Are these fees required? I am doing $1200 over ED wholesale pricing on a 550 Sport.

 

Required? No. This is their extra profit. That is how some dealers sneak in more margin.

My dealer has never charged a prep fee period.

 

P.S. That is why they gave you $1200 over invoice. It's really $1500 or whatever over.

 

I hate "nickel and dime" stuff like that, but you negotiated a good price (better than mine), so if you're satisfied with the overall price, what's it really matter what bucket they're putting each piece in?

 

What is "ED wholesale pricing"?

I see that BMWNA website has not published 2008 5 series ED pricing, it currently has the following for a 550i:


2007 550i Sedan MSRP:$58,500 ED: $54,405 Savings: $4,095
Is wholesale pricing the $54,405? kbb.com shows an invoice price higher than this amount so it sounds like a great deal-eo.

 

No, ED wholesale (or invoice) is like a little over 50K, the 54405 is the ED retail pricing. Basically, there's a two sets of pricing, one for local (US retail and US invoice) and one for ED (ED retail and ED invoice). Check out the detail pricing sheet on bimmerfest E60 subforum and you will see.

 

Go to http://www.e60.net/information/MY2008_5_Se..._Pricing_US.pdf Then go to the second page. The base car for Euro Delivery is listed on one of the top lines. Then add the options. Best deals are negotiated to $1000 to $1500 over Euro Delivery Invoice. Do not let the dealer include advertising costs in ED. If you do a lease look for my post on a common dealer scam on Euro Delivery Leasing.

ED is a great deal. I am currrently working on number 4.

 

So did you get rid of the prep fees in your negotiation or switch to a dealer who doesn't charge such fees as hidden profit?

 

The deal is still being negotiated. I should be able to make it go away.