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It’s in scare quotes because it’s not a fee, it’s just a way of raising the price.
> it’s just a way of raising the price All fees are a way of raising a price.
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Presumably it's reasonable because it's supported by market conditions?
Market conditions explain the higher price, but why does the extra money go to the dealership rather than the manufacturer? I think something other than the market is at work here.
Because the manaufacturer decided to not raise the price. This means the next person now has the ability to raise the price.
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This price tracker[1] shows that the price of the Model Y has increased about 9-12k depending on trim over the past year. Are you happy because that's less than 15k? [1] https://docs.google.com/spreadsheets/d/1F5IQOynIawoXiJPVarLD...
Better that excess demand is captured by the manufacturer, which can be reinvested into manufacturing, than the dealer. I far prefer the transparent pricing of Tesla, and its now the only manufacturer I'd consider buying from in the USA.
An interesting comment considering this is above a story of Tesla cutting functionality via a software update for a customer years after purchase and demanding thousands to undo it. That sort of stuff, their lackluster QC and the erratic behavior of the CEO has me pretty skeptical of them as a company.
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15k dealership fee is unreasonable.
Presumably it's reasonable because it's supported by market conditions?
In my not so humble opinion, while the used market can do what it may, MSRP is MSRP. This goes for GPUs as much as it goes for cars. I understand shortages. I am ok with waiting lists. I do not appreciate profiteering. Any dealership that tried to stick me with such a markup not only would blow the sale, but would not get my business in the future.
I was hoping to buy a new car this year but frankly, there's nothing wrong with my 2012 Nissan Altima right now. I'm going to wait and hope that this craziness subsides soon.
Likewise. Toyota Auris 2011 owner here. Does what I need it to do. Not even sure what I’d replace it with, but there’s nothing I’m looking at that comes close to justifying it’s cost versus just keeping this running.
I was hoping to buy a new car this year but frankly, there's nothing wrong with my 2012 Nissan Altima right now. I'm going to wait and hope that this craziness subsides soon.
Likewise. Toyota Auris 2011 owner here. Does what I need it to do. Not even sure what I’d replace it with, but there’s nothing I’m looking at that comes close to justifying it’s cost versus just keeping this running.
The aluminum engine is great for fuel efficiency, and the chain transmission instead of belt is convenient.
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It's not just supply and demand, because the manufacturers have been pissed at the dealership markups, because it makes them look bad. And the manufacturers can't do anything about it because of state enforced middlemen in the car sale process. And it's not scare quotes, I'm just using the phrase that they used, which I had never heard of before. And, it was unreasonable, because of some details which I did not inclu…
Well there are destination charges/dealer prep/paperwork etc. I recently had to buy a car. And by all indications low-mileage used are hot tickets right now. Had to pay something like $500 in dealership charges which is more than I've paid in the past I'm pretty sure but not highway robbery. Didn't even try to negotiate the sticker price but, to my surprise, was about to get the price for some "factory installed opti…
I bought one last Fall for sticker price and as the commute to my daughters school is 50 miles rt we fill the tank once a month or so. Basically a great gateway drug to fully electric, which is what I want when I can get an F150 which is not taking orders atm.
That means it takes an hour to drive there and back?? Twice a day?!
Supply and demand, yadda yadda, sure. I can accept that the observed behavior on my end is "pay up or wait". What I cannot accept is that the dealerships are pocketing all the markups.
Why?
Supply and demand, yadda yadda, sure. I can accept that the observed behavior on my end is "pay up or wait". What I cannot accept is that the dealerships are pocketing all the markups.