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Buyer
Navigator Step 6: The Dealership, it's time to Purchase.
Checklist
Now you know what car you want,
you know the dealer invoice of the car, you have a target price
in mind, and you know how the dealer-manufacturer relationship works.
Your bank has already approved you for a loan at a low interest
rate. Your insurance company has provided a quote for a new plan,
and still you're within your budget. You're ready to step into a
dealership if shopping via phone, fax, email, buying service, or
no-haggle dealership just isn't your style.
Before
you get there, you need to come prepared.
Bring the following:
1. Notebook.
2. Pen or pencil.
3. Calculator.
4. Watch.
5. A Valid driver's license.
6. MSRP and invoice costs for the exact make,
model and options you want.
7. Literature on the vehicle.
8. Pre-approved financing or options.
9. Warranty quote (if you're considering
an extended warranty)
10.Insurance cost information.
11.Patience, and more patience
12.If you plan to trade in your old car, read
our Pre-owned value .
Internet
Sales: The Internet sales person is usually
an experienced sales person who can give you a no haggle price.
This is what you are looking for, convenience and simplicity without
feeling like someone is try twist your arm off. If you have ever
spent hours at the dealership trying to purchase a new car, you
know exactly what we are talking about. Time is valuable for everyone
in our fast paced society and any time saved for more pleasurable
experiences is something that we all seek. Negotiating your price
and doing cost comparison on the Internet at Dealer Depot can save
you hours and probably days of your valuable time. At Dealer Depot
you can review inventory at the various dealerships and lock in
a price with a deposit without having to spend hours doing so. Make
sure that you are negotiating for a specific vehicle and have identified
it by the VIN (vehicle identification number). At AutoNetDirect,
our primary goal is to enhance the consumer and dealer relationship
by enabling the streamlining of the purchase of your next car. We
receive no commission for cars sold through our website.
Fleet
Sales:
Before you visit a dealership, call ahead. Ask to speak to the fleet
manager. If there is no fleet manager, you will have to go about
buying your car the traditional route: negotiating with the sales
manager through a salesperson. If you are able to get hold of the
fleet manager to make an appointment, however, you will be a step
ahead of the game. Working with a fleet manager rather than a salesperson
offers several distinct advantages. First, a fleet manager is completely
capable of closing the deal without conferring with the sales manager.
When negotiating, it's always best to reach a meaningful agreement
with the person with whom you're negotiating. In traditional sales,
the salesperson will almost always need to get the deal "okayed"
by his or her boss. So even if you're a superb negotiator who has
just agreed to buy a car at the dealer's cost, the deal must first
be ratified by the third-party sales manager. And that can be frustrating.
Second,
the fleet manager is used to providing customers with discounts.
Fleet sales, after all, take volume into consideration. But a fleet
manager is willing to negotiate readily, and will not expect the
customer to pay the MSRP.
Third,
the fleet manager is salaried.
That's not to say fleet managers don't receive a commission, because
they do. But the fleet manager is a professional salesperson who
is paid more than the average salesperson on the lot. Basically,
fleet sales and personal sales differ due to expectations. Fleet
sales aim for a "fair" price, and personal sales aim for MSRP. When
negotiating for the best price, the odds favor negotiating with
someone who is starting with lower expectations.
If
you can't get an appointment with a fleet manager, you may want
to try making an appointment with the sales manager. If that
doesn't work, you'll have to simply show up at the dealership. When
you step onto a dealership's lot, a salesperson will soon ask if
you need any assistance. He or she will be your contact from this
point forth until a price is agreed upon. And if you decide to leave
without agreeing to terms, the salesperson will present you with
his business card in case you should come back. Remember, you hold
the power and if you don't feel comfortable with the person who
approaches you, you have every right to choose another salesperson.
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Since
you will probably test-drive the exact vehicle you plan to buy,
use the test drive to your advantage by looking for flaws or aspects
of the car that annoy you. The car may sound great on paper, and
you may have liked it the first time around, but it might not be
right for you. After the test drive, the dealer will ask something
like, "What do I have to do to get you in this car today?" This
is when you will really appreciate have the price pre-negotiated
on the Internet. Picture this: Walk into the dealer for your test
drive with your printed copy of the price for a specific vehicle
pre-negotiated and locked in with a deposit. Go on your test drive
and then decide to either go ahead with the purchase or cancel it.
It is not a done deal until you have signed all the necessary paperwork
and have driven off the lot with your new car. At this point you
may skip to the next section, but if you insist on doing things
as you always have in the past, read on.
Most
of the time the window sticker works as the opening offer.
No salesperson will open up by saying, "I'll sell you this car for
less than we claim it's worth!" Unless, that is, the dealer is making
incentive money and has elected to pass the savings on. More likely,
the opening "offer" from the dealer will sound like this: "What
kind of monthly payment are you looking for?"
Always
beware the payment question!
This question should send red flags sprouting out of your ears.
Do not answer it. See, a good salesperson will always avoid negotiating
on the price of the car for as long as possible, directing you instead
to questions about payments. They know that if they can get you
to commit to a payment plan, they can swindle more money later by
playing the numbers game at the finance office. You don't want to
give them any information about payment up front, because if you
argue about the price of the car later, they'll come back with,
"Look, we got the payments down to what you wanted." Always negotiate
the price of the car first. If they give you a hard time about not
answering their question, just say, "I don't talk payments until
we've settled on price."
The
dealer may ask loaded questions to direct your attention away from
the price of the vehicle.
"Would you pay $2,000 a month if the car only cost $1?" "Of course
not," you reply. "But would you buy a $50,000 car if it only cost
you $200 a month?" the dealer asks. And already you're talking about
payments rather than the cost of the car. When the conversation
turns to payments, simply let the dealer know that you are not a
"payment buyer." Firmly state that you're not interested in discussing
payments until you've agreed upon a price for the car. You already
know what you can afford, which is why you're looking at this vehicle
in the first place. If you have taken our advice and pre-arranged
financing before visiting the dealer, the smoke-and-mirrors payment
question becomes a moot point. Buyers who have pre-arranged financing
cannot be sold on payment because they already know what the maximum
payment will be, so the dealership has no alternative but to negotiate
the actual selling price. And once the price drops, buyers who've
used our advice can count on a payment that drops.
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