It is important to learn how to negotiate a new car price if you intend to purchase one soon. Negotiations can reduce the agreed-upon price and save you money upfront and throughout the life of your loan.
Without preparation, you’ll be at a disadvantage when meeting with a car salesperson face to face. These professionals sell hundreds of vehicles each year and can deploy misleading tactics to make a dealership as much money as possible on a sale.
Before visiting the dealership or a junkyard Bronx NY, take the time to learn how to negotiate the price on a new car with these simple steps.
4 Steps to Take Before Visiting a Dealership Lot
To learn how to get the best price on a new car, you need to do the legwork before you even step foot on a dealership lot.
1. Know What You Want
Dealerships love working with consumers that don’t know what they want. If you don’t know what you want, you won’t know the car’s fair price. If you’re open to any vehicle, a slick-talking sales associate can get you to love (and thus further value) a car he or she is selling.
2. Do Your Research
Knowing how to negotiate a new car will mean researching the vehicle you intend to buy. Once you have picked out a vehicle, learn everything you can about the car. The information you uncover should include the general price of the car, the amount that the dealer likely paid for it, and what the demand for the vehicle is.
3. Explore Financing Options
Want to know how to negotiate a new car price? Explore your financial options before visiting a dealership. Get preapproved with a lender and find the best loan that works for you. This removes much of the power that the dealership possesses. Salespeople commonly attempt to negotiate a loan and the price of the car at the same time. Having financing before you visit a lot takes that power away from the salesperson.
4. Find the Best Deals
Look for the best deals before you buy. Rebates, price cuts, or cash back incentives can help save you money on a car. You can generally find these deals when a car is not selling as well as expected, during special sales events, or when a dealership needs to make room on their lot for new arrivals.
4 Best Ways to Negotiate the Price on a New Car
If you want to know how to negotiate a new car price, it is essential that you know the steps that you should take once at a dealership.
1. Time Your Visit for the Best Price
When you choose to visit dealership matters. Car dealerships commonly create sales goals for their employees. These goals may be monthly, quarterly, or annually. If you time your visit near the end of one of these periods, you will likely get a better deal as the salesperson will be more motivated to haggle.
2. Focus on Price First
If you want to learn how to negotiate a new car, then you need to learn to focus on one thing at a time. Focus on the price of the car first and then look at the other aspects of buying a car. Salespersons will commonly rope financing, monthly payments, and the cost of the car into one transaction.
3. Discuss Your Trade-In After Your Price is Locked Down
After you have negotiated the price on the car, look at the value of any trade-in you have. Like the price of a new vehicle, the value of your trade-in can and should be haggled. The higher the value of your trade-in, the less you will pay on your new car.
4. Negotiate the Cost of Extras
When learning how to negotiate a new car price, it is worth knowing that you can negotiate beyond the price of the car and the value of your trade-in. When you finalize a sale, your contract will likely include several fees, including transaction fees and documentation fees.
Out with the Old, in with the New
Now that you know how to negotiate a new car, it is vital to determine what you will do with your old vehicle. Depending on the vehicle and its condition, the dealership may or may not accept it as a trade-in.
If the dealership does not accept it, you can still sell or recycle your car. Agencies that provide cash for junk cars can work with your schedule and provide a cash offer regardless of the condition of your vehicle.