With car prices 4% higher than they were a year ago, you need to do what you can to score the best deal. But with cars in short supply, you may feel like the deck is stacked against you. Fortunately, there are some key strategies to make a new car purchase less daunting.
Stick around to learn how to negotiate new car prices in the showroom!
Know What You Want
Are you looking for a more fuel-efficient vehicle or a minivan? Before you head to the dealership, be clear on your needs so you don’t get sidetracked.
Determine any extras, like a sunroof or leather seats, that you desire in a new car purchase. And check these out if you’re still looking for good vehicle options!
Arm Yourself with Information
You’ll be better equipped to negotiate when you have knowledge about the car and your personal finances. Know your credit score before you walk into the dealership. And know your budget limitations.
Most importantly, know the stats and specs for your potential vehicle. And ask if a manufacturer rebate applies to the model you’re most interested in.
Have Vehicle Financing Lined Up
You’re better off walking into a dealership with a preapproved loan in hand. Having vehicle financing demonstrates that you know what you’re doing as a buyer — and are serious about spending money.
Or, even better, have a cash payment ready to go. If you can walk into a dealership ready to pay everything on the spot, you could score a discount.
Comparison Shop for a New Car Purchase
Plan on visiting more than one dealership. If one dealer has too much inventory, they may cut you a deal. Or you may be able to arrange a better monthly payment at one dealer versus another.
You can ask for extras, too. For instance, if the dealer won’t lower the price, ask for a free oil change or tires. You may be surprised by what a simple ask can yield!
Let the Seller Name a Price First
If possible, let the seller lob the first volley in negotiations. That way they aren’t likely to go above that price at any point. And you’ll be able to plan your next move.
With your first counteroffer, try to hit near the invoice price. You can find this by researching the car model online. And this price tends to be lower than the manufacturer’s suggested retail price (MSRP).
Read the Contract Carefully
Before you sign off on a new car purchase, review the contract to ensure that the numbers match what you were told orally. And watch for add-ons you didn’t ask for.
Don’t settle, either. If a dealer isn’t willing to negotiate, you can find plenty of others who will. There’s no sense in paying too much for something that rapidly depreciates when you drive it off the lot!
Learn How to Negotiate New Car Prices
When you negotiate new car prices, you want to be prepared with knowledge and confidence. Know your financial standing and line up vehicle financing. And don’t be afraid to walk away from a bad deal.
Find more tips to get the car of your dreams. Check back for new articles!
Hemant Kumar is a project manager at Tridindia with more than nine years of commendable experience in writing about LMS, translation, and IT. His unmatched talent and passion for digital marketing gave him the opportunity to work as a multi-tasking project manager at TridIndia’s sister company, Link Building Corp. Today, he contributes to the world by imparting knowledge on SEO, link building and internet marketing etc., that helps business owners grow their online business.