I'm buying a car today...

[PictureCow]

I've never actually owned a brand new one... So anyone have any advice on how to haggle? The car is for my husband he wants a Toyota Matrix. Any advice is appreciated!! :)

[Jezebel]

One thing I'd suggest is to determine your price and stick to it]. Don't even budge by $50! Salesmen want to get vehicles off their lot so they are gonna work with you, and if one guy doesn't give you the price you're asking somebody else will. Do your research (might wanna check KBB ) and find out what is fair and don't let anyone push you over it. Unless you really want them, don't be talked into extra features - OR out of them. They might have a car in the back that they get double commission if they sell, but it's missing cruise control and you really wanted cruise. If there are features you're excited to get, make sure that you get them. You don't even realy need to haggle if you're firm and you know what you're paying. Just say, "Nope - sorry!" and walk out. They may try to say something like, "An extra $30 a month really isn't that much more for what you're getting!" but in my opinion you should remind that that if $30 a month isn't that much, they shouldn't have a problem with you not paying it. ;D

So yeah... that's my advice. Find out what you want and stick to your guns no matter what, even if it means going to a ton of different places and extending your search for a little while. Oh and don't tell them your set price up front. Start low and see if you get a better deal than you anticipated. :)

[PictureCow]

Thanks Jezebel!! BTW your painting are just amazing! Went to your site the other day and really enjoyed them! :)

[kalikilum]

If he is interested I have heard on the radio that there are quite a few lots giving "hail" discounts for cars that got dings in them during the storms.

[Jezebel]

Wee! Thanks :D

Good luck finding a car. I just bought my first new car recently and it can be a pretty stressful experience, but sooooo worth it. Vroooom! Having a new car is the best. Especially if you really love it :D

[gdelacruz]

Salesmen at dealerships can really beat you down. I would start negotiation via email with the the dealership that way you have your price when you walk in. Plus, you can email them quotes from other dealerships so they can match prices.

I'm about to get a new car myself but I'm going to be taking over someones lease. The payments are low enough and the cars are usually still under warranty. I haven't done it yet but a good friend got his car that way and completely happy with it.

Just my 2cts. Good luck and Toyota makes a great car.

[Jake]

Like Jez said, know the price of the car before you go in. I find the 2nd place I go will give me the price I ask.
If you want to get cocky with them, when he gets up to "Talk to his manager" remind him he has a phone on his desk and if he go's out of the room you want $100 less then your first asking price.(I have never done that so it might just make them mad)
But, don't let them "Talk to the manager" more then once.

[Abel]

i usually always deal with the fleet manager... they often dont get commission based onthe saleprice of the car... only in the amount of cars they move etc.

good thing is too... is that usually the fleet manager will give you the price over the phone without even having to go in there and haggle etc. just tell them which model and what features etc and he'll tell you what he has in that and then give u a price

i never deal with salesmen at car lots..

[boxofrocks]

www.edmunds.com
www.intellichoice.com

Are good places to do research.

[timbertoes]

Originally Posted by thejakestir

he has a phone on his desk

And if he uses the phone......it mayhen be set to have the Manager listen in on the conversation after the phone is hung up.

[MarcoFromHouston]

Originally Posted by Jezebel

They may try to say something like, "An extra $30 a month really isn't that much more for what you're getting!" but in my opinion you should remind that that if $30 a month isn't that much, they shouldn't have a problem with you not paying it. ;D

Good advise Jez. I would also add that $30/month over 5 years = $1,800 + interest!

Personally I would search for a 1 or 2 year pre-owned (used) vehicle in good or excellent condition, low miles. The value of cars depreciate a large amount within the 1st 2 years...

Another website for car values is www.nada.com

I would also apply for an auto loan at your local credit union as they may be able to offer a better interest rate.

You can always finance thru the dealer (GM, Ford, Toyota, etc.).....take advantage of the rebates & incentives (free gas cards!!), then re-finance to take advantage of a lower interest rate somewhere else (i.e. credit union).

Oh, and do a search for GAP insurance. GAP insurance pays the difference (the gap) between actual cash value of your vehicle and the payoff at your financial institution. It can eliminate the estimated out-of-pocket expense that the borrower might incur should their vehicle be stolen or totaled. Your insurance co will only pay up to the retail value of the vehicle. And don't pay more than $300 for it. I just called to check and my credit union offers it for $225. You can either pay for it up front or add it to the loan.

Here is a graph showing potential GAP risk:

[cmalana]

A new car is easy to negotiate since they all are in the same condition - brand new! Know what you want (color, options, etc.) and research price on the internet. Offer them something around dealer cost (since they will still make a profit for the most part since they have other hidden incentives) and go from there.

Or use a broker...for a few hundred dollars, you can have someone do all the work for you across the US to get the right car.

[DAPhoto]

With the holiday around the corner, you may want to wait to see the sales that come out around the holiday.
Great advice Jez!

[chloew]

Originally Posted by cmalana

A new car is easy to negotiate since they all are in the same condition - brand new! Know what you want (color, options, etc.) and research price on the internet. Offer them something around dealer cost (since they will still make a profit for the most part since they have other hidden incentives) and go from there.

Or use a broker...for a few hundred dollars, you can have someone do all the work for you across the US to get the right car.

Like Carlo said, find out the invoice price (the price the dealership pasy) before you go in and then offer $300 less than that as your starting bid. Make a bid to them before they give you a price so you control where you start from. Then you have some room to go up. Don't go above $200 more than invoice and stay below that if you can.

Always deal in total price of the vehicle, not in the monthly payments.

Before you agree to any price ask about all additional charges such as TT&L, as well as delivery charge. Delivery charge can be as much as $300 and basically pays for the dealer to wash the car and remove the pastic coverings inside. Refuse to pay that charge and do that work yourself.

Go to the dealership when there is little other foot traffic. During the week, not weekends. Also late in the month and late in the quarter are good so that they are more incentivized to move another car to make their monthly/quarterly quota.

[LoungeLizard]

Know what you want to pay (after doing the research) and stick to it. If they say they have to talk to the manager, tell them that YOU are the buyer and YOU would like to talk to the manager. I did that the last time and he gave me a look, sat down, picked up the phone, and the manager came in. I didn't talk to the sales guy again the entire night - no need to. Manager came in, I didn't let him start talking. I told him what I wanted, what I thought a fair price was, and that he had the authority to say "yay" or "ney". It was up to him whether I signed or walked.