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Old 08-24-2004, 12:08 AM   #1
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If you bought new, did you all pay a dealer prep fee?

We are first time buyers here and are picking up new Bambi19'CCD on Wed () so we reviewed final charges today and total includes an amount for dealer prep fee of $695. and wondered if this is a normal charge new buyers have all paid.

I expected all other charges but this one and he assured me this is normal, that all new trailers/MH's etc are assesed this fee. I believe him to be an honest dealer and he has been very fair in this entire process, but wanted to ask just the same.

Barbara
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Old 08-24-2004, 05:30 AM   #2
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and watch out for the documentation fee if there is one. It will usually be presented at the signing. Another ADP fee (additional dealer profit). I would be sure to get a drive out total before sitting down to sign. The prep fee is also adp as the dealers of most vehicles get a prep fee from the manufacturer. May be negotiable, depending on how strong your convictions are.
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Old 08-24-2004, 06:13 AM   #3
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We bought new in April and paid only a $50 document prep and filing fee. No other fees were added. We bought at 20% under MSRP. The key, here, is that we did not buy from dealer inventory - ours was ordered to spec. In our case the dealer did not have to pay inventory financing which saved him $$$. I'm sure our dealer still made a couple thousand even though he barely touched our coach. Buying from the lot means the dealer has paid financing costs which drives up prices. One other point; you might consider this the the start of the end of the season so your price could reflect "end of the season" urgency in getting it sold - a better price.

Bottom-line, did you get a good deal? Maybe. With all the costs tacked on, did you still get a good price? Even adding on the $695, you may have gotten a smokin' deal. You decide.

Remember, It's only fair that the dealer make a profit. This is America, after all.

Finally! Remember that the best return on your investment (no matter the cost) is your enjoyment. Congratulations on your new coach you lucky devil!
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Old 08-24-2004, 06:16 AM   #4
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Walk off!

Just speaking for me but, nothing chaps my butt more than dealer add on costs, Some call it floorplan, Dealer prep, etc...

I would literally walk on the deal. If the dealer wants to sell it he will at a minimum reduce it considerably if not erradicate it. I cannot believ dealers, you would think that they would hide the cost instead of put it in your face.
That is a load of BS!

Smily
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Old 08-24-2004, 06:23 AM   #5
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Quote:
Originally Posted by smily
Just speaking for me but, nothing chaps my butt more than dealer add on costs, Some call it floorplan, Dealer prep, etc...

I would literally walk on the deal. If the dealer wants to sell it he will at a minimum reduce it considerably if not erradicate it. I cannot believ dealers, you would think that they would hide the cost instead of put it in your face.
That is a load of BS!

Smily
Ken, Ken, Ken,

You might well be advising California Streamin' to walk on a great bottom-line. This is not good advice. Maybe the $695 is the only profit in the deal. You don't know without seeing the whole package and understanding dealer pricing.

You could very well be right but I've seen California Streamin on this forum for awhile and can only surmise that Dan and Barbara have learned alot about dealing with dealers and getting good prices from the rest of us.

Right (Dan and Barbara)?
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Old 08-24-2004, 06:37 AM   #6
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I'd have to agree here. Depending on what you got the coach for, $695 might be the declared profit of the deal.

However, we special ordered ours and we paid none of that. Depending on how you negotiated your deal, I too would consider walking if this was one of those after the deal and oh, by the way type things.

BTW, if this dealer is like the majority of dealers, the dealer prep is a total joke anyway. To pay $695 for that, if this dealer is like most I've come across, I think the proper name would be extortion fee.
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Old 08-24-2004, 06:50 AM   #7
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BTW, Barb, who's the dealer, if you don't mind me asking?

We bought from a California dealer whom I found to be totally forthright. After comparing with every A/S dealer in the western half of the US, I found his price to be a smokin' one. But, I asked them all to quote me their "delivered price" so I could compare "apples to apples" and not find myself dealing with last minute "surprises" such as you've experienced.

Now's the time to renegotiate the deal if you need to (and still can).
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Old 08-24-2004, 07:30 AM   #8
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Quote:
Originally Posted by CaliforniaStreamin
I expected all other charges but this one and he assured me this is normal, that all new trailers/MH's etc are assesed this fee. I believe him to be an honest dealer and he has been very fair in this entire process, but wanted to ask just the same.

Barbara
I guess its all relative to the price you paid. The question of being normal may be a statement that applies to his dealership and how he operates. It is not a practice that every dealer espouses to.

