Round Rock Hyundai

Do you understand math? If so, then the folks at Round Rock Hyundai ("RRH") probably won't like you. I recently visited RRH to shop for a new Santa Fe 2.0T. The test drive went well, and we moved on to the "negotiations." Use of quotes here are deliberate since it quickly became apparent that we weren't negotiating anything. While attempting to settle on the final price of the vehicle, the salesman's pitch was fixated on monthly payments. I would say I wanted a base model for $27k, for example, and he would counter with "What do you want your monthly payment to be?" In other words, while most people start the car puchasing process organically (pick car model, settle on price, discuss interest rates for financing, and compute the monthly payment based on that rather simple and logical equation), THIS salesman chose to do it backward. I have never seen anything like it. It was so desperately hopeful and bizarre that it was honestly the most insulting business exchange I have ever had. If you visit ANY car dealership, and the first thing they ask you is what you want your monthly payment to be, walk out immediately and never return. Why? Because of the aforementioned concept of "math." If a $500 monthly car payment is the top of your comfort range, that's your business. Everyone has a maximum amount they can afford based on income, lifestyle, and various other factors. Unless you are trying to goad the salesman (*cough*), however, keep it to yourself. By beginning the negotiation there you are effectively telling them that ANY price is fine, so long as they can massage the numbers into that range. Can the Santa Fe be had for $27,500 out the door? It doesn't matter, because the folks at RRH are about to offer it to you for $500 a month for only 73 months! That's what you wanted, right? A $500 a month car payment? Well there you go! Unfortunately for you, $500 a month over 73 months works out to $36,500 for a small Korean car with limited options. At first I thought the gentleman was kidding when he led off with that approach. No professional car salesman had ever offered me a base model car for the price of a fully loaded model before, while attempting to pass it off as some kind of financial favor. ("Look what I did for you! I kept your monthly payment within your maximum comfortable range!") So I laughed and asked him to continue. Make me a deal, Mr. Salesman! I guess if you throw enough "mud" at the wall, some of it will stick eventually and this guy just wants to win the professional lottery. (I can't blame him, but I can write a review about the experience.) This approach could not possibly have worked on anyone, ever, but I couldn't help but wonder if it had. When I stopped the salesman's "negotiations" and pulled out my iPhone's calculator function to show him what 500x73 worked out to, he attempted to shrug it off as a cost of doing business. "Sir, you will always pay extra when you finance." What was the interest rate on that loan, though? We hadn't even discussed that yet, so how could we have possibly arrived at a final payment? "You wanted $500 a month and I got you that!" Much further, confusing discussion ensued, and I ultimately got the salesman to quote $29k as the actual sales price for the Santa Fe, rather than starting at the end and working his way backward to it. He wouldn't budge from $29k. It only took about a half hour for him to say that. Now then, let's talk about my trade for a second and try to get this sideshow back on track. Blue Book on my prior vehicle was $16,000 for a dealer trade. I did the research, assessed it fairly, and even had Carmax print out an offer for it. I didn't tell him that though, I just told him I wanted $16,500 for it. He proceeded to tell me that I was mistaken, that Blue Book value is wildly subjective (in all fairness people DO tend to overvalue their cars) and that the actual value of my vehicle was nowhere near that amount. He ultimately offered $12,500. This is actually where I started to get angry. Not before, when he asked me to pay $10,000 more for the new car (base model) than anyone who isn't insane ever would, but rather when he told me he would give me $3,500 less than dealer trade in value on my current car. It's almost as though I had personified that car after years of ownership, and now he was insulting a close friend of mine. I held fast to my demand, and that's when my car buying experience at RRH effectively came to an end. The salesman got impatient and left, and a manager came in and asked me what they could do to sell me a car that day. I reiterated my numbers, and he shook my hand and bid me farewell. No negotiation, no attempt whatsoever and coming to a logical conclusion. And now for the closing of my story. After my experience at RRH I went to South Point Hyundai ("SPH") instead. Exact same intent: to trade in my car for a Santa Fe 2.0T. The salesman at SPH valued my trade in on the spot at $16k. They sold me the 2.0T I wanted for $26,000. I was in an out in an hour and a half. RRH: $12,500 for my trade, $29,000 for the Santa Fe 2.0T. Margin of $16,500. SPH: $16,000 for my trade, $26,000 for the Sante Fe 2.0T. Margin of $9,000. $7,500 is not only a huge difference, but the salesman at SPH never tried any bizarre sales tactics or financial cornholing. You owe it to yourself to shop around before settling on Round Rock Hyundai.