new car buying (price bargaining) ideas..

can you suggest your approach in buying new car ..

below are scenarios:

purchase time.. in 2 weeks..

priority is price
i got comsumerreports service. they suggest (truecar) only one dealership in 150 mile radius, but they dont have the color/option (rav4 hybrid in blizzard pearl color) we are looking for.

how do you do it?
phone calls?
emails?
i suspect walk-in may not be best option to start off with?

already drove and choice made.. no need to test drive.

how do you bargain? on what basis do you bargain on price?
(assumption is all dealers jack it up high enough so they have room to bargain and still make reasonable profit)

does it help buying in the last week of the month?

will to drive 200 mile radius to get it.. (NJ/MD/DC/PA/DE area)

thanks for any ideas or suggestions.
LVL 5
25112Asked:
Who is Participating?
 
Russ SuterConnect With a Mentor Commented:
My favorite method is to start the process via website. Usually you end up talking to the fleet salesman who's already going to discount the vehicle. This doesn't necessarily mean I'll buy from him. What it does mean is that I can start the face-to-face process with an already below sticker price. Now I know that's the most I'll pay for that car and I can start the bargaining process.

There are a few things I ALWAYS keep in mind when dealing with a sales person.

1. Don't ever appear eager. If anything, appear slightly disinterested.
2. Never talk payment terms, financing, or monthly payments until you've settled on the total vehicle price first. If they bring up the subject just tell them you already have financing arranged through your credit union. Even if you don't have a credit union you should say this. Unless the dealer has insane incentives like 0% financing they have a hard time beating credit union rates. After you've settled on price you can still ask about financing options under the guise of looking for a better deal for yourself.
3. Be prepared to walk away, even after a couple of hours of negotiation.
4. Sometimes having a trusted friend with you can help. Have him/her negotiate on your behalf. The emotional detachment is quite a powerful tool.
5. This one seems silly but it's psychologically proven... when you shake hands the dealer may try to put his hand on top. Don't let him. Your handshake should be firm, even a little aggressive. If he really insists on putting his hand on top then put your other hand on top of his and make it a 2 handed handshake. Make strong eye contact through the whole exchange.
6. Avoid ultimatums early on. Don't start with "I'm definitely not paying full sticker price for this." That just sends the signal that you're not willing to negotiate. That being said, never pay full sticker for a car. ;)
7. Above all, be patient. This process can take a while.

Good luck and have fun!
0
 
d-glitchConnect With a Mentor Commented:
Good advice so far.  

Do you have a TrueCar price for the car model you want (except for color), and would you be happy with that price??  That would be a good place to start.  
How rare is the color you want?  How much of a premium are willing to pay for it?  How much is your time worth on a per hour basis?  
If you have a two-week deadline and an inflexible color choice, you may be in trouble already.
0
 
phoffricConnect With a Mentor Commented:
trucar gave me a price $2K below anything I can find. But contrary to what my co-worker told me, the quote was a fake. They said that they would have to order the car and it would arrive in 6-12 weeks.

On the internet, last decade, I saw an ad for a new car. Then I called and asked for a discount. The salesman laughed and said "no way". Then I went to the dealer 15 minutes before closing. I got the car for $2K less.

Or, here is what a coworker did (without intending for the surprise outcome).  He got a few quotes from local dealers for a new car. He signed papers, but did not pick up the car. When another dealer called him the next day, he said he bought the car. That dealer offered him the same car for $1k less. So he paid for that car and tried to cancel the original deal. But that salesman then offered the same car for another $1k less. This went back and forth with $1k less each time. My coworker got tired (and started to feel guilty for some reason). He finally bought the car for $4K less than what he originally signed.

I got a great deal by going in to the dealer during a snow storm. I was the only person who showed up.
0
 
Michael-BestConnect With a Mentor Commented:
Go to several dealers and get quotes in writing (regardless of color) and then each consecutive dealer will try to beat the previous dealers quote, then make your decision.
0
 
phoffricConnect With a Mentor Commented:
>> Go to several dealers and get quotes in writing (regardless of color) and then each consecutive dealer will try to beat the previous dealers quote, then make your decision.

This is exactly what I posted:

>> Or, here is what a coworker did (without intending for the surprise outcome).  He got a few quotes from local dealers for a new car. He signed papers, but did not pick up the car. When another dealer called him the next day, he said he bought the car. That dealer offered him the same car for $1k less. So he paid for that car and tried to cancel the original deal. But that salesman then offered the same car for another $1k less. This went back and forth with $1k less each time. My coworker got tired (and started to feel guilty for some reason). He finally bought the car for $4K less than what he originally signed.
0
Question has a verified solution.

Are you are experiencing a similar issue? Get a personalized answer when you ask a related question.

Have a better answer? Share it in a comment.

All Courses

From novice to tech pro — start learning today.