to consider is how much would a comp '16 cost? I know on the SD lines between 15 and 16 was about $900, so even if the rebates are the same and the discount the same then you still would be about $900 ahead. If you're planning on keeping it until the wheels fall off, the model year won't make a big difference. Expecting the dealership to take a several thousand dollar loss won't get you far. KBB is probably a grand or two higher than what actual cash value (ACV) is of your trade, so with that factor also in mind, you are getting a pretty strong deal. If you want to go a little better, your best bet is to go in ready to sign and tell em you need $X. Show em your serious and the manager may work with you. You won't have much leverage over the phone, and less by email. At the very least, go to a site that will show you the invoice on the truck and determine your offset. Hard to give read on the overall deal without really knowing the difference between ACV and KBB for the trade. Comparing deals from other states is a challenge to due to advertising and marketing laws.
#4
10K off is strong and the KBB offer is strong. Perhaps work a deal from a different approach. Ask the dealer to sweeten the pot a bit with an ESP, a maintenance deal, bed liner if it doesn't have one or something similar. But, you have to do it in person. They can't sell you anything over the phone.
I personally wouldn't go after a truck that was two model years considering the 2016's will be on their way out to make room for the new MY.
I personally wouldn't go after a truck that was two model years considering the 2016's will be on their way out to make room for the new MY.
#5
Thanks for all the input. My issue with this one is that there's another dealer in the state (Massachusetts) listing 2016 502a Lariats online for $10-12k off msrp. They all have the chrome package instead of sport but are otherwise pretty comparable. If I can get $10-12k off a new 2016 it feels like I should do even better, discount-wise on a 15. I tend to keep cars for about 3 years at most, so even though I would be ok with a 2015, I really don't want to overpay for it. I'd think this truck must have been sitting on the lot for close to a year, if not more by now. If they've been sitting on this for a year and it's depreciated $5k I'm not going to be the one to make sure they turn a profit on the sale. Maybe not the right way for me to think about this, but I'd imagine that at some point they would stop worrying about profit on this one and start thinking about minimizing losses. Then again, if they were thinking that way it'd probably be sold by now.
I bought my current truck later in the fall and got a fantastic deal on it, I so may just sit on the sidelines and wait for prices to drop more on the '16s if this one doesn't work out.
I bought my current truck later in the fall and got a fantastic deal on it, I so may just sit on the sidelines and wait for prices to drop more on the '16s if this one doesn't work out.
Last edited by benb123; 07-25-2016 at 07:58 PM. Reason: Typo
#6
I'm not familiar with Mass advertising, but here are a few things I normally rant about.
Whenever you see figures off MSRP they often advertise from "High MSRP". If you look at the window sticker you see the big price, but up in the listing there are often package discounts. For example, a 502a has a $1500 "Lar Lux Chrome or Sprt" discount. Maybe both places are using that to show the discount, maybe not. But that's $1500. Also, some states don't use destination and delivery as part of the vehicle sale price (though you'll certainly pay them). It's $1195 on the F150. Another thing to look out for is rebates you don't qualify for. It's generally perfectly legal to advertise rebates that have requirements, such as competitive lease agreement and college grad. That can add up quick (some don't combine, but others do).
'16 Lariat has $2k in normal rebates, $1500 for package discounts, $500 for financing with Ford at a horrible rate, and up to $2750 in additional rebates that have requirements to get them. There can also be up to $1000 in the smart tag bonus cash. There is $4-5k in markup between invoice and MSRP. A base MSRP of $45440 (before options and fees).
'15 Lariat has $2750 in normal rebates and no Ford finance rebate. Package rebates seem to be the same as well. There are only $1750 in additional rebates with additional requirements that I see to be compatible. There is also the likelyhood of getting the smart tag bonus cash on one of these. Markup is about the same. A base MSRP of $45090 (so only $350 difference between model years).
As I see it, if one dealership had both trucks on the lot, and you were getting your own financing, the '15 should cost about $1100 less if everything else is the same (including both having smart tag). It's tempting to compare discounts, but I'd be shocked if you can actually manage a genuine apples to apples comparison. It's possible, but takes much more than a visit to the internet. You can get a few hundred bucks better for helping them move the old unit for sure as well.
I hope that helps, and I apologize if I missed anything. It gets messy quick.
Whenever you see figures off MSRP they often advertise from "High MSRP". If you look at the window sticker you see the big price, but up in the listing there are often package discounts. For example, a 502a has a $1500 "Lar Lux Chrome or Sprt" discount. Maybe both places are using that to show the discount, maybe not. But that's $1500. Also, some states don't use destination and delivery as part of the vehicle sale price (though you'll certainly pay them). It's $1195 on the F150. Another thing to look out for is rebates you don't qualify for. It's generally perfectly legal to advertise rebates that have requirements, such as competitive lease agreement and college grad. That can add up quick (some don't combine, but others do).
