New BMW Invoice Pricing

New BMW Invoice Pricing: How to Get the Best Car Price

When you look at the most expensive car brands in the world, BMW doesn’t quite make it to the top 10. Still, it’s up there somewhere. (Spoiler alert: BMW is the 13th most expensive auto brand globally.) Even though nobody can say that BMWs are budget vehicles, buyers are definitely able to snag themselves a deal they can be proud of.

How? Once you find out what the BMW invoice price is for the model you’re considering, you’ll be in a great position to get the lowest possible price on your new car! Were you hoping to get a few hundred dollars off? You can do better than that!

BMW Invoice Pricing: What Do You Need to Know?

In car sales jargon, the BMW invoice price is simply another term for the car’s wholesale rate. You’d think that means that the invoice price is the amount your car dealership has to pay the manufacturer for a vehicle, but it’s not quite that simple. Car manufacturers offer financial incentives to car dealerships to stock and sell their vehicles, you see, and dealerships often end up paying much less than the invoice price.

The BMW invoice price is determined not just by the vehicle’s manufacturing cost, but also by advertising overhead, shipping costs, and other related expenses that the manufacturer passes on to dealerships.

As you’re trying to figure out just how low you can go when you’re negotiating BMW car prices with your local dealership, though, there are a few other terms you need to add to your vocabulary:

• The dealer holdback is a refund that car manufacturers, including BMW, offer to car dealerships as a financial “reward” for selling their vehicles. The dealer holdback can amount to as much as two to three percent of the BMW invoice price, or even the car’s MSRP.
• The manufacturer’s suggested retail price, or MSRP, is the sticker price that a car manufacturer recommends for a specific vehicle (without any optional add-ons, which will inevitably cost more). Car dealerships are not obliged to list a vehicle for the MSRP, but the sticker price will usually be very close.

• The dealer cost (or “true dealer cost”) is the figure that the dealership ultimately ends up paying the auto manufacturer for a car — that is, the BMW invoice price, but without the dealer holdback and any other incentives the manufacturer may offer.

Can you get a new BMW for the true dealer cost? Not usually. Smart buyers can, on the other hand, certainly end up paying much less than their car’s MSRP.

Why Do You Need to Know the BMW Invoice Price When You Already Have the MSRP?

The BMW car prices you’ll see listed are bound to be tied to the MSRP. Car dealerships, however, do expect potential buyers to haggle. 

Because the MSRP is significantly higher than the BMW invoice price, and dealer holdback also has to be considered, dealerships can run a very profitable business even if they never sell a vehicle for its MSRP.

Knowing how the relationship between car manufacturer and dealership works strengthens your negotiating position as a buyer. You are now armed with the basic information to know that buyers are better off negotiating their way up from the BMW invoice price than down from the sticker price (as most buyers do).

You are still missing a key piece of information, of course — the BMW invoice price for the exact model you are hoping to drive away in.

How Much Should You Really Pay for Your New BMW?

How much is the BMW you have your eyes on truly worth? This simple formula can be used to calculate the true dealer cost:

True Dealer Cost = Invoice Price – (Dealer Holdback + Manufacturer Incentives & Rebates)

Once you pinpoint the BMW invoice price, you can remember the fact that dealer holdback and similar financial incentives typically come to around two to three percent of the BMW invoice price in mind. You will then arrive at a figure that is very close to the true dealer cost.

Armed with this informed estimate, you’ll hold cards that most buyers have never even heard of — and as a result, the deal you get could be thousands of dollars below the MSRP.

At this point, you’ll have to decide your upper BMW car price limit. What can you afford to spend on your new BMW? Our easy payment calculator allows you to calculate your monthly payments in a matter of minutes.

How Can You Find Out About the Invoice Prices for BMW Cars?

At this point, smart shoppers know that they absolutely need to get their hands on BMW invoice prices to get the best possible deal. How? Figuring out what your dream BMW’s MSRP is is easy — but invoice prices aren’t public information.

We’ve made it simple for you with our free invoice pricing app. Get your best price quote and unlock “secret” BMW prices!

Use Our App Today to Get BMW Invoice Pricing

Getting a new BMW for a great deal has never been easier! Once you check our handy invoice pricing app to reveal your BMW invoice price, you are almost guaranteed to gain the upper hand in your negotiations.

Do you still have questions about BMW car prices or invoice pricing? Feel free to contact us any time get the answers you are looking for!