5 Steps to a Stress Free Car Buying Experience
Buying a car can be exciting, overwhelming, stressful, and FUN! Yes, car shopping can be fun. Knowing what to expect, and preparing yourself for the process is a huge step in the direction for a Stree Free Car Buying Experience! There are numerous things you can do to prepare you for the big day! Below are five, that we agree have the greatest impact on your overall experience.
1. Know your budget.
It is easy to get wrapped up in what you want; rather than what you can afford. It is important to know your budget, and to stick with it! Opting for a more expensive car with lower payments leads to longer terms and higher interest rates. You end up paying far more than you should have to, and often end up upside down.
2. Get Pre-qualified.
There are several reasons that this one step will significantly lead you in the right direction; faster financing process, stronger negotiating leverage, and more likely to stay on budget! Visit your bank or credit union before you go car shopping, and let them know what you would like to pay; they can use this information to help you set that budget we mentioned! Tell your sales person you are pre-qualified; this lets them know you are a serious buyer and that you are looking to make an immediate purchase. If you cannot get what you want there; you are able to walk away and find a better deal. This also saves the dealership the time and process of finding financing, structuring payment plans, etc. Not only are you in a better position concerning time and money, but you are in a prime position for negotiation. They are guarenteed payment and the deal is pretty much final when you pick the car. This gives dealers and salesman major incentive to work with you on any other points rather it be warranty, service agreements, after market parts, or a reduction in the cost.
3. Know how to negotiate with dealers.
Even if you are not pre-approved; you can often negotiate with dealers for a better price. However, the major mistake most people make here is negotiating monthly payment or sticker price. Edmunds.com and many other go-to resources in the car industry will suggest that you negotiate based one the invoice price, which is what the dealer paid for the car. Not all dealers are willing to show you this, and that is their right. However, politely asking for a chance to view the invoice is not out of the question. If this is not available do your research (I'll get to that in a minute) and no the fair market value of the type of car you are looking for. It is not a bad idea to print out the Kelly Blue Book or NAPA pricing sheet of the car or truck you are interested in. This will help you to assess the deal you are offered and will remind you what you had planned to spend and what is not in your budget!
4. Do your research.
Bells and whistles are great! However, if you budgeted for a base model; don't be disappointed when you cannot afford the luxury full of upgrades. Do your research before setting foot on a dealership lot. Know what you are looking for and what you can afford. Decide which upgrades are most important to you and what your deal breakers are. Look and see what those cars are selling for in your area. Compare dealer prices and even online prices. Having this information can help you to negotiate and can help your salesman find you the perfect fit. When they see you have done your research they know you are actively looking to buy, and they are strongly inclined to exceed your expectations.
4.5. Research the dealership.
Don't just research the car and the market, but research the dealership! Do they have a service department? Are they a certified garage that can perform warranty work? Do they report service records to help with your future trade-in value? Do they offer loaner cars or shuttle service when your car is in for service? What do previous buyers have to say about the service they received in sales, finance, and service? Do they have a parts department? Do they have weekend hours? These are just a few points to consider when selecting a dealsership to purchase from.
5. Review the dealership.
This falls into the "do your research" catagory as well. You should check on-line outlets for customer reviews, but you should also perform a review. Mentioning to the salesman or finance manager that you are an avid reviewer will put an extra pep in their step as we all crave that full satisfied review from our guests. Does this mean we don't treat every customer with the utmost respect? No, but you just might get some extra effort to solidify your purchase satisfaction. A review goes a long way. Many business establishments, especially in retail are relying more and more on these "widgets" to gain new and loyal customers. Furthermore, leaving a review strengthens the relationship with the dealer. Should you return for servicing or future purchases; it is pretty likely they will remember your review.
