I'm looking to buy a car. Looking at a small/medium sized car. Currently looking at a hyundai i30 or the honda civic. But my question is, is it really that much cheaper buying a car at the end of financial year? ie in june.
This is my first purchase so I have very limited knowledge in this field.
Also, if anyone can answer this too. I noticed that the drive-away prices listed on the manufacturer's website are always a little bit, if not even 2-3k dollars higher than the prices listed in carsales (and yes, i'm not looking at the demo vehicles but actual new). Is there a particular reason why? Does that mean I can go to the car dealers and ask for price match if I quote the prices on carsales?
Thanks!
Purchasing a new car at the end of financial year
donedeed on 16/05/2014 - 22:43
Comments
Not always true, there is a driveaway price at the bottom of the list price if on road costs are accounted for- best insurance rates for driver, of course it is case to case.
Yep, what he said - a car we're currently looking at, a dealer is offering drive-away price 3k less than the manufacturer's price. That's a fairly hefty discount.
To answer part 1, because June is the last month of the financial year, it is the last chance for salespeople and dealerships to hit yearly targets.
It's not impossible to get a good deal at any other time of the year, but it's usually a hell of a lot easier in June - some of the advertised eofy deal prices are what you'd only get after a fair bit of haggling.
Not everything goes on sale - it's important to know what the car normally costs to know if you're actually getting a good deal.
Not sure if you already know this, but normally the dealership routine is:
Salesman shows you the car, takes you for a drive and prices up the car for you. You either agree, ask them for a better deal or tell them you're still shopping around. They'll sometimes try sweeten the deal at this point to try get you to commit. This is the driveaway price which is what you need to compare between dealers.
If you agree, then they ask if you want any accessories (floor mats, roof racks etc) which get stuck on top of whatever you agreed on. It's usually better to get these thrown in the quote at the first step.
Next you'll get taken to the well presented extras saleswoman, who will offer all sorts of things to protect your car at massive markup. Paint protection, tints, rust protection, fabric protection, sensors etc etc. All of these are available after market so if the dealer can't offer you an acceptable deal don't worry. High markup so highly negotiable. I've found ceramic paint protection and tints to be handy if you're intending to keep the car for a while. Other types of paint protection don't seem to work as well at least for me. This gets added to the cost.
Next stop is where you'll be offered car finance. Usually it's not cheap to finance through the dealership's finance, unless there is a good finance deal.
Finally you'll be asked to leave a deposit (if settling by bank cheque / eft) and if you want extended factory warranty. If something is going to go wrong it usually happens in the normal warranty period.
Good luck with the search - the Toyota corolla and VW golf are also worth a look in this segment if you get a chance to check them out.
Thank you so much!
Nice write up, but personally stay away from all in step 3 IMO. Better off getting them done by a professional detailer / tint installation mob. Since they aren't working through the dealer, the dealer won't be adding their extra cost on top.
Hi, If you decide on an i30 I can recommend Heartland Hyundai.
Just ordered one from them - $500+ cheaper than I could find from other dealers in Sydney area.
Not even a car broker could match the price.PM me for details if interested.
New i30 is very nice but also consider Corolla accent sport for similar money as it has a lot better resale value…both should be around $22-23 mark auto on road…
I have a Honda Civic 2012 Series 1 model, my would advise you test drive 2 or 3 times before considering buying it.
I found that when I stop at a T-junction, always have trouble looking for the cars coming from the right and left because the window bar caused blind spot.
From Carsales website and explains the 2-3k delta.
Price Guide (EGC)
Refers to the recommended retail price provided to us by a manufacturer (also known as MSRP – Manufactuer Suggested Retail Price) for a vehicle and excludes costs, such as options, dealer delivery, stamp duty, and other government charges, that may apply. Always check the single figure price with the seller of a vehicle before purchasing.