How do I haggle to get a good deal on a car?

Question

I don't like the idea but of course I have to do it.

Sometimes there are large discounts on 2007 models and I guess it's impossible to know what haggling will work on them.

But for a 2008 model, are there good, easy procedures to follow?

Answer 1

I bought my 2007 Toyota from the dealer over the Internet. $99 over invoice. I looked up the invoice on Kelly blue book's web site and the dealer quoted the same figure so I felt like I did okay. The previous time I ordered a vehicle to get the color I wanted, I offered $500 over dealer cost and got that one, too. Know the price they paid as your starting point; have your financing options lined up before you go; and be prepared to walk out. Don't allow yourself to get caught up in the moment and fall in love with a car. The salesman can sense that and you'll never get a good deal. There is another dealer who has another; none of them are unique. You don't haggle; you go in with facts and a clear head about what will work for you. Otherwise, you end up with a car with options you didn't want or without the things you need.

Answer 2

Depends on the situation. I usually ask up front, "how much is this car without a trade?"
I'll take that question to several dealers to get a consensus, then I go back and see how much the same car is with my tradein.
I don't lie and I don't make up stories, and I always tell them up front I'm negotiating with other dealers for the same (or similar, if it's a different brand) model car.
If I don't like the way a negotiation is going, I walk. I don't argue or debate, I just point myself to the door and walk out.

Always go into a negotiation knowing as much as you can, which means (for example) looking up comparative values on the internet before shopping. Do understand that it's reasonable and proper for a dealer to make some money from selling the car (that's the reason they're in business). There is a "shell game" going on with the "invoice price" (that's not actually what the dealer pays for the vehicle) so don't be misled by "$1.00 over invoice" prices. It's probably close to what the dealer has to sell the car for and make a reasonable profit, just don't believe the myth.
Basic rule of thumb, "invoice" is 17% less than the MSRP, actual dealer cost is probably closer to 25% less than MSRP.
Most rebates are actually "participating rebates," which means the manufacturer has reduced the price to the dealer by 50% of the rebate amount, the dealer is discounting his price the other 50%; keep this in mind when negotiating (it helps to have a good head for mental math).

Finally- I can't stress this enough- if you feel uncomfortable, walk away. If your gut tells you something isn't right, it probably isn't. If you feel the slightest pressure to buy, walk.
It's a little appreciated fact that buying is an emotional decision; sales people know this, and are trained to take advantage of it.

Answer 3

Be sure you know the subject and what you are willing to pay. Haggle on the extras and on the 'additional cost' like prepping, radio installation etc.

If it does not work out just say: "Sorry we can not do business," and walk out. Come back later to ask if he changed his mind.

NEVER EVER change your budget. Stick with what you plan on your maximum spending to the last cent and you will do just fine.

You can even say at some point: "This is what I am willing/able to spend and this is what I want for it. The price is not negotiable."

Answer 4

Do lots of research, find out what the dealers invoice is on the car you want, shoot for $300 - $500 above that number. The dealer will never lose money on the deal, so if you are unreasonable there is no deal to be made.

Answer 5

With the tools at hand today buying a brand new vehicle and getting the best price is very easy compared to buying a used vehicle.

The Internet getting new car quotes is very competitive and you will get bottom line quotes that you can go shopping with, here are two of the leaders http://www.automotive.com/new-cars/new-car-quote.html?dis=4710421C-5B04-42E9-BD66-2C7C2DE4FA9F and http://www.edmunds.com/partners/affiliates/index2.html?mktid=cj33815722&PID=2139259&synpartner=edmunds&mktcat=affiliates&AID=10364103&kw=88x31static its free and no hassle, you will have the best prices in your back pocket when you go shopping.

If you care to study and understand sticker prices on new vehicles go to this link on my website http://www.usedcartips.org/invoicecost.html , regarding how to haggle navigate to " how you negotiate " and " how dealers negotiate " , I dont expect you to become an expert over night but pick up a few pointers will help you get valid value ... good luck