Tips and hacks on how to negotiate when buying a car
ACQUIRING an automobile to take you places can be a necessity, luxury or privilege. It could even be all of the above. Through the years the automobile industry has been creating ways to provide convenience to transport people from one place to another. However, the acquisition of a car proves to be more difficult than it seems.
Car salesmen are a force to reckon with. While some may be honest enough to help you get a vehicle that is both great in quality and price, there are some who are equipped with the necessary charms and convincing prowess to entice buyers with less than desirable options. Here are some some tips how you can develop negotiation skills so that you can get your money’s worth in purchasing a car:
Make use of online resources
Technology has aided us in more ways than one. The information out there in the world wide web allows us to live life more conveniently than those who came before us. Such holds true as this recent societal breakthrough works in our favor when we decide to purchase an automobile.
Car prices, features and preliminary deals are now made available online. Even rankings of different car models whether it be used or new are displayed so buyers would easily identify which car, truck, minivan, standard utility vehicle (SUV) on the market should they test drive. Buyers should then utilized the said resources to its full extent to ensure that the purchased car would be well within the budget without looking like it is.
Autotrader, a known online marketplace for cars conducted a study in 2016 that analyzes the activities of the average car buyer. The said study showed that at this day and age, a lot of people are using technological devices as means to further ensure that they will acquire the best model with the least price.
Statistics showed that car buyers who shop online spend 59 percent of their time researching for automobiles that would appeal to their liking. The actual research process includes looking through car prices, finding actual cars listed for sale, comparing different models, finding out the the current car’s worth, and locating a dealer or getting the dealer information.
Have a pre-approved financing offer
It is necessary to acquire a pre-approved financing offer from a bank, credit union, or other lender before walking into a dealership. Such offer would help you garner incentives to try to find you a better deal on the automobile you desire. A exemplary credit rating would also entail a great financing deal. Learn to make use of that. If you have not check you credit score. Now is the best time as any.
Ensure an appropriate timing
Learn to take advantage of a skill called foresight. Just like majority of businesses, car dealers and salespeople have sales goals at the end of a specific period. May it be the end of the week, month, quarter, semester or year, once they hit specific figures, incentives, commissions and bonuses are in order. If you decide to purchase an automobile at this time frame, you might be in luck as some dealers are trying to reach certain figures.
Explore other dealerships
Do not be confined with only one dealership. There are more options out there that you have yet to walk into. Who knows maybe you will score a better deal on the second or third store you check. Never settle for something far from what you want.
Once you decide to walk into a certain dealership, you must most certainly be equipped with the necessary knowledge and preparation beforehand.
Offer a realistic amount
Once you started talking about how much you are willing to pay, you have to make sure that it is within a realistic amount. Factoring in the negotiation that is to occur, it would eventually be reduced to your desired price, if everything goes as planned.
Negotiate in small intervals
If the salesperson offers an amount far from the perceived one, ultimate the two parties would try to meet halfway. Once the dealer decreases the price, increase your offer with only a small interval. For instance, if he brings down the offer $500 less, raise your offer a bit let’s say for only $250 or less.
Use your expressions wisely
A business transaction like this requires utmost confidence to be able to get the best out of what you paid for. Offer an amount without breaking a sweat or stuttering. However, be polite and respectful still. After all, both you and the salesperson would only want the best deal, regardless if it is for your own self and not for each other.
Reject bad deals but leave your contact information
If the you and the dealer failed to compromise on an offer and you seem to think there is a better deal elsewhere, politely decline and leave a contact number. The dealer might call back and have something better. Or not. Either way, never settle for a deal far from your perceived realistic one.
Check the payment breakdown and paperwork
Once you get a deal you want, check the payment breakdown and see if there are questionable prices for the items the purchase includes. There are certain incident where dealers charge more for the add ons to make up for the losses they had in the negotiations. Same goes with the paperwork. Make sure there are no loopholes before you sign a deal. Otherwise, all the hard work in negotiating boils down to nothing.
Negotiation in any form can be tedious and tricky. Salespersons in automobile shops would often appear calm, endearing and friendly but it could often be a strategy to establish rapport with the purchasing party. Once the salesperson connected with the buyer, haggling for a lower price would prove to be a lot more awkward and anxiety-inducing. However, such decision should be made with proper preparation. Haggling can be a battle of its own — but the end game is always to win. (AJPress)