What is a reasonable dealer fee?

[Anonymous]

Are these reasonable/customary?
Destination Charge $1,225
Processing Fee $1,099

[Anonymous]

Not at all reasonable, but they are just trying to get over msrp without people noticing.

[Anonymous]

That processing fee is hilarious

[Anonymous]

Destination charge, yes that is the typical rate but since that is usually charged by the car manufacturer it should already be part of the MSRP anyway and listed on the Monroney window sticker.

Dealer fee though, that’s high. Are you looking at a VA dealer? Maybe try MD, I feel MD dealers have lower fees.

[Anonymous]

Pp, sorry I meant “processing fee” when I said “Dealer fee”

[Anonymous]

UIts all negotiable BS but unfortunately with the car shortage they have most people over the barrel.

[Anonymous]

MD caps processing fee at $500 per state law, VA has no caps.

[Anonymous]

That processing fee is $300-400 more than I've ever seen in VA.

[Anonymous]

They key way to solve this is to negotiate with dealers on teh "out the door price," which includes all taxes, fees, and a full tank of gas. Negotiate only by email/fax, and be clear that you are bringing a bank check for the agreed upon amount and expect to pick up the car.

A much tougher market for buyers, but once you get rid of all this BS, it's much easier to negotiate.

We emailed 15 dealers asking for our model car for a price that was very low, and let them know that every two days we would email all the dealers again with an offer that was $250 higher. We got our van for a very good price.

This strategy is a little bit more complicated if you need financing.

[Anonymous]

Never pay anything like that. It’s the cost of them doing business and they will throw everything at you until you say yes.

[Anonymous]

Tell them you'd gladly pay the dealer fee if they discount the selling price of the car by the same amount.

[Anonymous]

Anonymous wrote:Tell them you'd gladly pay the dealer fee if they discount the selling price of the car by the same amount.

In a normal market this is a fine strategy, but this is a seller's market and they'll probably tell you to go kick rocks. The dealer isn't going to sweat the car sitting another few days before a less-discerning buyer comes along and pays full freight with a smile.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Tell them you'd gladly pay the dealer fee if they discount the selling price of the car by the same amount.

In a normal market this is a fine strategy, but this is a seller's market and they'll probably tell you to go kick rocks. The dealer isn't going to sweat the car sitting another few days before a less-discerning buyer comes along and pays full freight with a smile.

Sure, I agree. If the OP is looking to buy a high-demand car, this is essentially a market value adjustment. It's up to the OP if they want to pay above MSRP for a car.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Tell them you'd gladly pay the dealer fee if they discount the selling price of the car by the same amount.

In a normal market this is a fine strategy, but this is a seller's market and they'll probably tell you to go kick rocks. The dealer isn't going to sweat the car sitting another few days before a less-discerning buyer comes along and pays full freight with a smile.

It is only a sellers market if you go in the dealer saying you need a car instead of wanting a car, once they know you need one, it is their advantage.

[Anonymous]

You can avoid the destination charge by buying used. Taxes will be lower, too.