Anything under 25k is a win for him. Anything over 20k is a win for you. Take a tough stand (the best way to deal with jerks, and he sounds like one) and tell him $23 firm. Then accept his counter-offer.
Bottom line, you'll make much more on your new house than the marginal few thousand dollars you're negotiating on the car, so if he offers $22k or even $21k, I'd take it, as long as the jerk didn't add any unacceptable conditions.
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