Brand New Car Prices – Just How Low Can Brand New Car Prices Go?

People dislike dealing with car salesmen. No-one ever knows what they are hiding. In fact, thank goodness for web sites like TrueCar and Edmund’s, without those you’d never know what kind of brand-new car pricing was reasonable, right? Before I reply to that question for you, perhaps you could answer it for yourself. Does the world work in such a way that you are ever told what anything you purchase a really costs the seller? From a hot dog on a street hot dog stand to a Sony flatscreen, all you hear is that one store attempts to beat another on pricing. You would never know how low things can go, because no-one tells you what the true cost to a seller is, purchasing the stuff he deals in. Why on earth would web sites like MSN Automobile or Edmunds do this great thing for you that you see nowhere else in the world? It is straightforward – they are not really doing this for you. They merely want you to believe that they are.

These web sites are not cheap to produce and maintain. How do they cover their costs? If you will look a little closer, those web sites are totally full of banner ads from the car companies. Each time a visitor to the web page clicks on one of these banner ads, the web page makes at least $10. They definitely are not going to do anything to aggravate their cash cow. What this means is, they can never tell you the plain truth about how much the car companies and their car lots are making. This is not like selling used cars, remember – with used cars, the dealers have more power over their stock of used cars than they do with their stock of brand-new autos. What they are able to and do tell you reliably is how much the sticker price is at any given car car lot. They also tell you all about the sales going on at the minute. Which info is useful, but not really something that is quite hard to find yourself.

Sites like Edmund’s try to sell you on something referred to as the True Market Value on each car. They say that this is your target for the cost you need to work your seller down to when you go in to buy a brand-new car. They also say that it’s the average cost paid in the market now. How can the very best cost be the average? An average cost has to be higher than the very best price. The fact is, you could really work the cost down from the target prices which Edmunds gives you.

Your only difficulty is, no-one tells you how low you can go. People think that no matter which car lot they go in to, they’ll usually get the same prices quoted. Think again. Different dealers have different haggling philosophies. New car pricing can many times very by hundreds of bucks from dealer to dealer.

Those philosophies can change from week to week. A dealer with an extremely low price to pay can have an extremely high price tomorrow. Information is your best ally when you go in to buy a brand-new car. Even if the dealer smiles at you, he’s not really on your side.