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Discussion Starter · #1 ·
We're helping one of our children buy a new Forester Premium with blind spot detection (Option Package 15) here in Massachusetts. According to TrueCar, she's been offered an "excellent price" at msrp, and the car, which is in transit, is being held for her. On joining this forum, however, I see some members report paying substantially less than msrp.

Hence my question: How good or bad a deal is paying msrp (in Massachusetts)?

TIA
 

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2014 2.5i Limited CVT
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Right now? MSRP is a good deal for the most part.

Why?

Because there are not a lot of Foresters on the ground right now, there won't be a lot of "new" 2021 models in the pipeline as they should be making the changes at the factory for the 2022 models, and there is that world-wide chip issue and other supply chain problems currently.

As with any car buying purchase, you can probably make a deal and get a better price. But a lot will depend on the stock in your area and the local demand.
 

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Well, let me ask you this......

If you want to pay less, why don't you shop around? ......I'll wager the answer to your question lies within that response.

We payed a couple thousand less than MSRP a year ago for a 2020 but I wouldn't expect we could get a 2021 for that right now with the chip shortages, dwindling supplies, etc.
 

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Discussion Starter · #4 ·
I understand that these are unusual times. In the past, we've always bought Subarus from this dealership at well below msrp. In fact, we start at invoice. For this reason, and having checked TrueCar in advance, I thought they were offering us a very good deal, considering the market.

My only reason for asking here is that I see some members reporting substantial discounts below msrp.

Well, let me ask you this......

If you want to pay less, why don't you shop around? ......I'll wager the answer to your question lies within that response.

We payed a couple thousand less than MSRP a year ago for a 2020 but I wouldn't expect we could get a 2021 for that right now with the chip shortages, dwindling supplies, etc.
 

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We purchased a 2021 Forester in Toronto, Canada last month (mid June) and we did not pay MRSP, however colour options where limited unless we wanted to wait. I did see the incentives on the Forester go from $750 off in June to $1000 off in July, which irritated me a little :)

Where we saw lack of wiggle room was with used 2019s, dealers weren't interested in dealing at all.
 

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I understand that these are unusual times. In the past, we've always bought Subarus from this dealership at well below msrp. In fact, we start at invoice. For this reason, and having checked TrueCar in advance, I thought they were offering us a very good deal, considering the market.

My only reason for asking here is that I see some members reporting substantial discounts below msrp.
.....but like I said before, why not go somewhere else if you think you can get a better deal? I'm not trying to be flippant but your answer is likely in the response you would give to that question.

The circumstances can be vastly different for others. In my case, the supply was a little thin back in 2020 already but I was able to still get a deal because there are several dealers in my area and the one I chose still had a big supply. We also bought 3 other cars from them in the past which I'm sure helped. The dealer you're buying from is likely charging you MSRP because that's what they can afford to do.

It's simple supply and demand. .....and right now the supply is really becoming scarce everywhere.

You know that big dealer we bought my wife's Forester from this time last year? They have "zero" Premiums on their lot right now with only 5 in transit. When we bought the 2020, they had several on the lot (including the one we bought) and several in transit and that was a light for them. In fact, they don't have any Foresters on their lot for sale right now. All 11 they show say they are in transit.

As for Outbacks, that's a different story but those are made here in the U.S.
 

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You think it's bad trying to buy a new one, you should see what has happened to the prices of used Foresters. Last February we bought our 2017 Premium (w/Eyesight) with a little under 53K for right at $20K. One local owner, dealer-only service records and immaculately kept. It was their list price which we thought was fair considering its history.

Fast forward to July. The dealership we buy from currently has '17 and '18 Premiums with 80 and even 90K on the clock and listing them for $23-24K. At least one of them didn't have Eyesight and none of them had the extra accessories (auto-dim mirrors, Homelink, seatback protector etc) that ours has.
 

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We purchased a 2021 Forester in Toronto, Canada last month (mid June) and we did not pay MRSP, however colour options where limited unless we wanted to wait. I did see the incentives on the Forester go from $750 off in June to $1000 off in July, which irritated me a little :)
Subaru Canada really does operate a little differently. Subaru of America seemingly prides itself on never doing "cash on the hood". Instead we periodically get low interest financing offers. Last one they had didn't include the Forester.
 

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All depends on how hot or short supply or over supplied the car is and how much you want it.. id never pay a premium on a car(aka OVER market value) id get a different car instead..but MSRP is where i would pay that MAX...i look to pay someplace between invoice and MSRP... no markups counted
 

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Discussion Starter · #12 ·
Subaru of America currently is offering subsidized financing for the Forester. Our dealer quoted us 1.9% for six years, which is only 0.01% points above the rate Bank of America quoted me.

Subaru Canada really does operate a little differently. Subaru of America seemingly prides itself on never doing "cash on the hood". Instead we periodically get low interest financing offers. Last one they had didn't include the Forester.
 

