How to Calculate Vehicle Out the Door Price: What is Included and Why It's Complicated

Buying a car can be confusing at times. I'll show you what factors make up a vehicle's total out the door price. My job is to make things a little bit easier.

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[Toyotajeff]

Please leave comment with your car buying questions. I will try and answer them in future videos. You can make your questions on virtually any topic. Thanks everyone! jeff

[thermorex]

Dealer fee = shop supply. AKA another way to stick your hands in customer's pocket.

[samtheman]

When the selling price is agreed on out the door allow the finance fella to sell you a bunch of extras that could get you out the door paying an additional few grand. Like frivolous paint protection and the like. You can paint protect your vehicle with ceramic yourself for the cost of dinner at the Olive Garden, including a couple glasses of vino.

[pryme]

Absolute best way to get a good deal is do everything online via email with multiple dealerships. Don't mess with trades or dealer financing. If your credit is 750+ you're going to get a top notch rate via a credit union. The dealerships oftentimes will try and build a point or two or more onto your loan, so go outside financing if you need it.
Dealerships have a hold back too so they make money on that as well.
Email half a dozen local dealers about the car you want. Most reply back with an auto reply canned email. Let them get back to you. A couple might just say come in to discuss. Immediately discard those emails into the trash and concentrate on the ones hungry for your business. Let them earn your business. Be prepared to make a deal if they give you acceptable numbers, don't waste anyones time. Usually two will come out as the clear winners on both price and willingness to deal, dump the rest.

I don't set foot in the dealership without a purchase contract emailed to me with solid numbers. Usually at the dealership for about 60-70min to sign papers and decline all extended warranties and other add-ons, and have them go over the car after being deluxed. Happy hunting.

[og]

Great video! Really good car buying for dummies kind of video. Just what I needed!

[LionRunner]

With my experience I had good luck emailing different dealerships and request the best price for the vehicle that you picked from their inventory with same color, trim level, add-ons. And at the time of purchase I deny any kind of window tint, clear bra, extended warranty, etc..

[ENTJ]

Wow great video Jeff!! I'll wait until the "chip shortage" scam is over 🤣

[dlg]

It's not that complicated in most cases. Toyota just happens to be one of the more annoying brands to buy. To simplify the vehicle buying process, just do everything online. Anytime I'm purchasing a vehicle, I request an OTD quote from multiple dealers in my area and ask for the quote in writing. Once I receive the quotes, I compare them to ensure they are apples to apples. Then I pick the one I like, place a REFUNDABLE deposit over the phone and make an appointment to test drive the vehicle and complete the purchase. It's that simple. NEVER go to the dealership before you have a final deal in writing.

[Yashbeatss]

I m being charged extra $3000 mark up.. it’s crazy

[dlae]

I bought my 2019 Camry two years ago and it just hit 8k miles. I wanted to trade it in on a used Tundra but those prices are through the roof here in Houston. Might as well get a new one.

[aaronl]

Tell the dealer you won't pay the fees and ask for an out the door price(better yet have them email you the price before you ever show up.also never discuss your trade in until the very end.that way they don't make that money vanish somehow.tell them you want 5% off the sticker price since they are marked up 20 or 30% dealers can't move cars now and you have all the leverage.when 2025s come out dealers will still be sitting on 2023s.you don't have to pay for add ons.tell them to get rid of them and somehow the fin on the back will magically be free

[shervin]

That's why I switched to Tesla getting rid of those greedy dealers! They tried to sell me a 38k RAV4 prime, around 60k as dealer fee! (they said because the car is hot and new, we sell whatever price we want) And there is no one in Toyota headquarter to complain about it. But at Tesla there is no dealer to deal with! You see the price crystal clear and there is no hidden fee! You just click and they'll deliver it to your house!

[Islhopr]

The audio is incredible!! yay #finally

[JenniferCarr]

We bought the same car last year. Invoice says $38382 plus $4594 warranty, 7% sales tax, $110 DMV, $699 for a customer service fee and $6880.53 under financing. We paid $18k down; total time price $53250.75.. it lists payment amount and total came to $35250.75. JP Morgan Chase is the lienholder (assuming Chase is not the same as dealer financing?) Why is there a financing charge listed on our sales invoice? We are in Georgia BTW :)

[xcehkpn]

Great Content! Here in California they are asking for a "financed aftermarket fee" for 5G. I have no idea what this is for but its part of out the door price!

[davidhorne]

My local Toyota dealer is trying to charge me double shipping /destination costs!

[GearJamminHank]

Added at the dealer level, that's called "Tied Selling". You are the reason buying a car is such a pain in the ass.

[Lobsterman]

The sticker price on a new car is 32.5 MSRP plus 1, 000.00 destination fee for a total price of 33.5.
My question is that I'm going to be negotiating from the 33.5, the salesperson and I decided at 31, 000.
The problem is that he wants to charge me 31, 000 plus the destination fee, for a total price of 32, 000, is this legal?

[rdgr]

In Washington State the sales tax is based on where you live, so that would vary. Also there is an additional Sound Transit tax added on the registration fees as I live in the Sound Transit corridor and have to pay for light rail that very few people will use.

[jackychi]

Hello Jeff, thank you for this useful information! From your presentation, dose it mean procurement fee on the vehicle purchase agreement is equal to dealer fee and license cost is equal to DMV cost?