rex

iTrader: (2)

Can someone give me an example of how dealers are calculating the on-the-road price of RXs in Seattle,WA? I'm planning on ordering an RX-8 and want to understand the math as it relates to trade-ins. One dealer claims that they calculate tax on the trade-in and subtract that from the tax you pay on the new car. Has that been your experience? Got a formula that includes the MSRP (sigh), trade-in value, tax, destination charge, license fee? What else are they adding to your on-the road price?

Anyone getting anything thrown into the deal as a result of good negotiation? I'm assuming MSRP is MSRP, but I don't like to go down without a fight. That's part of the fun in buying a new car!

Thanks!

Icemastr

Tax is tax on a car, it is unlawful for the dealership to absorb some of the sales tax on the car, depending on what county you are in you will have to pay the sales tax on the full purchase price of the car. You will have to pay MSRP, which includes your destination charges etc. Plus you will probably have to pay a dleaer markup of $2000-$3000, since there are limited numbers right now you wont be able to bargain much. I have no idea what you plan on trading in, but whatever you trade in and your downpayment will be deducted from the full purchase price of the car. For a fully loaded GT 6 speed expect to pay $31,000-$36,000 plus about $3000 in sales tax. You will also have licensing fees and several other fees that will be about an additional $500/more estimated maximum (that was the average in California, havent done Auto Finance in Washington yet). Plus financing charges on your amount financed.

rex

iTrader: (2)

Thanks Icemastr. I ordered my car last weekend so I got to see how the price was broken down. One dealer had given me misleading advice about the trade in and tax. It sucks to be slimed like that. Anyway, it's pretty simple like you said, the trade-in reduces the cost of the car and then tax (9.1% in Seattle, ouch!) is calculated on the remainder. The destination charge was part of the car price and subject to tax and the license fee was added on after the tax. They were selling the car at MSRP, but I got a good deal on my trade-in so I'm reasonably happy with the deal.

DRx

I got the sticker dropped 550 bucks by telling them I didnt want the Bose system on the exact car I wanted to buy. I told them I would not pay for something I would just take out anway (snicker).

Anyway, the salesman told me they would rather sell me the car for $550 less than sticker rather than order me the same one without Bose. I'm kind of evil though- from the first second I planned on getting one with Bose LOL.

Was a quick way to chop a little off the MSRP. I took gap insurance though, so that kind of negated the price of the stereo - $450 bucks... but gap coverage is worth it.

3Rotor

Actually. in Washington State, you do get a sales tax credit on your trade in - assuming you paid the sales tax once already (there is always some exception). I did this with my wife's last car. I bought a $30K van for her, and traded in her wagon for 18K. I only had to pay sales tax on the difference of 12K. I thought this was weird, but my neighbor whose family owns a Caddy dealer told me about it. It's hard to believe, but true.

Rick

9.1% tax is high. I think you could save a few hundred in tax $ by buying your 8 in another county. The tax on my 8 was 8.3% in Spokane.

Spinny 3ngls

just out of curosity i love in oregon and have heard that oregon residents dont have to pay sales tax on cars in wa. does anyone have any experience with this. i am hoping to save a few bucks if this actually works.

also i have been given a quote by one of the internet fleet depts of $28,500 for a yellow 8 with the spoiler and 1tr package. is this a good price or not.

Thanks

dang

If you live in Oregon, then you already dont have to pay sales tax if you purchase in Oregon.

If you live in Washington, and buy a car in Oregon, then you dont pay sales tax until you license the car in Washington. You can't register it in Oregon unless you are a Oregon resident.

If you are a resident of washington, then it's better to just buy your car in Washington so you can include the tax/licensing fees in with the purchase price, unless you have the $$ to pay out at the DMV when registering your car.