How to Get a Good Deal When Buying a New Car
- Author Karen Campese
- Published April 13, 2012
- Word count 557
Buying a new car is a really a complex procedure. It involves a lot of research and negotiation. First, the buyer needs to determine the type of vehicle that their situation. For those with a family, a van or SUV may be appropriate. For those living in an area that gets a lot of snow in the winter, a sport utility vehicle, a four wheel drive or an all wheel drive may be the best vehicle for them.
Websites like consumer reports, cars.com will provide a general idea of what the purchase price of the car should be. They will give the buyer a point at which to start negotiations from. They will provide detailed reviews of the positives and negatives of the car.
The other consideration is the budget. Next to the purchase of a house, a car is the largest investment a person is likely to make in their lifetime. Even though finance rates are at an all time low at the moment, the buyer still has to be able to afford the monthly payments.
It is always better to arrange financing for the vehicle ahead of time. Allowing the dealer to finance the car will usually cost more money. The dealer will also encourage the purchase of an extended warranty on the vehicle. This is almost always a benefit for the dealer rather than the buyer.
It is recommended that the buyer take the time to inspect the vehicle from hood to trunk. Every driver is different, not just in their individual likes and dislikes but in their body styles, height, etc. It is important that the seats be comfortable, the controls convenient, the driver be able to see properly through the windshield, side windows and rear window.
Some buyers may wish to purchase a particular model vehicle with certain extras, buy believe they are limited to whatever is on the dealer’s lot. That is not true. The car dealer can get the model vehicle with any desired extras and in whatever color the buyer wants. They get them from nearby car dealers.
Although trading in an older car is easy, it is usually not the best thing to do financially. When negotiating a purchase price for a car, the buyer should be aware of not only the dealer incentives that are available but also the hold back on the vehicle. The hold back is a hidden rebate that is paid directly to the dealer by the maker for that particular vehicle.
Before the final sale papers are signed, it is important that the buyer read them thoroughly. Things to check include any extra insurance that the buyer does not want as well as the amount the dealer is charging to prepare the vehicle. If that amount is excessive, the contract needs to be re-written.
Once all the details are finalized, the buyer will need to determine what to do with the old car. Selling the car privately comes with some risks, particularly if the buyer is not happy with it after the sale or if they do not transfer the title into their name. A much easier alternative is to donate car to charity. The charity sells the car, takes care of transferring the title and uses the proceeds to fund their mission. In exchange, the donor receives a tax deduction.
Karen Campese is the Co-founder and CEO of Cars4Charities, a not for profit car donation center. They have over 1,000 respected charities that you can donate car to. When you donate your car, you get a tax deduction and help a good cause.
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