My dealer has no documented prep fee. Was there one imbedded within the price I paid? Probably. Each dealer will determine their margins and set their sales price accordingly.

Personally I would rather negotiate a bottom line price than have these add on's done after you make the deal. I consider it a bait and switch tactic.

Jack
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Old 08-24-2004, 07:32 AM   #9
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"Now's the time to renegotiate the deal if you need to (and still can)."

Dan & Barb,
I haven't purchased one yet so take this for what it's worth, IMHO until you hand over your $, everything is negotiable. If they get upset, perhaps it's because they have something to hide and / or got caught. If it's a good deal, and you are happy, disregard my/ anyone else's advice and enjoy. I have found that the actual $ spent or saved do not really make that much of a difference if it's something you love...but a deal is still a deal. good luck, luke
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Old 08-24-2004, 07:45 AM   #10
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I didn't have that prep fee either, but like a previous poster mine was ordered and was on their lot for 1 1/2 days before I picked it up. They did fill all tanks and test everything & it was very clean inside and out when I picked it up. Dealer is Happy Camper in Ft. Worth Texas
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Old 08-24-2004, 09:40 AM   #11
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We bought ours on a bottom-line price based on MSRP, no prep, doc. fee, etc. I want the dealer to make a profit, it's fair, but I loathe dealer add-ons that I don't want or need .

But, The real bottom-line is...is it still a good deal when the final price is compared to MSRP (state taxes excluded)?
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Old 08-24-2004, 10:15 AM   #12
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Technically, No, however there was enough profit built-in to the sales price to cover any prep charge even thought we did get a very good deal. Oh by the way, the dealer prep was marginal, most of the real prep was done by us once we got the Classic home.
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Old 08-24-2004, 11:28 AM   #13
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I always refuse to pay dealer prep fees on auto sales as well as filing fees, and most recently inventory tax. Washington state car dealers are routinely passing inventory tax on to consumers.

These fees are the cost of doing business - as a small business owner I understand that and price my product accordingly. I have found that if you refuse to pay these add on fees and are prepared to walk away - the dealer will relent. You - after all, negotiated a sale price with good intent to pay that price - your dealer is changing the rules after the game has started.

In other areas of our lives, we call that CHEATING.

Stick up for your pocket book - after all - that 695.00 could buy:

2 great lawn chairs
1 front porch rug
1 membership in WBBCI
1 weeks worth of provisions for your new rig
1 set of linens for your new trailer
1 set of cool awning lights
2 trashy novels
1 bottle of great champagne to christen first voyage
and....
Several tanks of gas for your tow rig



You're paying a weeks worth of vacation funds to your dealer and probably financing it to boot!

$ .02
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Old 08-24-2004, 12:33 PM   #14
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$695 is out of line. There is no "prep" required. That money goes straight to their bottom line. I am with Jack on this one. Negotiate your best bottom line price and shop that. No add ons. Period.
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Old 08-24-2004, 12:41 PM   #15
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Quote:
Originally Posted by Xray
Ken, Ken, Ken,

You might well be advising California Streamin' to walk on a great bottom-line. This is not good advice. Maybe the $695 is the only profit in the deal. You don't know without seeing the whole package and understanding dealer pricing.

You could very well be right but I've seen California Streamin on this forum for awhile and can only surmise that Dan and Barbara have learned alot about dealing with dealers and getting good prices from the rest of us.

Right (Dan and Barbara)?
Okay, here's the scoop on the entire process, it's lengthy so bear with me!

We initially negotiated for another trailer, same model etc, MSRP $42,177.
and my final price was $36,000. from Revolution RV in El Cajon, CA, a brand new dealer in San Diego county. The trailer had an interior scratch to right of sink, AS told them to buff it out with a clear coat safe product which really screwed up the interior panel, so going forward with that as our price we ordered new unit from factory.

On new unit, in addition to upgades on original trailer (elec hitch,tire), we added audio upgrade $585, ext speakers $226.,( BTW, this a silly ad, you get a banana plug on exterior with set of speakers to plug in and set on something!), and these next 2 items which did not arrive on our unit... the awning upgrade package $850. and extra fan above bed, $275. Awning package according to AS is not offered on Bambi, (tho would have liked on
back window...would pay extra here) and they forgot fan, so our dealer will install if I want it still. (an aside here, on these two items, especially the awning, is this better done at factory? We will drive there in that case!)

