How much below MSRP should you offer?
The honest answer: it depends. MSRP is a starting anchor set by the manufacturer — the real number lives between invoice, current incentives and how long the car has been sitting on the lot.
MSRP is a marketing number
Manufacturer's Suggested Retail Price is exactly that — a suggestion. It exists to make discounts look meaningful. The number that actually matters is what the dealer paid: invoice, minus holdback, minus any manufacturer-to-dealer incentives.
The four inputs that decide your offer
1. Invoice price. What the dealer nominally paid. Available on sites like Edmunds and CarsDirect.
2. Manufacturer incentives. Rebates, financing offers and dealer cash — these move constantly. Check the manufacturer's site by ZIP code.
3. Supply. High-demand trims (loaded configurations, specific colors, hybrids and EVs in some markets) command closer to MSRP. Slow-movers can go below invoice.
4. Days on lot. Anything past 60 days on the lot has a floorplan cost hitting the dealer's ledger. Longer sits = more room.
Typical ranges (as a starting point)
Hot new-release trims: MSRP or close to it, minus any manufacturer incentives.
Mainstream trims in normal supply: 4-8% below MSRP, plus incentives.
Aging inventory or unpopular colors: 8-12% below MSRP, plus incentives.
These are rough anchors — every market and month is different. Use them to build an offer, not to decide one.
How to actually make the offer
Send the same out-the-door quote request to three to five dealers on the exact stock number. Whoever comes back lowest is your baseline. Then ask that dealer to remove any add-ons or market adjustment and re-quote. The final OTD is your offer.
Don't tell any dealer what another quoted — let the market do the work. Just tell dealer A that you need dealer B's OTD number to go lower.
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