How to Haggle/Negotiate for a Car

When it comes to making major purchases, there are two types of people in the world. The first is the person who finds the deal they want on the item and simply pays the sticker price – no questions asked. The second, however, is the one who has the patience to stand toe to toe with the salesperson and negotiate the best possible price. If you find yourself falling into the latter category, and are in the process of looking for a new car, you know how important haggling over price can be. Successful negotiators can often save hundreds and even thousands of dollars on the purchase of a vehicle! If you’ve never tried to negotiate price before, here are some tips that can help you learn how to do it effectively.

Do your homework

The first thing to do before you even open your mouth is to research everything that you need to know so that you can make a reasoned argument in favor of your negotiating position. Learn what the dealer cost for the vehicle is, what sort of money you should expect from any existing vehicle if you trade it in, and decide upon what amount you are determined to pay. These are all factors that the dealer uses in determining the lowest price acceptable. Knowing these amounts can help you to get to that lowest price without sacrificing your own negotiating strategy.

Keep your head

Effectively negotiating with a car salesperson will require you to keep your emotions in check. Here is one way to do that. First, test-drive the car and take a break. Most dealers know that their best chance to hurry through a deal on their terms is right after you have test-driven the car and are feeling the rush that comes from picturing yourself in that vehicle. Take a short walk, visit another part of the showroom, make an unrelated phone call – do whatever it takes to calm your excitement and focus on your negotiating goal.

Be firm

Adopt the mindset of a customer who is intent on getting his or her way, and maintain that mindset throughout the process. Tell the salesperson your price, and let him or her know in no uncertain terms that you expect the dealership to do everything in its power to meet you on your terms or you will shop elsewhere. Remember that the scariest thing for any salesperson is the notion that you are about to leave without making a purchase. It is common knowledge among dealerships that the prospects for making a sale plummet if they allow you to leave the showroom.

Some don’ts to remember

There are some things that you should never allow a dealer to do if you want to be successful in your negotiations. You should never allow yourself to be pressured to buy a car in a hurry. Don’t believe the dealer when you are told that the sticker price is the lowest sales price that can be accepted. Finally, be prepared to walk away from any deal if you feel that you are not getting the price you want. There is always another dealership with new and exciting cars to consider.

Photo Credits: Brian Teutsch

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car salesperson, looking for a new car, negotiating strategy, negotiators, sticker price

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Buying and Selling, Car Tips

Posted by How To Car on January 15, 2012 in Buying and Selling, Car Tips. You can skip to the end and leave a response. Pinging is currently not allowed.