Tips on Buying Cars: dealers invoice, negotiating techniques, al brown

Question
I am planning to buy a new car in a few weeks and naturally I would like to pay the lowest price that I can. I heard someone say to not pay more than 3% over the dealer's invoice. What exactly is a "dealer's invoice"? And how can I find out what the dealer's invoice is on the car that I want to buy? Is the dealer's invoice actually on the sticker that is attached to the windshield? Thank you very much for your response. Al Brown  

Answer
Al:

Thanks for your question.

3% over invoice is a good rule of thumb, but depending on the availablily and demand for a paricular car, you may have to pay more -- or less.

Invoice price is what a dealer pays the manufacturer. It's the wholesale price. It is not published on the window sticker.

A good site for invoice prices in the U.S. is www.edmunds.com. However, you ultimatley have to get price quotes from dealers to determine the price that they are willing to offer you. Find some good free price links and negotiating techniques on my web site at www.LeaseGuide.com/index2.htm

Al