A new car is an investment and one that costs a great deal of money. When you go to purchase your next vehicle, you can save money. Dealers are losing sales right now, and if you know how and where to buy, you can get a great deal. Here are the five best ways to purchase a new car.
1. Use a car negotiating service. For a small fee, the service will set up a reverse auction. Choose the make and model you want along with any features and submit the maximum price that you are willing to pay. Now, let the dealers bid against each other to get your business. The winning dealer sells a car and you get your new vehicle at a price you can afford.
2. Check with your local warehouse club. Clubs such as Costco offer a car buying service to their members. Membership fees include the cost of the service, so why not take advantage of it. Do some research to ensure you will pay the lowest price through your local warehouse club.
3. See if you are eligible for a friend and family discount or a discount through work. If you know of someone who works for the car manufacturer (or dealer), they may be able to get you a car with their employee discount. Some car manufactures also provide discounts to employees of major corporations. Be sure to ask.
4. Make sure that you do your research thoroughly, as this single step can save you thousands of dollars. Learn the dealer invoice price as this will help you to determine your bottom-line price. Dealers have to make money off of vehicles, but their profit margin may be more than you are willing to accept. Knowing how much they paid and how much they will make gives you more flexibility when it comes to negotiations.
5. With car sales down considerably, you may want to negotiate on your own behalf. This is similar to the above-mentioned car negotiating service, but it is free. All it will take is your time and effort. Find a listing of all dealerships close to your home. Be sure to obtain an e-mail address for each dealership. Now, send out a mass message to these dealers. Let them know the make, model, and features you are interested in and request a quote. Sit back and wait for them to respond. Although they won't be bidding against each other, you can offer that option once you have narrowed down your choices. The price you pay for your new vehicle is in your hands. Don't ever forget this!
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