man selecting car

TIPS FOR BUYING AT A DEALERSHIP

  1. Do your homework
    Study the make, model, options, and price of your prospective vehicle. The manufacturer’s web site is a good source of information as well as Consumer Reports Magazine, which publishes its yearly report card on all models.
  2. Know what you want
    Decide what car you’re looking for before visiting the dealership. Make a checklist of:
    • What you’ll use the car for (commute, taking kids to school, pleasure, etc.)
    • Desired options (automatic transmission, sun roof, bluetooth, navigation, etc)
    • Type of car you’re looking for (American, European, Asian, etc.) with consideration of maintenance costs
    • Maintenance costs vary depending on the type of car. For instance, imported car parts and repairs can be more expensive than domestic cars. The same applies to European and Asian cars, respectively. On the other hand, American cars tend to break down more often than imported vehicles.
    Knowing what you want will keep your search focused on what you need instead of allowing a salesperson’s agenda to influence you otherwise.
  3. Read the fine print
    When responding to advertisements, always read the details to ensure that you know what is being advertised and what you’ll actually get. The fine print might include phrases like, “Only one at this price” or “Plus dealer added options.” Additionally, never assume that the advertised car has all the options you want. The final cost of the car might end up higher than the advertised cost if various options are added on.
  4. Visit several dealerships
    Avoid making a decision at the first dealership you visit. Ensure that you get the best deal by comparing your desired vehicle with matching options at multiple dealerships. Leave your checkbook/credit cards at home if you might feel tempted or persuaded to buy on the spot.
  5. Document your quote in detail
    When negotiating a price, request the quote in writing or write it down as you negotiate and confirm it with the salesperson. This prevents salespeople from reneging on the quote. Do not accept vague statements like “We can work something out,” or non-specific quotes. A good, detailed quote should include vehicle model, model year, freight/destination charge*, options, selling price, documentation fee, taxes, DMV fees, and used car trade-in if you have one.
    *A common trick is to give you the quote without the freight/destination charge which reduces the quote about $800. It’s usually added back on the sales contract and attributed as part of the DMV fee.
  6. Bring an extra set of keys to a trade-in
    Disappearances of keys are known to happen after the value of your car is checked. If this happens, use your spare key and drive away. Entire cars, not just keys, have also been reported missing or unaccountable at dealerships. If the salesperson says they can’t find your trade-in car, get their attention by calling the police immediately in their presence.
  7. Decline requests for a deposit
    Regardless of what a salesperson says, you might not get your check returned without further negotiations.
  8. Check and verify all figures before signing a contract
    If the figures differ from what was discussed (like the freight/destination charge previously mentioned), refer back to your notes and ask them why until you understand completely.
  9. Be aware of common sales tactics
    Knowing what to expect when you visit a dealership will reduce your chances of becoming confused or stressed out once you’re there. Here are common situations that you may encounter during your dealership visit:
    • “This is the only car with these options so you’d better buy it today”
      The dealership always wants you to buy what is in stock. Each manufacturer builds various selections for each model; unless the vehicle is an exotic car, there will always be another one.
    • “There is another deal on this car but if you would like to buy it today, I’ll get permission from our manager to secure it for you.”
      This is just a sales strategy. There is never a deal on a car until the car is driven off the lot.
    • Salespeople barraging you with leading questions
      Always remember that the moment you walk into a dealership, the salesperson’s only goal is to convince you to buy. They will ask questions meant to move you closer to committing to a purchase, like:
      “This is a nice car, don’t you agree?”
      “How much is this car worth to you?”
      “You’re planning on buying today at that price, right?”
    • “I think we can do that. Let me talk to my manager”
      Be aware that this could just be another sales tactic. While it might appear that the dealership is working with you on a negotiation, there is no guarantee that the salesperson is actually speaking with the manager.
    Additionally, salespeople are trained to play on emotions in order to land a sale. Don’t be persuaded to purchase a car because: you feel bad not buying after extensive negotiating; the salesperson was nice; you don’t fully understand the salesperson’s pitch or package options; or you feel obligated in any way. If you start feeling guilty, remember the salesperson is just doing their job, and ultimately it’s your money and your decision on how you want to spend it.
  10. Remember that you can walk away at any time
    You have the biggest power of all. If at any point you feel that the salesperson is being unfair, dishonest, or that something just doesn’t feel right, simply walk away. The single most important thing to remember when you are visiting a dealership is to not get yourself cornered into buying a car.