MSRP vs Invoice vs Dealer Cost: Car Pricing Explained
When you walk onto a new-car lot, three numbers define the negotiation: MSRP, invoice, and dealer cost. MSRP (Manufacturer’s Suggested Retail Price) is the sticker price you see on the window. Invoice is the amount the dealer pays the factory according to the official bill. Dealer cost is the real number after subtracting holdbacks, factory-to-dealer…