Prior to making an offer you will need to locate a dealer with the car you want. You have three options in doing so.
– Drive around all day and night trying to find a dealer with the car you want.
– Spend countless hours online finding local dealers who have websites. And THEN spend more time digging through their websites to find your new car.
– fill out a request form online and have a dealer contact you if he or she has the car you’re searching for. This option alone can save you hours of your precious time.
So that you know what you would like, you know what it costs, and you where to find it, so how do you go about getting it? First and foremost is getting into a negotiating frame of mind. Always remember you can walk out at anytime and leave your offer on the table. Dealers want you to buy right then and there. They play on your impulses and try to rush you into a deal. Do not play their game; it isn’t the end of the world if you don’t buy right then and there.
Before leaving the house: When you go to the dealer have all your research documents with you incase you have to review anything. It is always nice to have supporting information when you’re trying to find the lowest price.
While at the dealer: Be calm and pleasant, treat the salesperson with respect. He’s a working stiff just like you. You will get nowhere being arrogant because you know the true invoice pricing or other details about the dealers pricing.
Making the offer: Explain to the salesman that you have researched the dealer’s invoice price and any incentives they get from selling the car and you have calculated the price you’re willing to pay. How much over invoice should you offer? 4% – 6% has been a good number. I would offer 4% over invoice if you trust the dealerships service department and plan on getting your car serviced there. Why offer them less if you like their service? They will end up earning more money on your in the end by servicing your car. Ensure to mention this to the salesman; it’s a great bargaining chip.
What next? Wait…. If they don’t take the deal, politely leave your name and phone number and go home. Better yet go to another dealer and see if they’re prepared to take your deal. Remember you can always go back and they can always call you when they realize you won’t be buying on impulse and really mean business. You have spent hours researching, why throw that away buy getting nervous and signing a deal you don’t feel is fair.