Cracking the Code: Understanding Out the Door Pricing for Cars

💰Out the door pricing for cars is influenced by various factors, including sales tax, state fees, dealer fees, and optional accessories.

🚗Different locations have different sales tax rates and state fees, which can significantly impact the final out the door price of a car.

💡Dealerships may add extra accessories or services, such as body side moldings or leather seats, which can increase the overall cost of the car.

🔍Researching the specific codes and regulations in your location is crucial to understanding the out the door pricing for cars.

⌛Due to the chip shortage and high demand for certain vehicles, prices may be higher than the manufacturer's suggested retail price (MSRP).

Why do out the door prices for cars vary based on location?

—Out the door prices vary based on location due to differences in sales tax rates, state fees, and other local regulations.

What factors can increase the out the door price of a car?

—The out the door price of a car can be increased by additional dealer fees, optional accessories, and state-specific charges.

Can I negotiate the out the door price of a car?

—While it may be challenging to negotiate the out the door price directly, you can negotiate the overall price of the car and discuss any additional fees with the dealership.

Why can't I get a specific price recommendation for my location?

—Every location has unique sales tax rates, state fees, and dealership practices. It's best to contact your local dealership to determine the out the door price for a specific car.

What should I consider when researching and working with a dealership?

—When researching and working with a dealership, consider their reputation, customer reviews, transparency in pricing, and willingness to provide accurate information about out the door pricing.

00:00In this video, Jeff Tegan Raleigh discusses out the door pricing for cars and why it varies based on location and additional fees.

03:45Jeff provides examples of different out the door prices for the same car in different states, highlighting the impact of sales tax, state fees, and dealer documentation fees.

05:15He explains how optional accessories added by dealerships can further increase the out the door price.

06:50Jeff emphasizes the importance of researching specific codes and regulations in your location to understand the out the door pricing.

09:30He mentions the current chip shortage and high demand for certain vehicles, which can lead to higher prices than the manufacturer's suggested retail price.