Buying a New Car Tricks

Image Credit: Wikipedia

Buying a car is a significant investment and one that you don’t want to get wrong. For one thing, you can’t afford to waste that kind of cash. There are plenty of tips out there that claim to help you when it comes to your investment, but not that many of them make a difference.

Don’t get me wrong, they are cool tips, but the majority are just common sense. These, however, are the tips that too many people ignore that can make a difference.

Tip 1: Understand The Margins

Haggling over the price is often a tip that most sources will encourage because it can save you a lot of cash. But, what most of these sources don’t include is that you must understand the margins before you start bartering. There is a tendency to think about new cars have massive profit margins, but they don’t. So, if you go in and demand a couple of thousand off the retail price, the salesperson will have to decline simply because they can’t accept. They would lose money. By starting out lower, you give yourself a better chance of getting a discount and avoiding any embarrassment.

Tip 2: Forget the custom builds

Ask yourself: do you need a custom built car? Is that shade of colour so important? Can you even tell the difference? Waiting around for a car to be built when there is one in the shop is not a good option. It is built and ready to sell because there will be plenty more of them being manufactured. That means more chance of a discount as the dealership is not going to offer you a good price on a sheet of metal that needs to be transformed into a chassis. Plus, you save money on the mod cons that you don’t need.

Tip 3: Take out a loan

Even if you have the money, a loan might be the better option. If you can cover the repayments, it is better to have a nice amount of cash set aside for emergencies. In the long run, it can save you a lot of money as long as you find the best car loan rates around. Do a bit of research and shop around for deals that are low cost and affordable. But, do be careful of unscrupulous lenders and loan sharks looking to take advantage of your good nature.

Tip 4: Bide your time

Dealerships have to bring in a lot of cash to cover their outgoings and make serious profits. Better yet, they leave it to the last minute and start to panic. As a result, the best time to look for a new car is at the end of every quarter. Salespersons will treat you like a king and offer you the kind of deals that you can only dream of as long as you time it right. Walk in on the first of the month and that deal will be nowhere to be seen.

You should pick your moments to strike very carefully.