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Discussion Starter · #13 ·
In general, I agree. Over the past twelve years we've bought or leased a number of Subarus from the same dealer, all with subsidized financing, and all priced based on invoice. We currently own a 2010 Outback, which I drive; a 2019 Outback, my wife's; and a 2012 Legacy, which another child drives.

Indeed, it's our longstanding relationship with the dealership and one particular salesperson, now a manager, that, reinforced by the TrueCar report, led me to think that, in this market, msrp is a great price. It's only reports here of people paying well below invoice that prompted my inquiry.

All depends on how hot or short supply or over supplied the car is and how much you want it.. id never pay a premium on a car(aka OVER market value) id get a different car instead..but MSRP is where i would pay that MAX...i look to pay someplace between invoice and MSRP... no markups counted
 

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At the end of the day, buying a new car is a bad deal. So much depreciation the first few years, you’ll never make up the difference in potential repair costs if a 2-3 year old car.
 

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Purchased a 21 Forester Sport in April for 8% off MSRP, a lifetime powetrain warranty ala oem, gratis body side molding, all weather floor mats, dealer invoice pricing on several other options, four year zero percent financing with nothing down and a good deal on extended warranties. We shopped online with four different dealers. Guess we caught them at the right time. It was the most pleasant car purchase transaction we have ever experienced the last 50 years of car purchasing.
 

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At the end of the day, buying a new car is a bad deal. So much depreciation the first few years, you’ll never make up the difference in potential repair costs if a 2-3 year old car.
That really all depends on how long you're planning on keeping the car... For example, my 2014 Forester is still holding a value of between $14K and $16K - and has been holding that for a few years now. I paid about 27K new - so I've "lost" about 50%.
 

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At the end of the day, buying a new car is a bad deal. So much depreciation the first few years, you’ll never make up the difference in potential repair costs if a 2-3 year old car.
That depends on the vehicle make/model you are purchasing and how new you are wanting. Right now there is virtually no reason to buy a used gen 5 (2019+) Forester over a new one. The cost savings over new are VERY minimal. In fact, there are even cases where the used cars are selling for MORE than what one could get a new one for.

Even in a normal market it is often smarter to buy a new car. Some cars like Subarus depreciate so slowly that the long term cost is actually cheaper for a new car verses one within the last 2-4 years. Now this isn't true for every Subaru. I've actually priced out Ascents and they are depreciating much quicker than Foresters and Outbacks right now.

Note that this is also related to resale value of the vehicle. The longer you plan on keeping the vehicle the less this matters. For example, the difference in resale price between a 2013 vehicle and a 2016 vehicle will be a lot more than the difference in price between a 2008 vehicle and a 2011 vehicle.
 

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I just bought mine 21' Forester premium over two week agos, i'm in Fairfax, Virginia. Not happy with the price much - 30K OTD, Forester inventory is tough right now and everyone selling their over MSRP 1k or so. If you are really need a car, then just have to find the lowest price, bite your tounge and go with it. But you have time and not in the rush of getting a car, then wait, but keep in mind, with the chip shortest situation, the more you wait, the more you pay.
Another thing, We decided to get grand new car with 3 miles on it when we picked it up. Used cars price are not pretty either, some might cost more then you get a grand new car.
 

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FYI, here is an example from a quick search on Carmax showing Forester Sport trims. It is down right embarrassing. Even for the 2019's, these prices are pushing if not over MSRP. If you can get a dealer to honor VIP pricing (Invoice minus 2%) it will DESTROY these prices. Hell, look at that 2021 at the top. MSRP on a brand new touring is less than that. Also note this is Carmax that doesn't haggle so the price you see is the price you pay (before tag title and tax). What moron is paying these prices?

555131
 

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In general, I agree. Over the past twelve years we've bought or leased a number of Subarus from the same dealer, all with subsidized financing, and all priced based on invoice. We currently own a 2010 Outback, which I drive; a 2019 Outback, my wife's; and a 2012 Legacy, which another child drives.

Indeed, it's our longstanding relationship with the dealership and one particular salesperson, now a manager, that, reinforced by the TrueCar report, led me to think that, in this market, msrp is a great price. It's only reports here of people paying well below invoice that prompted my inquiry.
I think it was normal right after covid till maybe early this year..now all of a sudden you look at dealers lots and they have a FRACTION of the cars they normally have...back then they were trying to get people to BUY post covid/shutdowns when they were closed and or doing online only deals...they had a BOOMING year last year....now this year with the Covid shutdowns, the semiconductor/computer parts shortages causing plants to shut down now they are becoming short on cars...so 1 year ago it was a buyers market and you could get under MSRP now its a dealers/selling market and if you want something thats scarce they can either hold to MSRP because they will sell it at that....or add on some $$ and charge over MSRP for some of the more desirable models...
 
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