It's hard to find a new car unappealing, especially when you're driving around in a vehicle that is a few years old, has a stain on the floorboard, and may be in need of maintenance. When the new car bug bites, you need a solid plan to buy the car you want at a price you can afford. Here are a few tips to help you get the best deal.
Do Your Research
There's nothing wrong with buying a new car, but you need to know that it loses value the minute you drive it off the lot. Unless, you negotiate with the power of a pro, you'll pay more than you should. The following things can help you lower the price tag.
- Know the dealer's cost for the car and negotiate up from there rather than starting at the sticker value, or the MRSP value.
- Wait until the end of the month when dealerships and sales professionals may be willing to make better new car deals in order to hit company goals and bonuses.
- Don't be afraid to walk away if you can't get the savings you want on a car. Another dealership may be in need of sales and offer you the price you want.
Find Deals on Used Cars
Buying a used car means you've saved money, because somebody else already paid the depreciation of the vehicle. While many people used to think all used cars were lemons, buyers can now take advantage of a variety of tools to get the best deal.
- Use a car reporting service, like Carfax to verify the history of a vehicle. This takes the guessing out of the game and can help you avoid cars that will eat into your savings.
- Shop for Certified Pre-owned vehicles from dealerships. When you buy from a dealer, you can usually get some type of warranty to help protect you against unforeseen car trouble.
- Get the car inspected before you agree to purchase the vehicle. While this costs money up front, it can save you hundreds of dollars on car repairs.
Offer to Pay Cash
It might surprise you to know what type of car deals you can get if you offer to pay cash. While this is more common with private sales, cash can still have an influence on a dealership. If you want to see the negotiation power of cash, keep a few things in mind.
- Don't walk around with cash in your pocket. Most sellers will accept a cashier's check or certified funds in place of cash. The phrase refers to paying for the car in full rather than financing it.
- Call ahead and ask to speak with a salesperson or the seller. Find out what deals you can get if you pay cash.
- Calculate how much money you can save by paying for the car in full rather than financing it. In most cases, you'll save hundreds of dollars.
When you understand the best ways to negotiate a car sale, you can walk away with more than a new car: You can walk away with saved money.