Only thing missing here is that you can always prepay your loan. When I bought my current car, my plan was to buy cash. The dealer said that if I financed, I'd get a $800 manufacturer incentive pushing the price straight down. I took the deal immediately, didn't even ask the interest rate. The following month I took my hardly-saved cash and prepaid the loan in full. Overall I got a $800 incentive minus the $30 or so dollars in interest for the first month of financing... This video is a great introduction, but if you know your numbers in depth you can play a lot around these incentives.
Lol my line at all car's and motorcycles deals is "Go back and sharpen your pencil and lets get this done. You know what your putting in front of me isn't your best and I know it's not your best. Let's get this done or I am going to go to xyz dealership and get it done with them today." Usually get's me a better price to go around and shop with.
I’ve purchased two new motorcycles, a car and two trucks. I’ve never paid a single fee. Those that wouldn’t budge, I just walked to another dealership that would. You’ll find one, just keep looking, bc not all dealerships are created equal.
Went shopping for a 2022 Yamaha* Bolt today and walked out of 2 dealerships. They wanted 11,800 OTD for 8,599 MSRP. Full charges on everything. Didn't offer any discounts on anything and they watched me go. Shit is crazy right now.
You can't leave the dealership just paying MSRP. You have to pay taxes, license, title and doc fees. Granted ADM fees can be eliminated, but otd pricing at MSRP is wishful thinking unless they discount the bike at suggested price.
MSRP is between the dealer and the manufacturer. That's not my jam. If you copy and paste the MSRP as your sale price, that's something you decided to do. And if *you* price the bike that *you* are selling at $5000, I expect to pay $5000. Don't explain to me how much it costs to ship your inventory to you, or whatever the hell a "destination fee" is supposed to be for. I literally could not possibly give less of a shit. The "price" is the number of dollars you need to make the sale. It's not the number you think I need to see to get me to talk to you instead of the other guy. It's the number you need to get. If you can't be honest about that, any dealer should expect to waste a lot of his time on walk-outs.
Used to sell cars and this was great from the looking at the deal from the other side. Only thing I will add is that some dealers will accept the financing deal without actually having a bank backing it up. They will then call the buyer back to sign the actual deal backed by a bank. This is where the points, added costs come from as well. I left my job because when the dealer did this, they were also selling my deal to other sales reps. It was a dealership that had their own auto plaza selling different manufacturers new as well.
I walked out of a dealership because they up charged a $4000 motorcycle by an additional $2000. Plus, they offered me 18% interest but my credit score was 620 I have never missed a late payment so in short, they tried to screw me. I walked out.
I hate to break it to you but 800+ beacon credit scores right now are seeing 8/9/10% loans right now. It’s a toy. The bank sees it as a higher risk therefore it has a higher apr. As far as +$2,000, sounds pretty standard. Did you even try to negotiate?
I work in sales at a car dealership, my absolute hands-down favorite customers are the ones that come in with a monthly payment as their goal don't do it this way
Bike for 4700 dollars in fine print, it says not including $500 freight, $250 set up fee. So they're already up to 5,450 without tax, licence, registration.
thanks for doing this. its well put together and explain..I'm purchasing my first bike and I will do as you suggested and will come back here and let you know how it work. thanks again
It worked great! I have great credit, so I did as you suggested (did my research) and told them that I wanted 0% interest with no down payment for x amount per month, and I was out in 30 min with a new bike. I'm thinking of getting a second bike. Thanks for such a great video@@jr.6199
Please do a reval of how to insure 10 motorcycles or 3 or 4 motorcycles. If I can only ride one at a time the most expensive bike I have should cover them all plus a minimum fee for each addition to my fleet!
I never finance, always pay cash and ALWAYS negotiate an 'out the door' number. Works for me...the dealer will know how much, and where to 'trim' in order to get me and my new ride 'kicked over the curb'.
The video ended a bit abruptly but nevertheless lots of good advice. Here in the UK it’s seems that there is more money in selling credit than the motor vehicles themselves, or to put it another way the vehicle is just a way of selling credit 🇬🇧🏍
So this guy's basic strategy is just, don't pay any tax, don't pay the set up fee, don't pay the freight fee and whatever else just subtract it from the MSRP and dealers usually go for this?
@when da show: It is confusing, but I think he is saying for the cash example that when you look at the sales break down sheet the cost of the bike itself on that line will be $14265.00. then on the other lines on the sheet it will show Tax, Tags etc. Then when adding all the lines up your *out the door price* will be the MSRP minus insentives ($2500.00) = $16499.00... *I think. ;-D*
Thank you for the insights, Bill! I have to ask though, how does supply & demand affect an all cash deal? For example, I’m in the market for a new adventure bike that’s difficult to find right now in California...from my research thus far it seems like dealers have all the leverage due to an inventory shortage. When a dealer knows the demand is high and they can always sell to the next guy, is it still realistic to get a deal or even pay MSRP?
