Car Buying Tips 101
One thing to know before shopping for your next vehicle is, what do you need? Why are your replacing it? What is it used for today? And what will it be used for tomorrow?
Look at the vehicle you are driving today and ask yourself these questions. What do I love about my current vehicle? Is it the style, safety, performance? And what do I dislike about the car I am driving?
Between your likes and dislikes you will find what is important to you in your next vehicle. By doing this, you can eliminate a lot of time with a sales person while they are trying to do your “Needs Analysis”.
Look at vehicle pricing for an example. I will use a New 2007 Toyota 4 Runner Sport. This vehicle would come with a Base MSRP of $29975 and after you add destination charges and equipment it takes the Total MSRP to $32754.00
Dealer Invoice on this vehicle is $29510.00. So by purchasing the vehicle at MSRP the Dealer would make $3244 in profit on you, correct? Wrong. The dealer also makes holdback, which on this vehicle could be another $500 to $600 in profit.
I went and searched out dealers in my area and was able to browse many of their inventory’s without having to talk to any sales person or step foot into the dealerships. I went online and emailed the contact Internet Managers. The first offer I received for the vehicle I was considering was a purchase price of $29,357.00 plus TT &L (tax, title, and license).
Yes, the first offer was below invoice, but do not forget that the dealer was also making hold back on the deal which like I said could be $500 to $600. That was also the only offer that was that low.
One of the biggest things that consumes time at a dealership is picking out the vehicle you want. You have the ability to look at most dealerships inventory from your home. Now you know they have it, and you have the ability to negotiate the price without stepping foot on the lot.
By doing this at home you can save hours of time instead of doing it on the weekend when everyone else is doing the same thing.
