The Best Negotiation Tips to Pay the Price You Want at a Used Car Dealership
The Best Negotiation Tips to Pay the Price You Want at a Used Car Dealership
Posted on February 16, 2021
The Best Negotiation Tips to Pay the Price You Want at a Used Car Dealership
Car buying is an exciting yet stressful time. Looking at newer cars in a used car dealership is always a fun way to spend your weekend. However, once you get down to the fundamentals of car buying, it can leave you feeling a bit anxious.
You're happy to have the opportunity to purchase a new vehicle, but it's not that simple. You need your new car to be better than your last one. You're looking for features in your new car that your old one didn't offer.
You need the vehicle to be safe, efficient, and well-built, along with other personal preferences. And once you've sifted through thousands of cars for weeks on end, you've finally narrowed your choices down. However, you're not done yet.
Now it's time to start negotiating the price. Continue reading below for some negotiating tips to use when shopping at a used car lot.
1. Know Your Numbers
Don't come unprepared. The first thing you want to do is research your numbers. Know what kind of car you're going to the dealer for and look it up on car pricing guide sites.
These sites allow you to put in all of the car's information and they'll generate a fair price for the vehicle. All of the information you need should be listed in the advertisement for the car online. You can also give the used car dealership a call and have them give you any information that you might need.
What is the current market value for that car? What are other people paying for the same car with familiar features, mileage, and other factors? Have this information on hand when visiting the dealership.
If you know your numbers, you'll have a better idea of what price you should be paying and how to negotiate it.
2. Take a Trip to the Bank
You should also take a trip to the bank before visiting the dealership. Get your funds in order and know how much you can afford before heading to the lot. If you already have a car in mind that you're going to look at, have your bank run a check on the vehicle's VIN number (vehicle identification number).
This check will tell you if the car has been in any accidents or if the title is a rebuilt title, meaning that the car was totaled and rebuilt. Once the bank clears you on a vehicle and approves you for an auto loan, they'll give you a draft. The draft is for how much you can spend on that specific car at the dealership.
Walking into the dealership with a draft in hand allows the dealer to see what you can afford and what the bank thinks the vehicle is worth. The bank knows what a fair price is for a specific vehicle and the dealership will most likely accept the offer.
3. Consider a Counter Offer
A great negotiating tip that is good to know, no matter what you're buying is to consider a counteroffer. Never hesitate to throw in a counteroffer. Just keep in mind that you won't want to lowball them either.
Let them know that you're serious about buying the vehicle, but want a fair deal. In most cases, a dealership will accept your counteroffer as long as it's still a fair deal. Countering with a lowball offer might leave your salesman feeling like he or she can't take you seriously.
This is where knowing your numbers will come into play. If you know your numbers, then you know what should be offered and what's too low or too high. Keep these numbers in mind when giving your counteroffer.
4. Be Polite and Respectful
You might have the notion that you need to walk into the used car dealership with a mean face to get the deal you want. Do you need to be strong and knowledgeable? Of course, but it's important to always stay polite and respectful.
You can show the salesmen that you did your homework, have the money in hand, and won't be fooled, all while remaining pleasant. If you're rude, the dealership might not want to do business with you. Just as you want them to be kind and excited to make a deal with you, bring them that same energy.
This is the best way to have an excellent car-buying process where everyone leaves happy.
5. Keep it Business, Not Personal
Also, remember to keep things business. Don't bring any personal factors into the mix. Keep the conversation light, and always stick to the numbers and facts.
This is a business deal and the things that matter most are the facts. You won't get too far by explaining why you need a car so badly. Sure, you can conversate with your salesman all you want, but this won't help you in the negotiation process.
Instead, discuss other important topics such as the mileage, the wear and tear on the tires, the number of accidents, and the fair market value of the vehicle. These are some of the many things that go into the pricing of the vehicle, and these are the things that will help you negotiate the price.
6. Bring a Trade-In Vehicle
Another great way to negotiate the price of a newer vehicle is to bring in your current vehicle as a trade-in. Dealerships will give you a quote for how much they're willing to offer you for your current vehicle as a trade-in. If you were to sell to a dealer (not as a trade-in), then the offer price would be much lower than when you're trading it in.
If you accept the offer, the dealership will take the price of your trade-in vehicle off of the total price of the new vehicle. How's that for negotiation? This is a great way to get your old car off your hands while bringing down the price of your new one.
Shop Your Used Car Dealership For Great Deals!
Are you ready to put these helpful tips to use? If so, then it's time to shop your used car dealership for some great deals! Here at Daou Auto, we have used cars to fit anyone's needs.
Click here to shop our specials today!