Auto Trends

It may seem first nature to some of us, but others of us simply do not know how to negotiate a deal for a new or “newer” car. It can actually be simpler than you think, and here are a few hard and fast rules to go by the next time you are in the market.

1.  The most important rule is to never be in a rush. Remember that there are a lot of cars out there and chances are whatever model you want, there will be several available in your area, so if it doesn’t work out for the first one, move on to the next.

2.  It is always a good idea to let the dealer know up front what you are looking for and approximately how much you are willing to spend. This tactic can knock off a good $1,000 off the price tag before negotiations even begin.

Note: The way you do this, is call up a few dealers in your area and find out if they have any models that you are looking for. If they do, find out their price. Whatever price they give you, tell them that your bottom line is around $1,000 below their price tag. The dealers you will want to deal with, will tell you to come on down. This communication has already opened the door to start negotiations at $1,000 below asking price and you can usually whittle a few hundred more from there on.

3.  Don’t be afraid to “low ball” the asking price and ask for a “reasonable” discount. This is assuming you have done some preliminary investigations and know the lowest price that you could expect. If the dealer is anxious to sell and they believe that you are truly interested, they will often try to at least meet you in the middle somewhere.

4.  You can play several dealers at once for a better deal. This means that if you have found a similar car at two lots, you can negotiate a deal with the one dealer and then call the second one and ask them if they can give you a better price. In the heat of competition, sometimes a dealer will throw in a nice discount or extras to come away with the win. Everybody likes to win, this is what make eBay such an effective selling tool.

5.  Never sign anything on the first round, unless it is everything that you have ever wanted and you are completely sure that you are getting the best deal possible. Take a day or two to think about it and visit a few more dealerships.

Note: “Do” have the dealer confirm in writing the deal that they have offered. They may give you a time limit for how long the offer is good, but most of them will at least be willing to do this. This can be a great negotiating tool at the other dealerships, as well as ensure that a few hundred dollars won’t get tacked on the price after another customer shows interest in the car.