Paid MSRP

As with all purchases whether shoes, clothing, a home, or stocks, decide ahead of time what the value of the car is to you and how much you are willing to pay for it.

My husband and I test drove several cars, including the Prius and the Honda Civic Hybrid, before purchasing our Prius off the lot. We got $500 off the MSRP, floor mats and rear bumper protector thrown in. This was in August of 2005. Katrina hit the Gulf three weeks later.

Sorry if this is bad news, I do love my car and it's everything I was willing to pay for but I think current hype has the Prius overvalued and overpriced in some areas and dealerships.

 

There is no reason to pay any dealer over MSRP. The manufacturers build dealer margin, or at least their view of acceptable dealer margin into the MSRP. Most dealers can live inside those bounds and at one point in time were happy to sell a car for MSRP, or what those selling cars call a "full pounder".

I tried to haggle with the dealers I was working with, but the only concession was the elimination of what they called "regional adjustments" and doc prep fees. "Regional adjustments" were always upward in nature above the MSRP. Funny that dogs of cars don't have "regional adjustments" downward.

Dealers put on the mark-up in the chance that somebody comes in and just accepts the price as stated. That opportunity is always there because there is always somebody out there with more money, or ability to take on debt, than common sense.

After being on varous Prius boards for a number of years now I'm amazed that folks will only shop 1 dealer rather than multiple dealers. That is really they key to getting a good deal on a car. Don't beat your head against the wall with one dealer, but go to multiple and get bids and give your business to whoever is the most competitive and most accommodating.