First of all .. Is it a good time to buy a new car ?. The struggles facing the auto
industry are unprecedented and so are the deals available to buyers. Car
dealers need to sell cars in order to stay in business, which makes
this a strong buyers’ market. Rebates, financing, and trade-in values
are the best they’ve been in a long time.
But that doesn’t mean it’s an easy time to buy a car, and it
doesn’t mean dealers are going to lie down and give the cars away. A
savvy buyer must always be ready, and the preparation should start
before you ever set foot in a showroom.
Know the Invoice Price
Once you’ve settled on what car is right for you,
look up the invoice price for that car in our Buyer’s Guide. Invoice
price is what the dealer pays the manufacturer for the car; the
manufacturer’s suggested retail price (MSRP, or “sticker price”)
includes hundreds—usually thousands—of dollars of profit for the dealer.
With the exception of all-new or very popular models, you should be
able to get a new car for closer to invoice than MSRP. Knowing the
invoice price of your car will tell the dealer that you mean business
and expect a good deal. Don’t walk into the dealership without this
information.
Check the Manufacturer’s Website for Rebates
Many buyers will qualify for multiple rebates, some of which may not
even be made public. You might belong to organizations or receive
coupons in the mail that entitle you to additional rebates. Be aware of
all rebates for which you qualify and make sure you receive them.
Dealers are known for not giving buyers every rebate available to them,
instead keeping one or two as additional profit.
Research the Dealers
Buying from a cooperative and fair dealer will save you money and
headaches. There are a number of websites that allow people to post
reviews of dealerships, but their coverage is spotty and incomplete. If
you can’t find online reviews of the dealer you are considering, just
talk to people. Your friends and neighbors purchase cars and should be
honest with you about whether they were happy with their car or dealer.
Check Your Credit History
Most people who shop for cars will need a loan. How much that loan costs
will depend on your credit history, and knowing your credit history
will give you a better idea what to expect from lenders. The Fair and
Accurate Credit Transaction Act of 2003 (FACTA) allows every consumer to
get a free copy of his or her credit report once a year from each of
the three major credit-reporting agencies (TransUnion, Experian, and
Equifax). Get a copy of your credit report, and check it for accuracy.
Pay the extra few dollars to get your credit score as well, as it is one of the major factors that banks use to determine your creditworthiness.
Get Your Own Financing
The biggest profit center for a car dealership is its finance
department. Dealers contract with banks to get the best rates available
but might not actually give you those rates. They might get you a car
loan for 4.9 percent APR but draw up your finance contract at 5.9
percent. That one-percent markup is strictly profit for the dealer. You
can often get a better interest rate from your local bank or credit
union, or you can present the rates you were offered elsewhere to your
salesman and challenge him to match or beat them. That being said,
promotional rates from manufacturers—sometimes as low as zero
percent—can be tough to beat.
Time Your Purchase
Dealers run on a month-to-month basis. At the end of the month, many
will accept lower offers to reach their goals and qualify for
manufacturer bonuses. If you’re not picky about having the latest and
greatest, the end of a model year is a great time to get good deals on
remaining inventory. And December—particularly the last week before the
new year—is a slow time for car sales, so if you can hack some time out
of your holiday-shopping schedule, it’s a wise time to buy.
Also, most dealerships are busier on weekends. The weekdays are
generally slow, especially in the morning. If you come into the
dealership on a midweek morning when business is slow, the salespeople
are more likely to make a good deal as well. They need sales and they
want to look busy, which keeps them motivated to give you a better deal
and earn your business.
Do Not Buy a Car on Your First Visit
Use the first visit to look at and test-drive the car(s) you are
interested in. Gather your information and then leave, and be adamant
that you will not be buying a car today. This will communicate to the
dealer that you are not going to be bullied. Watch what you say to the
salespeople—especially if they ask you how much you are prepared to pay
monthly—because whatever you say will be used as a starting point from
which the dealer will go up when negotiations eventually start.
Get Internet Quotes from Several Dealers
Get quotes from multiple dealers before you
ever visit any of them. If dealers know they are being pitted against
other stores, it will be easier for you to get their best offer right
off the bat, and waltzing into a dealership with a first offer already
in hand gives you an advantage in negotiations.
Make an Appointment with the Sales Manager
Once your research is done and you are ready to head to the dealership
to purchase a new car, call ahead and make an appointment. By calling a
sales manager to make your appointment, you communicate that you are
serious about this transaction and know what you are doing. You will
still be paired with a salesman when you arrive, but your chances
improve of getting a straight shooter who knows you won’t be easy
fodder.
There is no guarantee you will get a good deal on a new-car purchase,
nor is there a set price to negotiate toward with any car; pricing
always varies with content, age, supply, and demand. But following these
rules will start you in the right direction to get the best deal
possible on your new car.
Even when you have a virtually unlimited amount of money at your disposal, you still may not know how and where to buy a convenient and reliable car.
First and foremost, you should remember that your main goal is safe driving. Driving a super-expensive car is not as important as safe driving. Luxury cars are surely better for the most relaxing and comfortable ride. But when you drive such a car, you can eventually forget about your safety. You may or may not feel all the potholes and bumps on the road. You may not even notice all the vibrations and shocks. It is so quiet in a luxury car that even the noise of the engine is muted to a minimum. For this reason, the car always seems too slow, even when the speed is more than 100 km/hour.
If you are planning to buy your very first car, it is better to shop for the class B or C vehicle. These small-sized cars allow you to quickly learn the rules of city traffic. It is also easier to control a small-sized car. Another big advantage of the small-sized vehicles is the ease of parking. As for the jeeps and other large vehicles, it is very hard to explain why so many people adore these huge and not-so-efficient vehicles. In some cases, you will have to pass additional exams to be allowed to drive a jeep. This is mainly because driving a jeep is somewhat more complex than driving a sedan. The biggest problem is in the fact that jeeps and SUVs are quite large, and the stopping distance is much higher than when you drive a sedan. In addition, due to the large size of your vehicle, you can eventually overlook a small car passing by.
For many drivers, a car with a powerful engine is nothing more than unnecessary expenses. Those drivers who live in big cities often admit that they cannot find proper application for their SUVs and jeeps. For this very reason, car manufacturers offer a selection of more than 20 engines for different cars. Of course, with such a huge selection, it may seem to be quite hard to make the right choice. Still, the things are not that complicated, when you learn more about different vehicles and the recommended horsepower.
Another mistake made by almost all novice drivers is the desire of having an all-wheel drive car.
Such a car may have a higher throughput, but it also has huge disadvantages. For example, in critical situations, even professional drivers can lose control of such cars. A rear-wheel drive car is also not the best option for the novice drivers. After all, such vehicles are prone to drift of the rear axles, which does not pose a threat at first glance. In this case, the front-drive car is the best possible choice. The front drive is more predictable on the road than any other type of drives. Besides, almost all modern vehicles are equipped with the front-wheel drive.
Have a nice car at the end !!!
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