This is all great advice. I have two pieces to add:
If you are trading in a car, get the salesman to agree in writing what they will offer you on the trade, BEFORE you settle on a price for the new car. These guys will manipulate six ways from Sunday if you have agreed on a price for the new car. By the time you get to the end of the deal, with all of the stress involved, you will tend to agree to any offer for the trade-in because you just want to end the entire ordeal.
Two years ago my wife wanted a Honda Pilot, We went to the local dealer, drove the car, got the usual smooth talk from the salesman and I managed to persuade my wife not to “jump” and make any commitments about the vehicle. No chatting, don’t ask about price, take the salesman’s card and tell him you will call during the week.
I used either Kelly;s or Edmunds to look up prices. I used an option on the website to get offers on the vehicle from other dealers. I called the local salesman and asked about price, playing a little dumb, and he quoted me $xx, 000. I said okay we’ll call on Saturday.
From the internet I got e-mails from dealers located anywhere from 80 to 120 miles from here, that were sight unseen, at least $2,500 cheaper than what this guy quoted me.
We walked in, he had a big shit-eating grin on his face thinking of the profit they were going to make off of us – I mean fleece- and I pulled out some e-mails and he got all flustered. We walked out of that dealership twice during the afternoon, it was so much fun haggling with these guys. I really don’t know how good a deal we made but it was no more than $100 over the lowest quote we received over the internet from these other dealers.
I had a hard time with my wife because I was willing to drive to Winston-Salem and buy it at the cheapest price just because I was angry that the local dealer tried to overcharge us but I gave in to her because she thinks she gets treated better at the dealer while the car is still on warranty because she bought it there. I have no idea if that is true or not.
The only other suggestion is to wait until the last two or three days of the month to close on the deal, not to look but to close. Everyone at that dealership is on commission and they have to hit a quota every month and if they are close to hitting it and that means more money to them, then everybody in that dealership is going to be anxious to close the deal by the 31st.
As suggested get your financing in order before you walk in there. If the dealer is offering financing at say 4%, make sure that your credit union or bank can or can not give you a better rate. I bought my daughter a used car last April and the Finance guy pressured me for 30 minutes to finance it through “their” manufacturer’s loan department even though my credit union had confirmed a better rate to me. He actually whined to me that “it’s only a few dollars more a month and it’s so much more convenient to do it today that to go to the credit union on Monday”. What a load of crap!
SRM