Whether you’re buying a mid-range or a high-end car, we bet you’d still want to get the best price possible for your purchase. And you can, especially if you put your negotiation skills to work.
That’s exactly what Minneapolis-based personal finance blogger Jodi Furman wants you to do. Here are some tips she has on how you can save money on your next car.
Not everyone is born a good haggler but you can definitely develop the ability to negotiate prices down with practice. One thing you can do to improve your skills is to do your research when it comes to car prices and financing.
If you’re planning to apply for financing to afford your dream vehicle, it’s best if you shop around for the best loan rates from your bank before going to the dealership. You can also go on sites like Lending Tree or Bankrate to get a better idea of what interest rates you can get in your area.
Another negotiation tactic Furman recommends is avoiding to negotiate with a car salesman in person. The blogger believes that this would address the knowledge edge salespeople have over you.
Don’t Shop for Brands
There’s nothing wrong with admiring a specific car manufacturer and its products. However, you’d be much better off shopping for features you actually want or need instead of focusing on a brand.
Have a list of things you want in a car like its mileage or how old it is if you’re shopping the secondhand car market. Once you’ve determined these, you can then consider other features like seating or a sunroof.
Although you’ve done your research and are aware of the sales tactics that dealerships have, it pays if you remain pleasant and non-confrontational when negotiating. Remember that salespeople have years of experience under their belt and would know how to save you money better at the end of the day.
Be polite and ask questions about which cars you can get a good deal on. Sellers are likely to offer you flexibility and better service overall.
At the end of the day, you’d never know everything that’s going on behind the scenes and what motivations a seller has no matter how much research you’ve done.