10 Tips for Buying a New Car at the Dealership

Buying a new car is one of those feelings that you never forget in your lifetime, especially if this your first vehicle purchase. However, as easy as it sounds, some people make this process difficult for them and end up buying the wrong car. Today, I will discuss 10 good tips, which will help you at the dealership and ease up the whole process of buying a new car.

1. Know Which Car You Want To Buy

Remember, walking into a car dealership is not the same as going to a supermarket where you can just pick your favourite thing and drive away home. First thing first, research well. Understand what type of car suits you, compare prices, check features, and once you finalise a model, then head towards the dealership.

2. Checkout Other Dealerships

To make sure you get the best price for your new car, always explore various dealerships. Telling a car dealership that you are receiving a better deal at another dealership is one of the techniques that can really fetch you a lower price. Besides, you should be comfortable with the dealership to avail the after-sales services conveniently.

3. Always Take a Test Drive

Most of the people are too excited about getting their hands on the new car that they don’t even take a test drive of the car. Reading online reviews and comments about a car is helpful, but you should be comfortable with everything the car offers. You won’t know about it until you test drive the car. Most dealerships give you an option to book a test drive online. Try that first!

4. Look into other Financing Option

The flyer or the ad you saw at the dealership about a financing option shows remarkable deals, but those are only for people with a really good credit score. It is always wise to look into the financing options offered by your local bank or Credit Card Company. Getting pre-approval on a car loan is also highly recommended so that you can compare the deal with what your dealership offers. I recommend buying a new car before New Year. All the official and private dealerships extend the deals of a lifetime. You sure would get the best financing option.

5. Focus on the Monthly Payment

A dealer might suggest a longer loan duration so that you pay low monthly. And you fall into the trap. Longer loan duration means you will pay more interest rate. In the end, you feel like you have paid too much for a single car and the installments are not going to complete. Download a loan calculator application on your phone, which will convert the loan balance and interest rate into the monthly payment you would be required to pay.

6. Trade-in Your Old Car

If you already own a car, consider trading it with the dealership to save money on buying a new car. Make sure to look up the market value of your current car on your own and don’t trust the value that your dealer quotes. Checking out different dealerships to get a better idea of the trade-in value is also highly recommended. Check online listings to get a price idea of your car.

7. Consult an Insurance Agent

Talking to an insurance agent is extremely crucial before buying a new car. You may have gotten a great deal on the car, but certain elements such as choosing the top trim or a more powerful engine increase the insurance rate and may become a problem for you.

8. Say No to Extra Features

When you are done selecting your vehicle and have made a deal, the dealer will take you through the process of paperwork where he will definitely try to sell additional features such as car accessories or extended warranty. All these extras will increase the cost, so make sure you say no to them unless you are interested in a certain feature.

9. Negotiate the Price

This might not work if you are buying a new vehicle, but when you are trading an old car, don’t hesitate to negotiate the price. You might not be able to save big here, but you can still use the saved money on new accessories and equipment. And of course, you have to pay the insurance premium as well.

10. Take More Time if You Are Not Comfortable

Last but not least, don’t rush into buying a new vehicle. If at any point you feel something is not right, exit the dealership and start afresh. Most dealers would play with your mind and tempt you into buying the shiny brand new vehicle, but a wise choice would be to take more time and get comfortable with the car you want to buy.