7 Ways to Get the Best Price When Buying a Car

7 Ways to Get the Best Price When Buying a Car


Save Story
Leer en espaƱol

Estimated read time: 3-4 minutes

This archived news story is available only for your personal, non-commercial use. Information in the story may be outdated or superseded by additional information. Reading or replaying the story in its archived form does not constitute a republication of the story.

You wouldn't go into a clothing store and negotiate the price of a pair of jeans, but if you aren't negotiating when buying a car you are probably paying more than you should. Here are seven tips on how you make sure you get the best price possible.

1. Don't give too much away up front: Don't tell the salesperson the maximum you can or are willing to spend. If you plan to finance at the dealership, negotiate first, then give them your financial information. You can also usually save money on the financing by getting a loan directly from your financial institution. Getting preapproved is a great way to make sure you know how much car you can reasonably afford.

2. Stay cool: Don't say, "I love this car and I have to have it!" (even if that's how you really feel). Avoid being overly enthusiastic and do your best to appear detached and calm.

7 Ways to Get the Best Price When Buying a Car

3. Do your homework: Know the fair price of the vehicle you are interested in. If you're buying a new car, find out what it cost the dealership (the invoice price minus any holdback - the rebate the manufacturer gives to the dealer for selling the car). The dealership may not tell you, but there are many websites that provide this information for a fee. This allows you to negotiate up from the dealership's cost, not down from the MSRP (manufacturer's suggested retail price). For a used car, you can look up its value. 4. Shop around: If you are buying new, there are probably a few dealerships in your area that sell the model you want. Visit them all and see who offers the best price, or do some research online. The same is true if you are buying used and are interested in a popular model.

5. Go at the right time: You can often get a better deal on a new car at the end of the month or year, with salespeople concerned about meeting their quotas. July-October is another good time to buy a new car since dealerships are looking to clear space for next year's models.

6. What about extras? Many salespeople will try to sell you extras: rust-proofing, an extended warranty, fabric protection, etc. While extras can sometimes be beneficial, they are usually unnecessary. Think about what you want before you go to the dealership - don't let the salesperson talk you into getting something you don't want or need at the last minute.

7. Have a trade-in? You can usually get the highest price if you sell the car yourself, but it generally takes more time and effort than if you trade it in to the dealership. If you are going to trade the car in to the dealership, negotiate the price of the new car before discussing the trade-in. Also, you'll get more value if you fix minor dings and scratches and clean it thoroughly inside and out.

University Federal Credit Union is a member-owned financial institution open to anyone who lives, works, volunteers or worships in Salt Lake County. Federally insured by NCUA.

Most recent Utah stories

Related topics

BrandviewUtah
University Federal Credit Union

    STAY IN THE KNOW

    Get informative articles and interesting stories delivered to your inbox weekly. Subscribe to the KSL.com Trending 5.
    By subscribing, you acknowledge and agree to KSL.com's Terms of Use and Privacy Policy.

    KSL Weather Forecast