Ok buying a NEW truck questions.

Even if they dont let you walk and throw out lower prices as you walk out the door. If they are that desperate, they can go lower. 24hours to think about their commission going away on a sale they have worked over a month to get will have them begging you to take the truck at a lower price. That when you throw in things like, I want an extra set of keys, a new mattress, etc. There are no rules to negotiation and nothing says you need to be nice lol

 

i tell them what I want. If they try to sell me something different I explain to them i DON'T want to hear it. I've done my research and i know what truck i want. If they can't get that simple fact through their head, then I don't do business with them. Salesmen need to realize they are working for me. I'm the buyer and without me, they dont have a job. If they cant get me what i want then i simply will do business with someone else. If they try to play games, I simply dont play. I dont put up with their BS and many relize shorty I wont fall for their stupid bait and switch. Either sell me what i want even if you get less commission or dont sell me anything and get nothing. You need to be strong as a buyer and show them whos boss.

 

Richter, I purchased brand spanking new off the lot in 2006. I haven't seen your original question answered as far as "how low can you go", so I will let you know my experience. My sticker/invoice price on a fully loaded Volvo VT880, was close to $180,000, the actual selling price was $125,000 FET included. IMO, I wouldn't ask a dealership to spec a truck out, then buy from that dealership unless the price was great!! You could have 2 identical trucks and still be comparing apples to oranges due to incentives for certain dealerships, engine manufacturers, warranty coverage, and regional incentives as well. I would rather find the truck you want or close to the truck you want, negotiate price and such, then go to see if the dealership can match it. You may be able to find exactly what you are looking for and save tens of thousands of dollars. I found 3 identical trucks and ended up saving over $20,000 off the base price, plus I got over $30,000 for a Columbia when most dealers wouldn't give more then $20,000. So in short, ask for the world, especially because you are approved.

 

I agree with jbatmick 110%. Have you looked into gliders?

New truck smell without the maintenance headaches and more fuel efficient as well.

http://www.fitzgeraldtrucksales.com/

http://www.fitzgeraldtrucksales.com/peterbuilt-389-flat-top/

http://www.fitzgeraldtrucksales.com/videos/

Look, I don't have any direct experience with Fitzgerald, but I've talked with several owners and they couldn't be happier. Saw a Fitzgerald Freightliner Coronado yesterday next to us when we were sitting at a light and the better half actually commented on it.

She has good taste.

 

I have driven them all. You put into a truck to fit your needs. I like Freightliner. With a real large Kitty. & a 15 over. Enough radio, & stereo to make a normal person pass out, & you have my truck. I'll pull 48,000 like a paper weight.

 

The question at that point becomes will GE or any finance company change their terms(interest rate or length of loan) due to buying a re-man motor?

I have a 2003 that I hope lives forever, which I know it will not. But honestly cannot imagine spending north of $125k to depreciate at the minimum $45k in two years. That is a huge hit as a single owner op. Now if you own 6 - 10 trucks in a small fleet & can cash flow the truck even if it is sitting, that is a different story.

Something else to figure into the numbers(am sure the original poster has) but in general is how much more is the insurance going to run covering a 100 plus thousand dollar truck vs $30 thousand(or less).

 

Got a new glider from Fitzgerald in Nov.of 2013 GE capital loan 100% 72 months 8.4 interest rate. Columbia with 13 speed out the door for 113000 payment is 2024 a month no balloon. Have good credit in business for 5 years only one year did business show a profit. Put my down payment back in bank. Know to many O/O with these new trucks getting the SCR and DPF fixed on there dime plus all the lost of work is killing them and it 9k for warranty on cummins. Do not believe these dealers the new trucks are breaking down allot. On price I had a KW dealer on a T660 sticker 18600 down to 141000 some say figure around 73% of sticker price.

 

Oh forgot to say the KW price was with FET included.

 

I also got 100% finance offer from GE with a great interest rate. I would caution you to reconsider doing this. If for ANY reason you need to get rid of the ruck in the next couple years you're going to be writing a huge check just to get out of it. If you buy a new truck, you WILL be in the shop getting warranty/recall work on it. It won't necessarily cost you out of pocket but the downtime hurts the pocketbook just as much. Not only that but consider what brand you're buying and the dealer support you will get. Last but not least, negotiate hard. It's the end of the year, you're likely to be able to work them pretty hard on the final number because they will want to do the deal before Dec 31. If you can't get more off the price of the truck ask for some other freebee's like free oil changes or something.

 

If debt to income is an issue and you MUST pay off your two cars BEFORE you qualify for 100% financing then ignore this post. But IF you do not have to pay them off first, find out the real value of your old truck (NOT the "trade in value"). If you could sell that truck today on truck paper for $20,000, immediately subtract that number from the price of the new truck. You will NOT pay sales tax on that $20,000. You will NOT (obviously) pay interest on that $20,000. Now that you are pre-approved and not doing 100% financing, you have far more power to negotiate with GE on the buy rate. No matter what your FICO is, you are not getting the best interest rate if you do not negotiate for a better one. A very common misconception is that you haggle with the salesman on the price but the rate is set in stone because it is set by your credit score. That is not at all the case. I have seen far too many people brag about beating the salesman up for $1,500 then I ask "how much over the buy rate did you get"? **Chirp chirp, blank stare**... Congratulations, you got the price down $1,500 but will pay $4,000 more in interest than you needed to over the next six years!

Typically with an excellent FICO most finance companies will not add too much on top of their buy rate because they know you have options. Use those options if GE is not willing to negotiate. The minimum added to your rate is 25%, meaning, if you are offered 10% financing on that truck, they are paying 7.5% to borrow that money... For those who don't understand, GE or Chase, (any lender) do not use their own money, they are merely a guarantor so they borrow the money (they must have a portion of the amount in holdings, called a leverage ratio) ... I digress. With a very good FICO score they will be willing to narrow their profits more than they would with a poor FICO.

Here is how you go all in.
Tell GE (and a few other lenders) "I have about 10% to put down but if I do I want a lower rate". Negotiate when they say that is a low as they can go (it is not).
Tell the dealer "I am pre-approved for a set amount" (DO NOT TELL HIM HOW MUCH!!!). Then tell him "I have a trade in". Stand firm on the trade in value (trust me, they will take a small loss to move a 2014 out the door). Now that you have established a lower interest rate, you are now paying less for the new truck due to the trade in (therefor you are being taxed less and paying interest on a lower amount) now is the time to start negotiating the price of the truck. DO NOT start with the sticker price, it is your job to research the dealer invoice on the truck... THAT is the number you start with, assume that they just want this thing off their lot, they are willing to break even or take a small loss on it. They will (of course, its their job) tell you "oh, we have three other guys willing to pay sticker for this baby"... Stick out your hand and say "thanks for your time, have a nice day, I'm going to the other dealers"...

Remember, you have a hundred other places to buy that truck, he has one customer a week that can legitimately buy that truck.

Watch truck paper, when you start seeing 2015 models showing up, go buy a 2014. FYI It should be within the next few weeks. Your 2013 tax situation should dictate whether you do it this week or in January.