Shopping for a new car can be exciting. It can also be a bit nerve-wracking. It is an expensive purchase and you may worry about going toe-to-toe with aggressive salespeople who know a lot more about the process than you do. But, you do not have to be a master negotiator to get a good deal on a car. Most people end up paying more than they need to, not because they do not stand a chance against a car salesmen, but because they failed to educate themselves about some simple ways that can assure you pay less than initial asking prices. Here are a few helpful tips for getting a better price on your next new car.
Arrange Third-Party Financing if You Can’t Pay Cash
If you do not have enough money lying around in your bank account to simply cut a check for your new car—which is the case for most people—arrange third party financing rather than financing through the dealership. This is a huge profit area for dealerships and it is easy to manipulate loan terms to squeeze out as much money as possible from people who can only afford a vehicle through monthly payments. Remember that getting a monthly payment you can afford does not indicate you got a good deal on a car. Getting financing through a third party is as good as paying a dealer in cash, and you will get the opportunity to shop around and get the most competitive rates.
Start Your Shopping on the Internet
When it comes to buying a new car, you should be using the internet for a whole lot more than researching the vehicles you like and what prices you think you should pay. You should be getting in touch with dealers and getting actual quotes. Getting the best price on a car with an in-person approach can take awhile, and you will never really know if you are getting a good price unless you do the same thing with several other dealers in the area. Hardly a fun prospect. Dealerships will have an internet sales department, and here you will get a no nonsense price right away. They know that anyone contacting them in this manner is comparison shopping and that they best give you legit pricing information right off the bat with no games, lest you move onto the next dealership.
Best Times to Buy a Car
In the olden days, new models were typically released in the fall, and dealers were anxious to get rid of old stock to make room for the new. Presently, however, new models may be released all year round so you may find yourself in an advantageous position any season of the year, provided the dealership just go in an influx of next year’s vehicles. Car dealers work on commission and they will be feeling the pressure to make sales as the month end approaches. This means shopping for a car closer to the end of the month, particularly near the last week, may work in your favor. Going to a dealership during the week when business is slower may put you in a better negotiating position compared to a Saturday afternoon, when the lot is crawling with many other potential buyers.
Shopping during the winter may also work to your advantage as sales grind to a halt during this time. December may be particularly good since dealerships are looking for one last shot to increase annual figures. Secondly, the holiday season is particularly slow.