Arm yourself with the right knowledge about buying a car, and you’ll surely get the ride you want, equipped with all the accessories of your liking, at a reasonable price. Once you have decided on the type and size of the car to purchase, follow these 5 simple tips for a smooth car-purchasing transaction.
1. Know the “invoice” cost. This is one of the key points a car buyer has to know. The “invoice” is the car’s cost paid by the dealer. Be sure to get the latest invoice cost and haggle up from there, not down from the car’s sticker price.
2. Bargain. Now that you already know the invoice and sticker cost, you will now have a better knowledge of your negotiation room. Ask the dealer for their lowest mark-up and start negotiating from the invoice price up to the lowest mark-up price.
3. Be wary of worthless, overly priced services. Watch for extra fees that add up to the car’s sticker price. The salesperson may try to sell you rustproofing, undercoating, windshield etching, extended warranty, fabric protection, etc. These services are all overpriced and worthless, and can save you hundreds of dollars if not included in your terms and agreements.
4. Trade-in. Don’t mention this until you’ve already agreed on a fixed price. But when it’s time to bring this up, be sure to know your trade-ins worth. Search the internet or ask different dealerships for your trade-ins current cost.
5. Don’t skip the test drive. Take that new car out for a spin. Take time in inspecting the vehicle’s environment. Make sure it’s comfortable and the car controls are easy for you to handle. You’ll be with this car for years, so it’s okay to be extra cautious.