With auto sales on the rebound, you may be in the market for a new automobile. Here are 10 things to do when negotiating your next new car purchase:
1. Your first contact with the dealer should be to simply gather information – don’t get sucked into a price negotiation until you are fully prepared.
2. After figuring out the exact type of vehicle and features you want, comparison shop by contacting more than one dealer (via the internet, email or phone – it puts you in control and is the most efficient use of your time).
3. Find out how each dealer is doing sales-wise that month (the more hungry they are, the better deal you can get).
4. Auto dealers typically employ Competitive Strategies and most likely you should too.
5. Set up a competitive bidding situation between two or more dealers.
6. The most “fair” standard in new car sales is the dealer’s cost. Find it out.
7. Don’t make a price move until the competitive bidding between the dealers is near the end.
8. Beware of prices “good only today.” Legitimate quotes today should be equally good tomorrow (unless rebates or special promotions have specific-cutoff dates).
9. Don’t discuss leasing, financing options or your possible trade-in until after you have agreed to a purchase price. Negotiate these separately.
10. Walk away if you get a firm price that a manager subsequently rejects.