Car Buying Tips

Do your homework “at home” before going out to shop:

Don’t buy a car during your first visit to the dealership:

If you buy today it means you won’t go elsewhere to shop and compare. Once you walk out of the dealership it means you “might” buy your new car tomorrow somewhere else. The greatest fear of the salesperson is a potential sale walking out to go to another dealership.

Buying a car on your first visit makes you look desperate because the salesperson knows you are likely buying on emotion, clearly a salesperson’s dream given you are less likely to negotiate the best deal.

“Dealer Invoice” isn’t what the dealer paid

If the dealer says, “Here’s our dealer invoice and you can see there isn’t any more room for negotiation.” The dealer invoice is how much the dealer paid before the rebates, incentives, and discounts the dealer received from the auto manufacturer. The “kick-backs” can be significant if the dealer turns a high volume of vehicles so some dealers get better rebates, incentives or discounts than others. It pays to show around.

Salespeople tend to talk price by discussing monthly payments. For example, “If I could get you this car for $245 a month would you buy it today?” Don’t go for this pathetic monthly-payment scheme. Politely inform them you would like to start by discussing the dealer’s asking price. Make it clear you’re a serious prospect, but only willing to discuss total cost. If your salesperson can’t immediately tell you the dealer’s invoice and asking price, walk out or ask for a manager. If they hesitate or ask you to wait more than 5 minutes go to another dealer – don’t bother to tell them you’re leaving. As soon as you get up they’ll come running after you.

[tags] auto buying tips, car buying tips, purchase a car, dealer invoice, eoecho.com, eoecho [/tags]