So, Bill; is plunking down a CC after negotiating an OTD price the same as cash? Also, thanks for the reality check about being willing to walk away. I can walk backwards to my local Ducati dealer but they have a history of being sniffy because the city is prosperous. It's not so much brand loyalty as shopping locally so that the guys in the back can continue employed during difficult times. Still, I'm not open to being nickel and dime'd. Thanks for this.
Would you still suggest target number as MSRP in September 2021? The dealer today I went to told me that chip shortage cause the otd price when up to 8000 usd for a 5499 bike.
Hello We have top tier credit; are you always locked into manufacturer financing meaning if I want a 2024 Yamaha XSR900 the financing will come from Yamaha. In all of our car leases the manufacturer offered the best deals. Our 2024 Mini CooperS actually goes through BMW financing. Is there a best month to buy? December because the dealer is paying interest on the bike and newer 2025 bikes are on the way? Also if we place an order on a 2025 bike shouldn’t the price be less since the dealer is basically functioning as a clerk; writing the order and it gets drop shipped to him; there are no floor stocking fees and interest is not being paid? BTW what brand was the knee sliders on the tank of your MT-09 they looked awesome and I have never seen anything like them anywhere!
I prefer buying motorcycles from individuals, NOT dealerships. Better deals and a great variety. Right now there's a glut of good used bikes for sale. My last dealership experience 9 years ago was a lesson of their greed.
Hi thanks for this video, I am looking to get a 2022 can am ryker rally msrp 13499...I live in Florida tax is 7% I am around tier 2 697-700 score how could I go by this with no special rate from manufacturer
My dealer is a monopoly in the state, and is demanding $1500 for freight+setup on a $6699 KLR 650. So they are asking $8200 for a MSRP of $6699. Am I just screwed? Should I just wait a few years? Supposedly, demand exceeds supply. I do not finance, I am willing to pay cash. And I could set it up myself. MSRP is the mfr suggested retail price, INCLUDING the freight and setup, not before freight and setup.
Hi a Honda 2024 cbr 1000 RR ABS is $16,999 plus set up and destination, licensing taxes is about $2,700 extra. 2 dealers are discounting $2,000.00 from msrp whichnis about 12% bellow. Do you think is possible get more than 12% off the MSRP? Do dealers make 15%-20% of MSRP? Thank you all
Nice video Bill! I just subscribed 👍. I’m interested in a 2020 Moto Guzzi V7 Rough. I found a dealer that has it and I’ll try to implement the techniques you mentioned (I’m in Canada). Here goes nothin’ and thank you so much!!
I don't understand how people can get 0% financing. In Canada the "promo rate" for Kawasaki is 4.99% over 60 months and it goes up to 7-8-9% for longer financing. I got a decent credit score, definitely tier 1. I'm trying to understand how the tips in the videos would work out (sorry if I'm slow to understand this stuff). Looking for a 2023 ZX-10R, the bike (in Canada) is $21,299 MSRP + $895 destination charges (total $22,194). If I understand correctly, I should haggle so the final price, including taxes, is the MSRP? Which would hover around $18,550?
Only $295 Adm? My dealer wants $897. The Assembly PDI is $888. How do you keep the dealer from using your good credit score and High monthly income to pad their "fee" numbers? The dealers website doesn't identify the bike I want just the model, the dealer says its not valid on the trim bike I want.
As a noob, I called a salesperson back about a Ninja 650. The guy was trying to tell me that they wouldn't make any concessions for a cash deal. Any suggestions? Just followed up with an email saying I don't want to waste either of our times' by coming in without knowing the "out-the-door" price.
Good call get an OTD price. Cash means nothing these days, most dealers don't want cash because they get kick backs from banks for financing. Also right now is really hard to wheel and deal because of low stock they need to make as much money as they can, if you don't pay the price the next person will. It's a hard world to negotiate in right now.
@@CaliMotoTV So it sounds like I've got no negotiating power/strength at this point in time? Probably no way to get it for msrp with the taxes and fees waived - as was shown in your example?
Great video Bill! Thanks for the info. Similar to the other comments.... should you expect any discount on current model year? Did you get some discount on the Streetfighter?
Hey teach, is this going to be on the test? And....what was the second thing at the end? Also, when purchasing your new bike, you can often get big discounts on gear and equipment along with your purchase.
