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Discussion Starter #1
The V-6 Rav4 I am supposed to be picking up this Friday will cost me $23,928.00. The dealer assured me that this is $500.00 over invoice. Since the vehicle retails for about $24,950.00 I know that cannot be correct. The vehicle has an eight percent markup. If you multiply 0.92 times $24,950.00 this=$22,954.00 if you add $500.00 to that amount it equals $23,454.00.
Where does the difference but nearly $500.00 come in? I got my answer in the form of a fax from a Texas Toyota dealer. As a part of his "cost" he included two% hold back and one% finance reserve! In actuality these amounts should be deducted from the invoice to arrive at the dealers true cost, not added to it. I'm not trying to gouge the dealer, but I do need them to be honest about the price they're selling it to me for.
:x
 
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you are also calculating it wrong. If dealer margin is 8% (i dont know, you said it), then it is 8% added to their invoice price. It is not the same number as when you deduct 8% from final price.

I think we should have one big pricing thread, instead of many pricing threads. I am sure there is more to discuss about the vehicle than pricing alone.
 

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Omega,

The dealer invoice includes 2% holdbacks and 1% finance reserve. On top of that it also includes about $600 for administration and advertising fee. I got mine at the dealer invoice (includes 2% + 1% + $600). In addition, they threw in all-weather mats and cargo tray. To me, that two items worth about $200 which is about the 1% finance reserve. I think it's good buy for me. The only dissapointment with the dealership is alarm installation. I will not take my vehicle back to them for any services in future. I think changing oil would not be an issue but definitely not services require prying.

Good luck...
 

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Discussion Starter #6
The model I am getting has side bags, Alloys, tint, mats V-6 base. It has a few other minor options I can't get to at work.
 
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