Quote:
Originally Posted by Sherb
Any tips or suggestions on how to get the lowest price possible so I get the best deal for either?
|
Car salesmen negotiate prices using a shell game. If you don't like the price, they'll switch over to the financing and talk about monthly payments to make it seem like you're paying less than you are. If you don't like the financing, they'll switch over to the value of your trade and try to confuse you with the fact that more is less and less is more. Any time you start to make any headway toward a good deal, they'll switch to something else to keep you off balance. Some of them even use a silly diagram with four squares in it (called a four-square) to move numbers around inexplicably to confuse you. If a salesman pulls that thing out, laugh at him and say, "Put that away or I'm leaving."
With that said, you'll get the best deal if you pay cash and don't have a trade, because it takes those items off the table. All the salesman can negotiate then is price and options, and there aren't many options available for this car. He doesn't have as many shells to move around to hide where he's screwing you. You'll usually get the best price if that's all you're negotiating.
If you must finance, shop around to credit unions for the best interest rate you can find and get pre-approved for the loan
before you go in to negotiate with the salesman. You'll usually get a better deal on the loan, and it takes financing off the table so you can concentrate on getting the best price. Many (if not most) credit unions will lend to you even if you're not already a member. When the salesman tries to switch to financing, just say, "I already have financing in place," and shut him down.
If you have a trade, consider selling it outright instead. You'll usually get more for it, and it takes that off the table as well so the salesman only gets to deal with you on price. If the timing is such that you simply can't sell it in its own time but need to do it all at the same time, just refuse to talk about trade until after you get a price you like on the new car. Every time the salesman starts talking about your trade, just say, "I'm not sure I'm going to trade it," and go back to talking about the price instead. When you finally get to a price you like on the car, then say, "Okay, what can you do for me on a trade." Then negotiate only on trade and refuse to budge off the price of the new car. Doing it one at a time will keep him from moving shells around.
You will usually get a better deal at the end of the month IF the sales team hasn't made their sales quota. If you drive by the dealership at 7pm on the last day of the month and the lights are on and the floor is full of salesmen, you'll likely get a really good deal if you walk in there ready to pay cash. Sometimes the sales bonus is enough that the dealership can practically give the car away and still make money. Once they make that quota, however, they're not under as much pressure.