So For a cash deal, I would minus any incentive from the MSRP and this would be the OTD price, right? So, then I would go ahead and minus doc, freight, color, surcharge, any added equipment and tax/license from the MSRP and that will be my asking price, correct? So, which one should I ask first? OTD or price before tax and license?
OTD includes cost of the bike plus all taxes and fees and minus discounts, you're not going to be able to subtract, freight doc fees, taxes, licenses from a deal.
I'm looking at a 30k bike and have a trade in I might get 1K for it the dealership is aware of my trade...but they don't know I also have about 5K in cash to put down as well. When do you suggest I tell them about the cash? How do I keep them from screwing me after I do so? Any help would be greatly appreciated. Thank You.
Bottom line - there is almost no negotiating room on new bikes. You're going to usually pay MSRP unless it's something the dealer is having a hard time moving. You're also going to pay freight and setup fees. It's not like a new car, dealers have almost no room to give discounts and stay in business. If you want a cheaper bike, you'll need to look at the used market.
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Only thing missing here is that you can always prepay your loan. When I bought my current car, my plan was to buy cash. The dealer said that if I financed, I'd get a $800 manufacturer incentive pushing the price straight down. I took the deal immediately, didn't even ask the interest rate. The following month I took my hardly-saved cash and prepaid the loan in full. Overall I got a $800 incentive minus the $30 or so dollars in interest for the first month of financing... This video is a great introduction, but if you know your numbers in depth you can play a lot around these incentives.
some finance companies charge for paying off early...read the fine print.
Lol my line at all car's and motorcycles deals is "Go back and sharpen your pencil and lets get this done. You know what your putting in front of me isn't your best and I know it's not your best. Let's get this done or I am going to go to xyz dealership and get it done with them today." Usually get's me a better price to go around and shop with.
I’ve purchased two new motorcycles, a car and two trucks. I’ve never paid a single fee. Those that wouldn’t budge, I just walked to another dealership that would. You’ll find one, just keep looking, bc not all dealerships are created equal.
Went shopping for a 2022 Yamaha* Bolt today and walked out of 2 dealerships. They wanted 11,800 OTD for 8,599 MSRP. Full charges on everything. Didn't offer any discounts on anything and they watched me go. Shit is crazy right now.
A year later and it’s the same here in Phoenix
You can't leave the dealership just paying MSRP. You have to pay taxes, license, title and doc fees. Granted ADM fees can be eliminated, but otd pricing at MSRP is wishful thinking unless they discount the bike at suggested price.
MSRP is between the dealer and the manufacturer. That's not my jam. If you copy and paste the MSRP as your sale price, that's something you decided to do. And if *you* price the bike that *you* are selling at $5000, I expect to pay $5000. Don't explain to me how much it costs to ship your inventory to you, or whatever the hell a "destination fee" is supposed to be for. I literally could not possibly give less of a shit. The "price" is the number of dollars you need to make the sale. It's not the number you think I need to see to get me to talk to you instead of the other guy. It's the number you need to get. If you can't be honest about that, any dealer should expect to waste a lot of his time on walk-outs.
Used to sell cars and this was great from the looking at the deal from the other side. Only thing I will add is that some dealers will accept the financing deal without actually having a bank backing it up. They will then call the buyer back to sign the actual deal backed by a bank. This is where the points, added costs come from as well. I left my job because when the dealer did this, they were also selling my deal to other sales reps. It was a dealership that had their own auto plaza selling different manufacturers new as well.
Interesting! Thanks for sharing 🙌
@@CaliMotoTV For what it is worth, in california, you don’t have to take the new deal and the dealer will either have to eat the cost or take the hit.
Good luck walking into any dealership saying “subtract the tax & title off the msrp” 🤦♂️
I walked out of a dealership because they up charged a $4000 motorcycle by an additional $2000. Plus, they offered me 18% interest but my credit score was 620 I have never missed a late payment so in short, they tried to screw me. I walked out.
I hate to break it to you but 800+ beacon credit scores right now are seeing 8/9/10% loans right now. It’s a toy. The bank sees it as a higher risk therefore it has a higher apr. As far as +$2,000, sounds pretty standard. Did you even try to negotiate?
I was paying with cash they tried the same thing. Walked out.
I work in sales at a car dealership, my absolute hands-down favorite customers are the ones that come in with a monthly payment as their goal don't do it this way
lol you love customers that don’t understand basic mathematics
I learned more on TH-cam than i ever did in college.
@@brandonboss6868 🤣
Bike for 4700 dollars in fine print, it says not including $500 freight, $250 set up fee. So they're already up to 5,450 without tax, licence, registration.
thanks for doing this. its well put together and explain..I'm purchasing my first bike and I will do as you suggested and will come back here and let you know how it work. thanks again
How'd it go?
how did it go?
