New cars are known for their high price tags and their significant depreciation within the first couple of years. So, down the road, much of the money you dropped for that new car would be wasted because the value of that now not-so-new car has gone down so much. So, if your heart is set on buying a new car, you must negotiate that sticker price in order to save some money.
Remember that it is the job of the salesperson to get you to spend more money, accept unnecessary add-ons, and tack on extra fees. The more money you spend, the more money he will make… so you have to pay attention to what your salesperson may be talking (or even manipulating) you into, and be ready to walk away from the car if you aren’t getting the deal that you deserve.
Negotiate sticker Price
Don’t let your salesperson distract you with interest rate, trade-ins, or monthly payments… these are all secondary to the sticker price. You should negotiate the price of the car you want first. In order to do this, you should know what other dealerships have to offer. Visit and call different dealerships, and find out if they are offering rebates or incentives for buying with them. Ask each dealership what their “take-home” price is, and they should tell you the total (with all the fees added to it). Take notes so you can remember which dealership was offering, and use this to your advantage when you speak to salespeople. If they want the sale, they’re going to have to make you the best offer.
Don’t get attached
A smart salesperson will capitalize on those who are overly attached to one, particular car. Even before you step foot on a car lot, you should mentally prepare yourself for a tedious process. If you are impatient, and are willing to take the car you want at the first dealership you visit, you will probably end up paying too much for that vehicle. If you are prepared to walk away at any moment, the salesperson may be more willing to make you a better offer, because he sees that you won’t accept just any number he gives you.
Consider going to the dealership at the end of the month
Typically, salespeople have quotas to make, and they may need to make them (or surpass them) by the end of the month. If you visit dealerships during that time, you may have a salesperson that is feeling the pressure to make another sale. This being the case, you could get a better deal, because the salesperson may be more willing to drop the price if he can make a sale before his quota time is up.
Get quotes on FederalAutoLoan.com
It can be a pain to run from dealership to dealership, and lender to lender, hoping to get a good deal and fair interest rate on a new car. It can also be hard to visit these places when you’re not even sure you can get approved for a car loan. Bad credit can make it difficult to find lenders and dealers willing to work with you, but at FederalAutoLoan.com, we hope to be able to make it easier.
Whether you have good credit or bad credit, we will do our best to connect you to lenders and dealers in your area who want to help you get a loan, and a car. After you fill out our free, no obligation application, we will send it to our nation-wide network of lenders and dealers, and they may compete for your business. If we can connect you to lenders and dealers, you could compare their offers, and choose to work with the best one. Or, if you would like to continue to shop around, you are free to do so. There’s no obligation on your part to work with any lender or dealer we connect you with. And while we can’t guarantee that we can connect you to lenders and dealers, there’s no harm in seeing if we can, especially if you’ve already been turned down for a car loan. We may just be able to help you get the car you didn’t think you’d be able to get.