'16 Lariat has $2k in normal rebates, $1500 for package discounts, $500 for financing with Ford at a horrible rate, and up to $2750 in additional rebates that have requirements to get them. There can also be up to $1000 in the smart tag bonus cash. There is $4-5k in markup between invoice and MSRP. A base MSRP of $45440 (before options and fees).
'15 Lariat has $2750 in normal rebates and no Ford finance rebate. Package rebates seem to be the same as well. There are only $1750 in additional rebates with additional requirements that I see to be compatible. There is also the likelyhood of getting the smart tag bonus cash on one of these. Markup is about the same. A base MSRP of $45090 (so only $350 difference between model years).
As I see it, if one dealership had both trucks on the lot, and you were getting your own financing, the '15 should cost about $1100 less if everything else is the same (including both having smart tag). It's tempting to compare discounts, but I'd be shocked if you can actually manage a genuine apples to apples comparison. It's possible, but takes much more than a visit to the internet. You can get a few hundred bucks better for helping them move the old unit for sure as well.
I hope that helps, and I apologize if I missed anything. It gets messy quick.
#7
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#8
That 2015 truck is going to be two years old as soon as the 2017's come out,period. IMHO You should be able to get the 15 for about $2,000.00- $3,000.00 less than the 16. If you don't get a great deal on the 15 when you go to sell it you are going to lose ,big time.
It cost per year a certain amount to drive a new vehicle for the first few years of ownership. If money is not tight I'd wait and get the 2017 unless you can get the 2015 for about $4,000.00-$6,000.00 less than a new 2017. I just bought my XLT and got more than 10 grand off before taxes so you should be able to do that with a higher priced Lariat, so the 10 grand off is a given, so you would need an additional 4-6 grand off because the 15 will be 2 years old. That means you need to get the 15 discounted $14,000.00-$16,000.00 off the MSRP before taxes.
It cost per year a certain amount to drive a new vehicle for the first few years of ownership. If money is not tight I'd wait and get the 2017 unless you can get the 2015 for about $4,000.00-$6,000.00 less than a new 2017. I just bought my XLT and got more than 10 grand off before taxes so you should be able to do that with a higher priced Lariat, so the 10 grand off is a given, so you would need an additional 4-6 grand off because the 15 will be 2 years old. That means you need to get the 15 discounted $14,000.00-$16,000.00 off the MSRP before taxes.
#10
#13
To the OP, what's the state inspection sticker read, month/year? Unless the dealer slapped on a new sticker to keep it all legal in a 12 month cycle, that would indicate how long the truck has been sitting. Additionally, you could look at the plate on the drivers door for a build date.
A little off topic to make my point: Currently GM is offering a 20% discount across the model line up. How they are doing this I'm not sure but what I'm sure of is that the American car builders price very similarly with hold back monies, etc. This all severely eats into the dealer's profit, win some, lose some.
The dealer is trying to turn a profit and your trying to save a buck, it's all fair and it's like old fashioned horse trading.
Read the bottom line on the Monroney sticker and offer them 80% plus TTL.
A little off topic to make my point: Currently GM is offering a 20% discount across the model line up. How they are doing this I'm not sure but what I'm sure of is that the American car builders price very similarly with hold back monies, etc. This all severely eats into the dealer's profit, win some, lose some.
The dealer is trying to turn a profit and your trying to save a buck, it's all fair and it's like old fashioned horse trading.
Read the bottom line on the Monroney sticker and offer them 80% plus TTL.
#14
Currently GM is offering a 20% discount across the model line up.
#15
The commercials I hear are more along the lines of "select models". I could be wrong, but I don't think I can go in and pick a car at random from Chevy and receive 20% off. Gotta find the right car with the right packages and the right rebates and qualify for the right stuff. Additionally, that figure would be based on the high MSRP, not the Monroney sticker price.
I may sound paranoid on this one but, my dealer for instance says to change the oil every 5000 miles or 5 months, which ever comes first. The owners guide says to change the oil xxxx miles or x months. That being the case, I would conclude that the engine oil in that truck is no longer serviceable as it has well expired it's time limit. The other lubes should be looked at as well. Additionally, this truck has had the pleasure of small test drives, prolonged sitting and still the dealer can't sell it. Unless the truck is a 1979 shade of Ford Yellow with red pin stripes, the dealer has issues.
To make my point, if one were to go to Auto Zone and buy a jug of oil and on the shelf sat two jugs, one jug said it was packaged 06/2016 and the other one said it was packaged 06/2015, which jug would we all buy? The newer one I'm certain.
Even though the warranty service date begins on the date of purchase, you couldn't sell me this truck.