It worked great! I have great credit, so I did as you suggested (did my research) and told them that I wanted 0% interest with no down payment for x amount per month, and I was out in 30 min with a new bike. I'm thinking of getting a second bike. Thanks for such a great video@@jr.6199
Very informative, thank you for breaking down the whole process
Thanks for watching 🙏
Please do a reval of how to insure 10 motorcycles or 3 or 4 motorcycles. If I can only ride one at a time the most expensive bike I have should cover them all plus a minimum fee for each addition to my fleet!
Very informative, thanks! I live in a country where not all of these principles apply, but, rule of thumb seems to be universal. Cheers~
🔝
I never finance, always pay cash and ALWAYS negotiate an 'out the door' number.
Works for me...the dealer will know how much, and where to 'trim' in order to get me and my new ride 'kicked over the curb'.
Very interesting man. I used to always wonder how these 0% finance schemes worked 😂😂
The video ended a bit abruptly but nevertheless lots of good advice. Here in the UK it’s seems that there is more money in selling credit than the motor vehicles themselves, or to put it another way the vehicle is just a way of selling credit 🇬🇧🏍
So this guy's basic strategy is just, don't pay any tax, don't pay the set up fee, don't pay the freight fee and whatever else just subtract it from the MSRP and dealers usually go for this?
@when da show: It is confusing, but I think he is saying for the cash example that when you look at the sales break down sheet the cost of the bike itself on that line will be $14265.00. then on the other lines on the sheet it will show Tax, Tags etc. Then when adding all the lines up your *out the door price* will be the MSRP minus insentives ($2500.00) = $16499.00... *I think. ;-D*
I’m glad I only pay cash. Save your money and pay cash.
Try to do this at a BMW morrade dealership lol there is barely any wiggle room
Thank you for the insights, Bill! I have to ask though, how does supply & demand affect an all cash deal? For example, I’m in the market for a new adventure bike that’s difficult to find right now in California...from my research thus far it seems like dealers have all the leverage due to an inventory shortage. When a dealer knows the demand is high and they can always sell to the next guy, is it still realistic to get a deal or even pay MSRP?
Based on my experience, you will not get a discount on high-demand motorcycles.
This was all well and good before the pandemic, but all went away with the supply issues.
And now- August 2023 we are back with plenty of inventory at every dealer... Negotiation Time again. You have to be willing to walk and wait...
So, Bill; is plunking down a CC after negotiating an OTD price the same as cash? Also, thanks for the reality check about being willing to walk away. I can walk backwards to my local Ducati dealer but they have a history of being sniffy because the city is prosperous. It's not so much brand loyalty as shopping locally so that the guys in the back can continue employed during difficult times. Still, I'm not open to being nickel and dime'd. Thanks for this.
Good info. Would like to see a similar video when buying used; dealer vs private party sale.
Hi Bill! Does a 2021 motorcycle have any incentives? If not should I walk away from buying it? Thank you
Would you still suggest target number as MSRP in September 2021? The dealer today I went to told me that chip shortage cause the otd price when up to 8000 usd for a 5499 bike.
Tbh now it's a sellers market, see if they'll budge and be willing to walk away.
Superb.
💪
For cars I just look up the "invoice price" and add 3-5% on top of that
Hello We have top tier credit; are you always locked into manufacturer financing meaning if I want a 2024 Yamaha XSR900 the financing will come from Yamaha. In all of our car leases the manufacturer offered the best deals. Our 2024 Mini CooperS actually goes through BMW financing. Is there a best month to buy? December because the dealer is paying interest on the bike and newer 2025 bikes are on the way? Also if we place an order on a 2025 bike shouldn’t the price be less since the dealer is basically functioning as a clerk; writing the order and it gets drop shipped to him; there are no floor stocking fees and interest is not being paid? BTW what brand was the knee sliders on the tank of your MT-09 they looked awesome and I have never seen anything like them anywhere!
I prefer buying motorcycles from individuals, NOT dealerships. Better deals and a great variety. Right now there's a glut of good used bikes for sale. My last dealership experience 9 years ago was a lesson of their greed.
Hi thanks for this video, I am looking to get a 2022 can am ryker rally msrp 13499...I live in Florida tax is 7% I am around tier 2 697-700 score how could I go by this with no special rate from manufacturer
My dealer is a monopoly in the state, and is demanding $1500 for freight+setup on a $6699 KLR 650. So they are asking $8200 for a MSRP of $6699. Am I just screwed? Should I just wait a few years? Supposedly, demand exceeds supply. I do not finance, I am willing to pay cash. And I could set it up myself. MSRP is the mfr suggested retail price, INCLUDING the freight and setup, not before freight and setup.
