dealer markup?

[Stephanie]

I just got my estimate on a Silvercrest W-74. The breakdown is as follows:

$39,100 Base
$13,395 Options
$ 3,045 Sales Tax
$ 2,500 Delivery
$ 105 HCD ( A division of State of CA)
$15,000 Profit

$73,045 Total

This does not include set-up or outside package.
I'm wondering if this profit seems right. It seems high to me, about 21% of total cost.

We are paying cash and putting this on our own property.

Any info would be helpful.

Stephanie

[rmurray]

The profit most dealers would price the home in this range and accept a few thousand less.....Seldom have I seen this type of pricing...Will the dealer deliver the home???? Set up is an important part of the dealer responsibility....Remember your warranty is set up dependent...The biggest fight for warranty is plant saying the home is not set right so they will not fix anything...I would be scared of buying without set up.....Have you shopped other dealers for quotes on this home?????...Of course CA seems to do everything different than the rest of the country...Maybe this is normal there...Would be nice for us in the East...Set up is almost all the hassle of being a dealer...

[JimR]

What dealer? I too am looking at a Silvercrest.

JimR

[linda day]

shopping at dealer and they are putting almost $3,000 surcharge when purchasing. They say it is caused by a shortage of materials caused by hurricane Katrina. Have you heard this is an industry practice?

[linda day]

shopping at dealer and they are putting almost $3,000 surcharge when purchasing. They say it is caused by a shortage of materials caused by hurricane Katrina. Have you heard this is an industry practice?

JimR wrote:
>
> What dealer? I too am looking at a Silvercrest.
>
> JimR

[rmurray]

Prices are rising every month..Katrina recovery is like a giant vacuum sucking up huge quantities of building materials..In a free market shortages cause price increases...Many building materials are now in short supply and gone up as much as 100% since September...Manufacturers call price increase all sorts of thing surcharges are one of them...Seldom will a dealer tell you you could have bought the home months ago..Most quote current prices including these increases...The added cost of materials is something you will have to suffer..All plants have had price adjustments...This makes you a victim of Katrina as well...Who knows maybe FEMA will help...I doubt it...

The biggest increase in home ownership in this same time period has been the increase in interest rates over the last few months...From what you read they will be going higher in the next few months...The longer you wait the more you will pay...

[linda day]

NuTrends near Corona.

[linda day]

Yes, that sounds about right.. I heard that materials like tiles will be increased because of fuel increases.