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Year: 2020
Trim: XLE
FWD or AWD: AWD
Color: Super White with FA20 Black cloth Interior
Options: All Weather Floor Liners and Cargo Liner
MSRP: $30,034
Sales Price: $28,740
Taxes + fees: $2,478 + $767
TMS Credit: 0
OTD: $31,986

I opted to take 0% financing instead of the rebate.
 

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Hello, I have been reading through this thread and had a question. I plan on purchasing a RAV4 XLE FWD soon and was wondering if $25,000 OTD was a feasible ask? I want to go to several dealerships and make that bid. Is $25k OTD asking for too steep a discount on an XLE in your opinion or is it worth pursuing.
 

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2020 RAV4 XLE Premium AWD
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Hello, I have been reading through this thread and had a question. I plan on purchasing a RAV4 XLE FWD soon and was wondering if $25,000 OTD was a feasible ask? I want to go to several dealerships and make that bid. Is $25k OTD asking for too steep a discount on an XLE in your opinion or is it worth pursuing.
Look up the invoice price w/the included options of the car via one of the online car sites; I use NADA.

The invoice is supposedly the price the dealer paid to the manufacturer to get the car - however there are hidden discounts in that price that we don't see, so don't take that number literally.

You typically want to shoot for a price close to or slightly below the invoice price (before taxes and fees). Also keep in mind that if they are offering a manufacturers rebate, the dealership keeps that money, so don't be afraid to shoot for an amount below the invoice price keeping that in mind.

In addition many dealers add a "documentation" fee (it's $700 in my area!). Also dealer add-ons are usually a total rip-off. I looked at a Subaru recently that had $5K of dealership add-ons that were totally bogus, like nitrogen filled tires, paint protection film etc that was way overpriced. These are there to hide additional profit for the dealer, so add those amounts into your overall target price.
 

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Look up the invoice price w/the included options of the car via one of the online car sites; I use NADA.

The invoice is supposedly the price the dealer paid to the manufacturer to get the car - however there are hidden discounts in that price that we don't see, so don't take that number literally.

You typically want to shoot for a price close to or slightly below the invoice price (before taxes and fees). Also keep in mind that if they are offering a manufacturers rebate, the dealership keeps that money, so don't be afraid to shoot for an amount below the invoice price keeping that in mind.

In addition many dealers add a "documentation" fee (it's $700 in my area!). Also dealer add-ons are usually a total rip-off. I looked at a Subaru recently that had $5K of dealership add-ons that were totally bogus, like nitrogen filled tires, paint protection film etc that was way overpriced. These are there to hide additional profit for the dealer, so add those amounts into your overall target price.
Thank you for your response. Looking at the website, the Invoice Price Plus Destination fee is $26,594. According to US News, there is a $1,500 cash back incentive until 8/31. A good target for me then would be $26,594-1500-800 (800 is to account for hidden discounts)= $24294 plus TTL. Taxes are 5% and Doc Fee is ~$220 for my region so:
24294 + 220 (Doc)+ 1362 (5% of 27k MSRP)= $25,876 OTD.

Is that a reasonable ask or am I wrong about the math somewhere? This is assuming no dealer add-ons. Thank you.
 

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Thank you for your response. Looking at the website, the Invoice Price Plus Destination fee is $26,594. According to US News, there is a $1,500 cash back incentive until 8/31. A good target for me then would be $26,594-1500-800 (800 is to account for hidden discounts)= $24294 plus TTL. Taxes are 5% and Doc Fee is ~$220 for my region so:
24294 + 220 (Doc)+ 1362 (5% of 27k MSRP)= $25,876 OTD.

Is that a reasonable ask or am I wrong about the math somewhere? This is assuming no dealer add-ons. Thank you.
I think that sounds like a fair price. I'd start lower and work your way up to the number you want. Also look at their inventory online, if they have a large number of the RAV4 model you want sitting on their lot, they will be more flexible.

If you have a trade-in, don't let them work it in as a part of the deal; do it separately. Some dealerships play fair, others play the usual games. I will usually walk out the door on the first round if they don't give me what I want; they always call back.

I personally hate haggling w/the dealers and the games some play. On my latest round, I went through Costco's auto buying program for the very first time. Something to definitely check out if you are a Costco member; you will get a no-haggle OTD price via email. I was pleasantly surprised at the price they gave me.
 

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Hello, I have been reading through this thread and had a question. I plan on purchasing a RAV4 XLE FWD soon and was wondering if $25,000 OTD was a feasible ask? I want to go to several dealerships and make that bid. Is $25k OTD asking for too steep a discount on an XLE in your opinion or is it worth pursuing.
In addition to NADA, check KBB and Edmunds, link below.

The virus dilemma has made it a non predictable time to purchase a vehicle. Much depends on the dealers in your area with inventory and demand. In my area (Texas) the asking price for the XL and XLE just went up 1K - 2K ( avg about 2K over invoice). That is without negotiation.