Paying cash won't save you a dime. Be willing to walk away if you're not happy with the price offered.
@@CaliMotoTV thanks. I think they are being greedy, so I think I'll just get a bicycle :)
Walk away. People need to stop the madness of paying these fees.
Great info Bill! Any plans on getting a Super Duke or ZH2 on the channel?
Hi a Honda 2024 cbr 1000 RR ABS is $16,999 plus set up and destination, licensing taxes is about $2,700 extra. 2 dealers are discounting $2,000.00 from msrp whichnis about 12% bellow. Do you think is possible get more than 12% off the MSRP? Do dealers make 15%-20% of MSRP? Thank you all
Hi there, I Was referring to cash transaction
Nice video Bill! I just subscribed 👍. I’m interested in a 2020 Moto Guzzi V7 Rough. I found a dealer that has it and I’ll try to implement the techniques you mentioned (I’m in Canada). Here goes nothin’ and thank you so much!!
I don't understand how people can get 0% financing. In Canada the "promo rate" for Kawasaki is 4.99% over 60 months and it goes up to 7-8-9% for longer financing.
I got a decent credit score, definitely tier 1.
I'm trying to understand how the tips in the videos would work out (sorry if I'm slow to understand this stuff).
Looking for a 2023 ZX-10R, the bike (in Canada) is $21,299 MSRP + $895 destination charges (total $22,194). If I understand correctly, I should haggle so the final price, including taxes, is the MSRP? Which would hover around $18,550?
Only $295 Adm? My dealer wants $897. The Assembly PDI is $888.
How do you keep the dealer from using your good credit score and High monthly income to pad their "fee" numbers?
The dealers website doesn't identify the bike I want just the model, the dealer says its not valid on the trim bike I want.
As a noob, I called a salesperson back about a Ninja 650. The guy was trying to tell me that they wouldn't make any concessions for a cash deal. Any suggestions? Just followed up with an email saying I don't want to waste either of our times' by coming in without knowing the "out-the-door" price.
Good call get an OTD price. Cash means nothing these days, most dealers don't want cash because they get kick backs from banks for financing. Also right now is really hard to wheel and deal because of low stock they need to make as much money as they can, if you don't pay the price the next person will. It's a hard world to negotiate in right now.
@@CaliMotoTV So it sounds like I've got no negotiating power/strength at this point in time? Probably no way to get it for msrp with the taxes and fees waived - as was shown in your example?
Great video Bill! Thanks for the info. Similar to the other comments.... should you expect any discount on current model year? Did you get some discount on the Streetfighter?
Hey teach, is this going to be on the test? And....what was the second thing at the end? Also, when purchasing your new bike, you can often get big discounts on gear and equipment along with your purchase.
So For a cash deal, I would minus any incentive from the MSRP and this would be the OTD price, right? So, then I would go ahead and minus doc, freight, color, surcharge, any added equipment and tax/license from the MSRP and that will be my asking price, correct? So, which one should I ask first? OTD or price before tax and license?
I thought cash deal was ideal!
OTD includes cost of the bike plus all taxes and fees and minus discounts, you're not going to be able to subtract, freight doc fees, taxes, licenses from a deal.
Great video, could you also do a video on finding the best insurance deals?
@@CaliMotoTV WHAT?
I'm looking at a 30k bike and have a trade in I might get 1K for it the dealership is aware of my trade...but they don't know I also have about 5K in cash to put down as well. When do you suggest I tell them about the cash? How do I keep them from screwing me after I do so? Any help would be greatly appreciated. Thank You.
Tbh cash in hand doesn't mean all that much and won't change your financing. Higher down maybe necessary depending on your credit.
@@CaliMotoTV so before they write up the FINAL total tell them out my extra cash? or before the financing search starts.
would i be able to get a deal on a streetfighter v4s with how new it is?
Of course they will tell u they pay their mechanic $50 an hour to assemble the motor cycle, and it took 3 days
Corvair regerts? Say it ain’t so!
😂
Bottom line - there is almost no negotiating room on new bikes. You're going to usually pay MSRP unless it's something the dealer is having a hard time moving. You're also going to pay freight and setup fees. It's not like a new car, dealers have almost no room to give discounts and stay in business. If you want a cheaper bike, you'll need to look at the used market.
👎
@@CaliMotoTV I know, truth hurts
900 assemble fee for a Tuareg & 1,050 for freight. Doc fee off 500 plus tax & registration costs. Kick rocks!! Greedy maggots