There is no denying the fact that purchasing a car can be a nerve-wracking, stress-filled experience. Before you make a decision and spend a great amount of money on a vehicle, it pays to acquire a bit of knowledge on the subject. Keep the tips that follow close at hand, and you will have what it takes to make an optimal decision.
Know your limits. Before you start shopping for your next car or truck, decide how much you can afford to pay, and stick to it. Don’t forget to include interest in your calculations. You can expect to pay around 20 percent as a down payment as well, so be prepared.
If you aren’t confident you can resist high-pressure sale pitches, do not go car shopping alone. Bring a relative or friend along to help negotiate prices and remember important questions. Before you even go out to look at cars, make sure you and your friend are on the same page regarding your budget and needs.
Be flexible. While you should head to the car dealership with a good idea of what you are looking for, it can pay to have a little wiggle room. Try to have several makes or models that fit your needs, and you can choose the best deal when you find out what is available at your particular dealer
If you are frequently using your car, it is important that you ask the dealer about the tires of the car. Find out about the size of the tires and how much they would be to replace. This is a big deal because certain tired cost a substantial amount to replace.
Salespeople often have monthly quotas to reach. Use this against them by shopping at month end. Salespeople that want to make the sale want to sell you that car! That gives you some room to wiggle about in your negotiations.
The car industry makes money on any margin of profit. If you can find out how much the dealership is generally buying their cars for, it will make it much easier to find their bottom line. This means you need to do some research on your local car market.
Know what is on your credit report before you attempt to purchase a vehicle. It will be used against you, and if you don’t know what’s on there, then they can manipulate the information to use it against your further. Stay well-informed, and make sure that they can’t get one over on you.
Financing is often more affordable when you get it from an institution other than the dealership themselves. The rates they offer aren’t great, but they’re sometimes open to lending you money when your credit is bad, unlike a bank. Check out all of your financing options and find out how much you’ll be approved for before you approach the lot.
Offer to purchase a car on the spot if the dealer will meet your price requirements. Offer a price that is reasonable, usually at or slightly above invoice. Come armed with information about how you came to this price, and ask for a commitment in writing that they agree to it.
Research the laws in your state when it comes to purchasing a bad car. There are some states that have lemon laws. They will protect you from buying a car that isn’t in great condition and not being able to get a refund. Not every state has these laws, which is why it is important for you to do your research.
Never sign an As-is warranty when buying a used car. This will be a decision you’ll regret later. At the least, any dealer should provide a short term warranty for any car you buy. If your transmission goes out, or the engine after driving away, you have to pay for the repairs.
If you’re buying a used vehicle, you need to make sure you get a record of any accidents it may have had with previous owners. Just because a car looks good doesn’t mean that it’s in tip-top shape. The dealerships have a nasty habit of making things look better than they really are.
When looking at specific used cars, know about the blue book values. If you have to, leave and come back, having researched the resale value, life, and blue book value of the car you’re interested in purchasing. This will help guide you towards what you know that you should be paying.
Make it a rule that you must test drive the exact car that you are considering buying. Many problems don’t appear until you turn a certain way or reach a specific speed. Do as much test driving as you can to avoid any unwelcome issues that may occur.
If you live in a place where cars are required to pass emissions, make sure it passes before buying. It can cost hundreds if not thousands of dollars to get a car to pass inspection. In some cases, you cannot get the car registered to you without passing these inspections.
Break down all of your different negotiating points based on the different profit centers that the dealer has. This means you should be negotiating on price, warranties, interest rates, trade-in value and anything else that is up for negotiation. Taking this approach will get you the best overall value for the car you choose to purchase.
Don’t let a salesperson’s affable attitude and charming smile take you in. Salesman are great at faking sincerity to earn your trust. The friendliness of a salesperson can sometimes be misleading.
Decide on at least three different models that you like and shop for each one to net you the best deal. This will allow you to negotiate three deals and then choose the one that fits you best. Although this will take time, you can rest assured that you will get the best deal possible.
Car shopping is something that many people dread, but see as a necessary part of life every few years. By spending a bit of time in advance studying the options, it really is possible to have an enjoyable experience. With any luck, the advice in the article above has given you the tools to do just that.