by Sayak Rivers |
Last Updated: January 11, 2021 There’s nothing worse than walking away from a car dealership feeling like you’ve been duped. It’s easy to get carried away when working with a dealership and, with an especially talented salesman, you could end up spending much more than you want without even realizing that you’re doing it. Well, no more! Here are some simple tips to help you negotiate a good car price. Who knows, maybe with your next purchase you’ll walk away feeling like you got the better end of the deal.
Work off the Dealer Cost
The worst thing that you can do is work off the sticker price on a new or used vehicle. That’s because it’s intentionally much higher than the dealer needs to get to turn a profit. Instead, you should be focusing on the wholesale value of the car, or approximately what the dealer paid for the car instead. Look up wholesale prices for different vehicles you’re considering and rely on those figures to help you negotiate a more fair price with your dealer. You’ll be amazed at how much you can get the price dropped with a bit of smooth talking.
Stay Calm
It’s easy to become overwhelmed or to give up control of a negotiation because a salesperson is putting pressure on you. That’s the worst thing that you can do. It’s vital that you stay in control the entire time. Just remember that you are the one with the money and that the salesperson needs you, not the other way around. State your demands, and, if the dealership won’t accept your offer, don’t be afraid to walk away. There are other options after all.
Know Your Stopping Point
Every car shopper should have a stopping point where they will not pay any more money for the vehicle. That amount should be determined before you even step onto the lot so that you don’t raise the price for exceptions. Keep the figure in the back of your head and vow not to go over it no matter what the salesperson says to you during negotiations.
Force a Counter Offer
When buying a vehicle make your offer known and very clear to the seller, then wait. Do not raise your price without first hearing a counter offer from the seller. This gives you time to think, and it lets you know just how much wiggle room you have to work with. After going through a few rounds of negotiating, you’ll likely save more than you thought possible.
Don’t Rely on Monthly Payments for a Deal
The seller is going to try and focus on monthly payments rather than the full cost of the vehicle. This is an effective tactic to make it seem much more affordable than it is. Focus on the full purchase price of the vehicle and work off that rather than the monthly cost. Otherwise, you will end up spending more than you want to.
Buying a car doesn’t have to be too expensive, and knowing how to negotiate will save you a bundle in the end. Follow these tips and you’ll do much better on your next vehicle purchase.