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A Complete Guide to Buying a New Car

Updated on October 22, 2012
My New Car
My New Car

Buying a new car in this economy is like a dream come true but it can be realistic if you have spare cash and all the time to haggle with determination.

Recently I bought my new car and below are a few steps that I followed and would like to share it with you.

  • Decide on what KIND of car you want

Look at your needs and wants and decide on the type of car needed. Choose between a Sedan and a SUV or a Van depending on YOUR needs. Also calculate how many miles the car will be driven and choose the hybrid versus a regular car.

You could also go to Consumer to get the car facts of the model you have chosen.

  • Chalk down your NEEDS for accessories.

Every car comes loaded with umpteen accessories. Dealers always show you the best, but you have to prioritize what attachments you need in your car. Decide on your needs and shortlist them prior to getting to a dealer.

  • ·Find a DEALER around you and check for the pricing.

When I was looking into prices for my car, I saw that the dealers in remote areas had a huge discount on the same car model as compared to dealers in a chic locality. I preferred to drive the distance to save on $$$. Choice is yours to make.

  • · Decide on how much YOU want to pay.

Do the Maths by looking into the car of your choice and adding up the accessories you want for your car. Compare that price with the Kelley blue book.

  • Visit the Car Dealer and go for a test drive

Body language plays an important role when you and the salesperson are sitting in the car. He will bombard you with questions and some of them will be personal such as income, driving habits, and lifestyle. Avoid answering that question.

When test-driving look out for the sounds in the car especially if test-driving a hybrid. Do NOT turn on the radio.

Do not trust the salesperson over the knowledge of the car and stay firm with your research and homework. That will effect when you are finalizing the purchase of the vehicle.

  • · Stay firm on your price/quote.

Test drive is done and you are escorted to his office. He gives his price for the car and you just give a slight smile. That kind of body language will make him ask you for “your” price. Utter it and just stay quiet.

The salesperson will wiggle a bit and laugh. You stay put and have no reaction on your face.

  • · Kind of Payment

Seeing no reaction from you. He will ask you on how would you like the payment of the car to be: Mortgaged payment or Full payment.

Answer it depending on your financial capacity.

  • · Salesperson will go to speak to the Manager

Salesperson will ask to be excused saying that he is going to speak with the Manager about the quote that YOU have offered him and will be back in a jiffy.

This is the time when he is going to take forever! Hang in there and talk about anything to your partner but the quote submitted to the dealer. No Second thoughts!

  • · Salesperson comes back

Salesperson comes back saying that the manager does not agree with it and asks you to rethink your quote.

Stay firm. You have done your homework and have compared your pricing to the Kelley Blue Book. If you are within the range then, the dealer/manager will agree with your offer.

  • · Depart in a cordial way

Nothing worked out and you just walk away in a cordial manner. No turning back!

  • · Salesperson comes rushing to you!

Voila, you are sitting in your car and the salesperson comes to you that the manager would like to speak to you.

You keep a straight face and walk towards the manager. Greet him and without any hesitation, he agrees with your numbers. You can’t help but smile.

Buying a car needs a lot of patience since; a lot of drama goes into it. After the price has been agreed upon. You are escorted to the Finance department who reportedly handles your payment and makes you sign a whole lot of papers.

Remember: They will do your Credit Check. Make sure you are aware of it. You should be aware of it.

In my case, my sales person did not inform me about it and that is against the law to not notify the customer prior to getting it done. I rebelled and was thrown in a $500 discount.

You enter the Finance department after a few hours wait (WHY!)

Their excuse is that many cars are being sold today (Yeah, Right!)

After the cordial handshakes, he will sell you many offers such as paint warranty, car warranty, service warranty etc. Make sure you have read all about it prior to coming to the dealer. Be certain of what you want rather than discussing it there. You will show your weaker side if not knowing the above and could get duped.

Tip: A customer has to do his homework of his needs/requirements/pricing before he steps into the dealer store. It sure is a lot of work but gives a good impression to the manager and salesperson and the customer lands up getting a good deal.

The confidence with which you argue with them is worth each penny spent on the car.

Would you like to research about the car prior to stepping into the Dealer Showroom?

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