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Which way are the US incentives going?


pledge

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I'm getting an new EDGE here in a few days and am just taking a gamble on which way the new incentives will go on the 11th. Anyone have a clue? If the incentives go up I may be able to add navigation or the sun roof - but if they go down, I'll be dropping options off my list or jumping to a different car.

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FDAA is a local fund the dealership pays into on each vehicle. The local dealer group can decide how to use the fund. Some will go to local advertising and some may go to additional incentives on vehicles they choose to "spiff". Atlanta might put $500 on Edges for local zip codes and Memphis might put money on F150's.. Regardless where you buy, you only qualify for the incentives for your zip code.

 

Logic would tell you that incentives go on what isn't selling well, or where the competition has heavy incentives. If GM puts more on their CUV's this week, Ford may decide to respond with more also. If our foresight was as good as our hindsight we would know exactly what time to buy. There have been higher incentives - year end closeouts. See the leftover 2009's.

 

Good luck with your decision.

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I'm a Canuck looking to purchase (no finance) an Edge and F-150 from the USA between now and the early summer (flexible).

 

Number of factors that I can't get a handle on:

- bull(ish) economy reducing incentives and inventory & production reduced

- re-tanking economy....

- 2011 models roll out in the summer

- exchange rate

 

All of the above factors with the exception of the 2011 release date require the crystal ball method of forecasting.

 

Anyone have advice on when to purchase? End of Jan? End of Quarter? When 2011's are on the lot?

 

Also, are there better States to purchase from (dismissing sales tax) or should I be able to get just as good a deal in NY as CA?

 

Cheers

Edited by Van G
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Since customer cash and sometimes dealer cash is controlled by the zip code where the vehicle will be registered, I question whether you would qualify for the incentives a local resident would get.

 

You better have a conversation with a border dealer to see what their experience has been with Canadian sales. In the States, you can qualify for the same deal wherever you purchase - all zip code controlled.

 

Let us know what you find out.

Edited by Grey
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The rebate would be better if you have the remainder amount of cash to buy the car. If you use the rebate and then use a loan to pay for the Edge, then you may end up paying more than you saved with the rebate. So, if you cannot buy flat out, then the 0% is the better/safer route b/c it g ives you leeway and doesn't tie up your available funds.

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Since customer cash and sometimes dealer cash is controlled by the zip code where the vehicle will be registered, I question whether you would qualify for the incentives a local resident would get.

 

Didn't realize that rebates were based on area the vehicle is registered? Went through the process of purchasing an Edge about 19 months ago from a dealer in Washington State and didn't seem like this was an issue, although, I never did follow through. Also, from my reading of related threads on another sites, many Canadians are taking advantage of the rebates in the US. I'll check into it and post back.

 

What about time of purchase?

"Anyone have advice on when to purchase? End of Jan? End of Quarter? When 2011's are on the lot?"

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Didn't realize that rebates were based on area the vehicle is registered? Went through the process of purchasing an Edge about 19 months ago from a dealer in Washington State and didn't seem like this was an issue, although, I never did follow through. Also, from my reading of related threads on another sites, many Canadians are taking advantage of the rebates in the US. I'll check into it and post back.

 

What about time of purchase?

"Anyone have advice on when to purchase? End of Jan? End of Quarter? When 2011's are on the lot?"

 

It's done that way to prevent buyers from choosing the dealer based on the incentives for that dealer's zip code. This way you always get the same incentives no matter which dealer you use. In GA that's also how our state sales tax works. Not sure what they use for Canadian customers.

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It's done that way to prevent buyers from choosing the dealer based on the incentives for that dealer's zip code. This way you always get the same incentives no matter which dealer you use. In GA that's also how our state sales tax works. Not sure what they use for Canadian customers.

 

Interesting. I thought the incentives were based on inventory levels which would be related to the economies of the area. I'll know soon enough.

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Interesting. I thought the incentives were based on inventory levels which would be related to the economies of the area. I'll know soon enough.

 

They are to some extent, but that's just it - regardless of whether you target one county or a metropolitan community like Metro Atlanta or even a multi-state area - there will always be dealers in the next county over that doesn't have the same rebate and without this rule all of that dealer's potential buyers could just drive 30 minutes and get the higher incentives. Basing it on the buyer's zip code levels the playing field for all of the dealers in that area. Note that most rebates are national and would not have any zip code restrictions.

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