Car Buying Secrets to Outsmart Car Dealership
Driving a new car can be a great liberating experience; the buying process that comes with it is, well, not so great. As someone who has worked in this industry for years, we have heard different horror stories of consumers being scammed by dishonest dealerships. Here, we will let you in on some classic car buying secrets that will help you outsmart the car dealership. We will guarantee that you will leave that car lot feeling satisfied and having spare money in your pocket.
Car Buying Secrets and Tricks to Outsmart Dealership
Walking inside the car dealership is like going into the warzone to some. You will be exposed to some common dealership tricks that you must avoid. Don’t be surprised to see the salesman approach you like your long-lost friend when you step inside. They will be acting like you are there to close the deal when in fact, you are not yet sure of what you want. Being prepared for what to expect before making the trip to your chosen dealership can make a significant difference. Here are some of my car buying secrets that I will share with you.
Reach-Out to Several Dealers
You can start by sending several emails or calling different dealerships and asking for their best deals for the car that you want. It is meant to give you an idea of the market’s average cost. At this point, you have zero intention of going to the dealer’s car lot. If they told you that you would need to visit them, just tell them you will if they provided you with a reasonable quote, and I am not just talking about the upfront cost here. Even when you think that you’ve made your choice, you can still take this opportunity to compare it to the price of the other dealer for a similar vehicle. It is one of the car buying secrets that will ensure that you enjoy the best deal. If the dealership stops responding, then that’s a red flag. Be sure to take your shopping elsewhere.
Keep Your Trade-In a Secret
When dealing with a car dealer, you need to know that they prefer to move money around to trick you that you are getting the best possible deal. For instance, they can play on the interest rate of their financing scheme if they think that they will not get enough profit from you. One of the classic car buying secrets is to keep your intention to trade a secret. If you open about this to your car sales consultant, you are getting into their game.
They will concentrate on what you expect to get for your trade-in; the dealerships can inflate your trade allowance to convince you to approve the agreement. They will not create any space for negotiation. There are even some dealerships who will tell you that they need to get your car appraised, but they are just keeping your car hostage. They will not let go of your vehicle until you agree to their deal.
Don’t Haggle
You probably know that the top executives in the car dealership are excellent negotiators. They have spent their entire life selling cars, and someone like you who rarely goes into the car market should never expect to beat them in this game. They will not enter into a losing agreement. Instead of haggling on the price of the car, it would be best to focus on the things you are good at. One of the excellent car buying secrets and tricks is to force these dealerships to compete with one another.
We’ve discussed before the common used car myths in this market and that they only earn per commission. Allow them to send you their best offers. Nonetheless, even if you find the best deals, some dealerships can pull the oldest tricks in the book by telling you that the car you want has already been sold by the time you visit their lot. Remember that you can always walk away anytime you think you are not getting the deal you deserve.
Don’t Believe All Their Advertisements
Car dealerships have done all the marketing strategies that you can think of to encourage you to visit their car dealership. For instance, they can offer you the lowest down-payment for the car. However, they can easily extend your payment duration to enjoy the highest amount of profit from you. Here’s one of my car buying secrets, if you end up in an illegitimate car dealer, the car’s value will often be less compared to what they will tell you. Never believe in their advertisement, be sure to rely on the information you can trust. Research all the necessary stuff before heading to the car lot.
Know About Their Sales Price First
When you reach out to the car dealership, you should ensure that you will be extracting essential information from them, not the other way around. Don’t tell them about your purpose; if they are being pushy, tell them that you are not yet determined to make that purchase. If you tell them that you are planning to lease, then it is as if you are telling them that you are a potential monthly payer. The car dealer will then be more focused on getting your desired monthly payment instead of talking about the car’s value. One of the car buying secrets that you should never forget is to always talk about the price of the vehicle first before you even mention that you are planning to lease it.
Consider the Time You Are Buying Cars
In some instances, it would be better for you to wait until the end of the summer before you go shopping in the market. Since the holiday is on its way and the year will soon change, most car dealerships will have to create space for the new vehicles. To achieve this, they will most probably lower the price of their old cars. It is also the best time to find a more competitive financing option. Sometimes, qualified buyers will enjoy a 0% interest rate. Deals like this will be more prominent from October until December. However, you should also watch out for the dealership that will trick you into getting the latest model. Learning these classic car buying secrets will help you save money. Another trick is to be aware of the car’s makes and models that have continuously lowered in market value in the past years.
You also have the option to wait at the end of each month. Most of these dealers will need to meet a quota. Should they haven’t met their monthly quota yet, in that case, you can enjoy a much lower deal. Some will advise people to go on a weekday since they will get a more personalized service from the dealership since there are not many car shoppers on the weekdays compared to the weekend. Nonetheless, no matter when you choose to shop, be sure that you are well rested and well-fed to avoid making any hasty decisions.
Price vs. Payment: Know the Difference
A common trick you will encounter when shopping for a vehicle is that the dealer will try to charge you with a bloated selling price. They can do this by encouraging you to focus on the payment instead of the price. Payment is one of the leading causes of concern for most car buyers; therefore, it is too easy for the dealers to shift their attention to this. Simply increasing your monthly payment by as low as $15 can increase your purchasing price to more than $1,000. You should also pay attention to the dealer’s attempt to inflate the interest rate. They can use this to calculate your monthly payment or to sell you accessories and addons so that they will enjoy the highest possible profits. These practices have become customary to some dealerships. Knowing some car buying secrets and tricks can save you from a significant loss.
Never Shop at Only One Dealership
After you’ve reached out to a couple of car dealerships, as we mentioned in the first step, you should now have narrowed your list of prospected dealers. Whether you are still gunning for the same brand or you totally want something new, always make sure to visit a few dealerships. Check for their offers and rebates. Never get your trade-in appraised on only one dealership; you need to know who can offer you the best value.
When visiting the car lot, one of my car buying secrets is also to know the value of their extras. For instance, they could be offering coverage like GAP Waiver or VSC. While it is usually wise to purchase your insurance outside of the car dealership, it can still give you an idea about the average cost. It also helped me avoid getting extras that will waste my money, such as VIN etching and fabric protection.
One of the wise car buying secrets is not going in the car market alone. If you started shopping for a car online, be sure to take someone with you to meet the seller. You want to make sure that you are safe. Remember that it is a significant investment that is often exposed to common pitfalls and scams. It would be better to ask someone you can trust to accompany you on this journey.