You will find that your bargaining power increases when you are shopping for a vehicle
that is easily available (on the lot) and if your
Credit
is established with a good history. Keep in mind that you can sometimes get a
New vehicle for close to the cost of a
Pre-owned
vehicle. You might also find that
Leasing will
produce a lower payment and keep you from getting "buried" in debt. This is something
you need to seriously consider if you are the type that replaces your car every
one to three years.
Tip: Do not mention that you are trading a vehicle until you get a solid
figure on the vehicle you want to purchase!
"Voodoo Math"
Be careful of the legendary dealership trick that some call "Voodoo Math". Generally,
dealerships will not give you the true selling price of the vehicle that you are
looking at until they evaluate your trade. This is where the dealer will make it
seem that you are getting more money for your trade when in essence you are just
simply paying extra for your
New /
Pre-Owned
Vehicle.
How to overcome "Voodoo Madness"
When researching online you will find many resources such as nada.com where you
can find the "Blue Book Value" of the vehicle that you are purchasing and the trade
value on the vehicle that you are considering to trade in. In addition, most dealerships
will have their lowest or close to their lowest prices online. This is a great tool
for you, the consumer. Be sure to negotiate the lowest price with the internet department
before you mention that you are
Trading in your vehicle.
Then, when it comes time to work the deal in person, you will have a paper trail
of quotes on the vehicle that you intend to purchase and a print out of the trade/retail
value of the vehicle that you want to trade in.