Dealers seem to be trying to profit by getting max price but offering Toyota discounts from that max price and financing incentives. Wish you success in your deal !

https://www.kbb.com/

TMV - True Market Value | Edmunds
 

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In addition to NADA, check KBB and Edmunds, link below.

The virus dilemma has made it a non predictable time to purchase a vehicle. Much depends on the dealers in your area with inventory and demand. In my area (Texas) the asking price for the XL and XLE just went up 1K - 2K ( avg about 2K over invoice). That is without negotiation.

Dealers seem to be trying to profit by getting max price but offering Toyota discounts from that max price and financing incentives. Wish you success in your deal !

https://www.kbb.com/

TMV - True Market Value | Edmunds
Gotcha, looking at KBB and Edmunds (amazing tool for leasing too) it seems that 26.5k and up is suggested for retail. Do you think asking for 25K OTD is worth a shot, or is that too far off what is suggested by KBB and edmunds?
 

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Gotcha, looking at KBB and Edmunds (amazing tool for leasing too) it seems that 26.5k and up is suggested for retail. Do you think asking for 25K OTD is worth a shot, or is that too far off what is suggested by KBB and edmunds?
imo, would not hurt to open with that offer though very low and doubt it would be accepted. I would initially probably offer 25.5K minimum.

But as stated, so much depends on your area and demand and inventory. Don't lock yourself into one dealer, check several if feasible per your location and let them know they are competing. Personally, I am the type of buyer that would drive 100 miles to get a better deal.

Also, there may be some hot deals for Labor Day weekend. The '20 Rav was released in Nov '19, so the '21 model may be released approx the same time frame unless production affected by the virus.
 

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imo, would not hurt to open with that offer though very low and doubt it would be accepted. I would initially probably offer 25.5K minimum.

But as stated, so much depends on your area and demand and inventory. Don't lock yourself into one dealer, check several if feasible per your location and let them know they are competing. Personally, I am the type of buyer that would drive 100 miles to get a better deal.

Also, there may be some hot deals for Labor Day weekend. The '20 Rav was released in Nov '19, so the '21 model may be released approx the same time frame unless production affected by the virus.
Understood, I will try to get 25k OTD. Do you have any tips on how to structure an email to a dealer, like can I just say- "I am looking to buy a RAV4 XLE FWD, stock #: [#], and I would like to pay $25k OTD, all fees and taxes included in the $25k. Please let me know if this is possible."
 

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Understood, I will try to get 25k OTD. Do you have any tips on how to structure an email to a dealer, like can I just say- "I am looking to buy a RAV4 XLE FWD, stock #: [#], and I would like to pay $25k OTD, all fees and taxes included in the $25k. Please let me know if this is possible."
Sry, no experience in making offers by email. Hopefully, others may opine. I would cc each dealer with one email to let them know they are competing. May want to search the 'net for info on structure.

With due respect, 25K OTD is likely not realistic for the XLE model. imo, 26K plus, and add TTL, fees, (another 2-2.5K) would be a good deal.

Scan this thread from the beginning for info.
 

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Sry, no experience in making offers by email. Hopefully, others may opine. I would cc each dealer with one email to let them know they are competing. May want to search the 'net for info on structure.

With due respect, 25K OTD is likely not realistic for the XLE model. imo, 26K plus, and add TTL, fees, (another 2-2.5K) would be a good deal.

Scan this thread from the beginning for info.
Gotcha, hopefully I find luck. I saw a few people get a Camry XSE for 25k OTD, so I was hoping the same would be possible for a similarly priced RAV4 since they are both Toyota.
 

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Gotcha, looking at KBB and Edmunds (amazing tool for leasing too) it seems that 26.5k and up is suggested for retail. Do you think asking for 25K OTD is worth a shot, or is that too far off what is suggested by KBB and edmunds?
Email for an e-price a couple days before month end and tell them your ready to buy NOW if you get a price you like. If you don't get a response or a price you like call the dealer and ask to speak to the internet sales manager and tell them the same thing. You can put a price out first if you like or see what they come up with - it likely won't matter who goes first. They have a price they need to hit. If there getting close to hitting there quota for month end then they might make a deal. If they already hit their quota they likely won't be in any mood to make a deal no matter what.

Or at least that worked before CV19. From this board it appears dealers feel they have the upper hand due to limited inventory and really low finance rates - since most people only care about monthly payment. Car dealers make a living understanding the short term automotive trends and capitalizing on it, so if your not in a rush patience is your friend. Inventory might be low and prices high now - but production will catch up at some point, and $600 extra a week unemployment will dry up eventually - so once the overall economy softens deals will be had - if your fortunate enough to not be on the loosing side of the economic softening
 

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Or at least that worked before CV19. From this board it appears dealers feel they have the upper hand due to limited inventory and really low finance rates - since most people only care about monthly payment. Car dealers make a living understanding the short term automotive trends and capitalizing on it, so if your not in a rush patience is your friend. Inventory might be low and prices high now - but production will catch up at some point, and $600 extra a week unemployment will dry up eventually - so once the overall economy softens deals will be had - if your fortunate enough to not be on the loosing side of the economic softening
Excellent advice !
 

