How much do dealers make on a retail sale?

That’s very hard to say. In general, the lower the price range of the vehicle, the less a dealer has to spend reconditioning a vehicle, and the lower his expense structure the less profit he can afford to make. Typically a dealer can sell a lot more $10,000 vehicles than $30,000 vehicles (there being many more consumers looking for used vehicles in the $10,000 range than the $30,000 range) and a dealer selling $10,000 vehicles typically has a more modest expense structure than one selling $30,000 vehicles and can therefore sustain his business with less profit per car. It is also typically much more expensive to recondition a $30,000 vehicle out of warranty than a $10,000 vehicle. These are the primary factors determining profit structure. It is a highly competitive business and shopping around will almost always lead you to dealers with competitive pricing and profit margins.       

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