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 Originally Posted by IowaSkinsFan
Question about this.
A lot of people recommend to me when you're buying a car, to bring nothing to the dealership but a set amount of money in cash, like 10k. When bargaining you say "well i have 10k right here, that's all i have, take it or leave it. I'll take my money to another dealership if you don't thank you."
And it seems to work for them pretty well.
Anyone try this?
Best way to buy a new car:
- Test drive locally to find the exact car you want. Once you pick a car decide on exactly what options you want and what colors you will accept.
Find the invoice price, any applicable rebates, and what % back the dealer gets back(if any) from mfr for that particular model(there's a word for that but it escapes me now). I think kbb.com has the info but it's available on several sites.
Most dealerships now have an internet manager or something similar. You can probably find this on the manufacturer's web site. Find all dealerships within your area that you can drive to. Contact all dealerships within a comfortable driving distance(200 miles for me) and ask for a quote for the car with all specifics. Make sure they give you the final price including all fees, charges and taxes. Get line item details on each option and ask them to supply invoice price and sale price. Doing this you should be able to find the invoice price on non-factory options that may not be available anywhere else. Also ask about finance options.
Once you have all quotes, take the lowest 5 quotes(or however many you want). Taking the highest of those quotes, work up the list and ask them to beat your top price. Repeat this as many times as necessary. Once you have your rock bottom price, call the dealer you test drove at and see if they will match/beat the price. They won't because they have to pay an extra layer of commision. You now have your best price. Have them fax you a signed offer sheet(or whatever they call it) so you have it in writing. Make sure all figures match their quote and there are no extras charges or fees.
Find best financing available outside the dealership. If your winning bidder will match or beat it, by all means use it but don't be roped into using their financing without looking at all your options.
Misc notes:
- This will work best on widely available models. Special orders or hot selling or new models...not so much.
IMO it's much easier to handle everything but the test drive/evaluation on the phone/outside the dealership. These guys are trained to sell you stuff whether you need/want it or not. Don't give them the chance.
It also doesn't make sense to spend tens of thousands of dollars on something without comparing prices. Don't buy a car without looking at several dealerships. As mentioned above, the dealership you test drive at will almost always NOT be able to give you the best price because they have to pay commision to a salesman.
I used this method to buy a Honda CRV. I looked at about 10 dealerships in the area. The best price was 75 miles away and saved me four figures. You can get warantee service anywhere so the location you buy the vehicle at is irrelevant.
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