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Old 08-05-2006, 05:28 PM   #56
Nappa
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Join Date: Oct 2005
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Quote:
Originally Posted by ImpulseTaco
You know, thats a good point, something I hadn't considered. I was just looking at Ford's website and doing a direct currency conversion, figuring that tax would be added to the price on the website, because thats the way its done over here. It looks like that is not the case for Oz. Any idea what taxes (and $$) are built into that price?

As an example, on Ford's US website, a new Mustang GT lists for $25,860 ($33,513AU). But when you go to buy the car, you are going to be hit with various taxes and dealer fees. Here in Texas, tax is 6% on new cars. Then there are the documentation "fees" such as title application, licensing, etc. Last time I bought a car (my truck) that was around $500 ($650AU)

Having said that, when you go into the dealer to actually "buy" a car, there is significant room for negotiation. I think on that same Mustang I mentioned above, you would likely have $2000 ($2600AU) that would be "negotiable".

That brings up a point I have been meaning to ask you guys:
How does the process of buying a new car work over there?

Ours goes something like this (We'll assume I am going to buy the Mustang I mentioned above):

1. Go find the specific car on the dealer's lot I like. (ordering is an option, but ignore that for this example)
2. Go test drive the thing, make sure it drives and runs right.
3. Start "negotiations" with salesman over price of the car.
4. Once a price has been settled on, go to the F&I (Finance and Insurance) office, to negotiate Financing (if you need it) and they also try to sell you all kinds of extra insurance and B.S. that you don't need.
5. Get done with all that, and they start washing the car and getting it ready for you.
6. Meet the salesman one last time, get your keys, and you have your new car!

Is it the same process in Oz? or is there much less room for negotiation?

that’s sort of a rough outline of how it works here.

Generally the customer has an idea what they want, then they wonder down to their local dealer to have a look at the car and maybe take an example of that car for a drive. Most of the time it’s a demonstration vehicle which doubles as a company car for the dealership staff. After the test drive they will always negotiate for a better price and it doesn’t matter how much they get off they will always want more, once they realise that the dealer cant give any more then they either sign up or go to another dealer to compare the price. If they want the car the and sign up then decide how they want to pay finance or with their own money. Now it’s very rare to buy a car then drive out the door with it straight away. Even cars bought straight off the floor need to be detailed and registered. Generally we allow about a week for a car to come from a holding yard, or the customer can wait the average 6-8 weeks for one that has been built for them.
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