Also original unit came with microwave option which we didn't get, however our dealer installed our LCD tv (which we provided) on factory AS arm, along with purchase and install of Reese DC hitch and Prodigy brake controller, and all wiring (Tundra has none), for $1100. so that seemed fair.

We also purchased extended warranty of 5 more years (AS provides 2) which coveres all systems and audio/video for $1232. which to me is good idea. This brings total purchase price to $36,811. excluding TV ($600.), hitch & TV install, warranty, and these other fees:

Ca state tx $2941.82
Dealer prep fee $ 695.00
Doc fee $ 45.00 dealer said this a state fee
License fee $ 298.00
Tire fee! $. 3.00 state fee, a buck a tire!

We have not paid yet, we are paying cash, so I called yesterday to get total for check amount, and here were these fees that I never expected as I would have negotiated them out of original offer. I agree the dealer has to make $, we do commercial roofing here in SD for 30 years and would not be in business otherwise, but I feel now after reading all your posts I will be only one to pay this which irks me! I see that he will make plenty as I did order this unit in, but now I don't know what to do. I could walk but would have to wait for another and find new dealer (Xray, yours sounded awesome), and we have waited so long and are dying to get it...in one more day!!

I think I will call and say I will pay all but this $695. fee, and see what happens, as that will always bug me if out of ignorance we handed someone our hard earned cash , but I would really hate to wait for another, and Dan will also have a fit here!!

Please advise....I will wait to call on this issue till I hear opinions here!

Barbara
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Old 08-24-2004, 12:41 PM   #16
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Didn't pay a cent...

Didn't pay a cent for any such thing.
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Old 08-24-2004, 01:08 PM   #17
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Lets analyze your deal. You got roughly 15% off list. That's not a bad price but not a great one either. My deal on my new '01 Safari which was ordered from the factory was 18% off list, and there was no dealer prep charge. Now look at the items which you have added which are being charged full retail, then consider that your dealer is getting a cut of the cost of your extended warranty. Bottom line I think the $695 is what I consider a profit add on.

My advice is what is the $695 worth to you? Do you have money at risk already (non refundable deposit)? If you think that the $695 is minor then pay it and move on. If it is important, refuse to pay since it wasn't disclosed upfront. See what the dealer does. You can always order from someone else, yes you will wait, but on the other hand you can get those items factory built that didn't come on this trailer. Like was pointed out earlier, that $695 can buy a lot of other things.

Jack
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Old 08-24-2004, 01:31 PM   #18
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Oh My Goodness!

Quote:
Originally Posted by PWRSTRK
Didn't pay a cent for any such thing.
I THINK I negotiated a GOOD DEAL on my '04 Safari (21% off list price of $41,024.). Just looked at the Spec Sheet & there is NO destination charge listed there. Made the deal last week over the telephone (previously have seen the unit twice) and no "extra" charges were mentioned: Price of 25' - $32,500., plus options - $1,675., hitch, brake control, etc. - $685., plus TT&L - that's ALL my dealer quoted. Now I'm wondering if HE will come up at the last minute w/a destination charge! Maybe he's making his "extra" profit in the hitch-y stuff! This is pretty S-C-A-R-Y for me, since I'm making this BIG decision ALONE, with no help from anyone except you guys on this forum!
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Old 08-24-2004, 02:26 PM   #19
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I purchased a new 2004 AS safari in April at $7,000 below the $51,000 list and there was no dealer prep at Toscanos in Los Banos, California. I did not buy off lot. In fact, Toscanos just sent me a check as I overpaid $20 in DMV fees.

Wilco
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Old 08-24-2004, 04:25 PM   #20
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Quote:
Originally Posted by Sandy H
there is NO destination charge listed there. Made the deal last week over the telephone (previously have seen the unit twice)
I would be surprised if you didn't see that added on. I know it was listed as a separate line on the trailer specification sheet that the dealer provided. While I don't know how prices have changed I was told that that was a pass through charge and the dealer made no profit on it. My new '01 Safari had a $75 delivery charge which was quite surprising. (As a matter of fact I thought it was a typo until I looked at all the Airstreams on the lot all showing the same $75 charge.) My '04 Classic had a charge in the $325-$375 range (I forgot and will have to relook at the paperwork).

I was always curious as to whether the dealer contracts for delivery or if the factory provides for this, passing the cost through to the dealer.

Jack
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