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Email for an e-price a couple days before month end and tell them your ready to buy NOW if you get a price you like. If you don't get a response or a price you like call the dealer and ask to speak to the internet sales manager and tell them the same thing. You can put a price out first if you like or see what they come up with - it likely won't matter who goes first. They have a price they need to hit. If there getting close to hitting there quota for month end then they might make a deal. If they already hit their quota they likely won't be in any mood to make a deal no matter what.

Or at least that worked before CV19. From this board it appears dealers feel they have the upper hand due to limited inventory and really low finance rates - since most people only care about monthly payment. Car dealers make a living understanding the short term automotive trends and capitalizing on it, so if your not in a rush patience is your friend. Inventory might be low and prices high now - but production will catch up at some point, and $600 extra a week unemployment will dry up eventually - so once the overall economy softens deals will be had - if your fortunate enough to not be on the loosing side of the economic softening
Thank you for your advice, I have started reaching out to dealers with the $25k OTD offer for a RAV4 XLE FWD. Doing further research, I do not think I will get a dealer to bite. Do you think that price range is possible for a CPO Used 2019 RAV4 XLE? I imagine I will follow the same steps (email dealers with the price tag) just wondered if that seems like the more possible option. Thank You.
 

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Thank you for your advice, I have started reaching out to dealers with the $25k OTD offer for a RAV4 XLE FWD. Doing further research, I do not think I will get a dealer to bite. Do you think that price range is possible for a CPO Used 2019 RAV4 XLE? I imagine I will follow the same steps (email dealers with the price tag) just wondered if that seems like the more possible option. Thank You.
In July I bought a CPO 2019 RAV4 XLE with convenience package & heated seats, less than 5k miles for $25,599 OTD (8% tax, $795 doc fee, $285 title and new tag). Low mileage CPO 2019 XLE with a sunroof are in high demand and supply is low in my area; each one I had found was sold in less than 72 hours after being listed.
 

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In July I bought a CPO 2019 RAV4 XLE with convenience package & heated seats, less than 5k miles for $25,599 OTD (8% tax, $795 doc fee, $285 title and new tag). Low mileage CPO 2019 XLE with a sunroof are in high demand and supply is low in my area; each one I had found was sold in less than 72 hours after being listed.
Thank you, that puts my target price into perspective. Do you think the 2020 RAV4 XLE will actually be cheaper than a used one because it does not come standard with heated seats and a moonroof?
 

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Thank you, that puts my target price into perspective. Do you think the 2020 RAV4 XLE will actually be cheaper than a used one because it does not come standard with heated seats and a moonroof?
I personally don't like the idea of a CPO to save a couple thousand dollars. Maybe a 2 or 3 year old one that saves you $10K. If money is that tight maybe a new car is not the way to go - keep what you have or buy something basic until your finances improve. Just my opinion - which itself is likely worth less than the $0.00 you paid for it :)
 

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Put a reservation for a 2020 XLE Premium Lunar Rock. They are hard to find right now in SoCal so no one is willing to negotiate to take too much off MSRP.

We are getting the cross bar, black emblem overlays, and mud guards added as well for $33,175 OTD.

The cost for Roof Rack Cross Bars is $348.20 installed
The cost for Mud guards front and rear is $184.66 installed
The cost for Blackout Overlay is $122.80 installed

Vehicle Base Model $29,950.00
Total Installed Packages & Accessories $269.00
Delivery Processing and Handling $1,175.00
Total MSRP* $31,394.00

INSTALLED PACKAGES & ACCESSORIES
50-State Emissions $0.00
All-Weather-Liner Package
 

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Hey everyone,

My local dealership is offering no haggle pricing (and they mean it they wouldn’t budge). They are offering $29,060 OTD for a 2020 XLE FWD here in South Florida. Link below. Is that a good deal? What do you all think?

 

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Hey everyone,

My local dealership is offering no haggle pricing (and they mean it they wouldn’t budge). They are offering $29,060 OTD for a 2020 XLE FWD here in South Florida. Link below. Is that a good deal? What do you all think?

That is not a good deal. That price includes the Toyota $1,500 cash rebate, so the dealer is only discounting $302 off MSRP. Don't be afraid to travel a little for the right deal. Expand your search radius on autotrader.com or cars.com. Within a 200 mile radius here in Ohio, I see advertised prices $2,900 off sticker with the $1,500 cash rebate for an XLE FWD. That is with no negotiation. Not that great, but fair considering the levels of inventory. I am waiting till September to see if the Toyota Cash rebate gets any better to buy.
 
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