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Guide to talking to salesmen? (new/used cars)

KingstonU

Golden Member
Recent grad, first time car buyer. I am in the market and am looking to buy within the next month or two. I don't want to get ripped off or fall for the usual tricks. Can anyone point me to a guide on how to talk to a dealer to get the best deal? Any general advice? do I make sure that the salesman approaches me and not the other way around? Things I should/should not say or when do I say/don't say it? Such as, If I am considering just paying cash, should I wait till a certain point in the negotiations to say so?

Should I let them know that I am contemplating on just getting a used car in the end?

One important point!! I will probably be buying a manual, but I have not gotten good at it yet, so I will definitely look badly when I test drive it or whatever. What do I do???

What about stupid package deals to pay more for the features you want, such as, a nissan versa ABS adds $500, but you can't get it unless you also get the $1800 value package that has all the useless items. Can I talk the dealer into just giving me the ABS?

Should I call out a dealer on his usual tricks or just ignore them?

Thanks a lot!

PS: this is in Canada, Edmonds.com is great but is there a candian equivalent?
 
Dress nicely and show up in a clean car..you will be treated with more respect.

Do research on vehicles you're interested in beforehand. If you go in blindly, a good salesman will recognize that and take advantage of the situation. Don't be afraid to walk away.
 
Just do your research. You do not have to be a good talker to get a good deal. Like teh previous poster said, do not just go blindly. You have to go in knowing what you want to pay. You do do not go in just thinking, "I am gonna get the best deal possible by starting at some low number". That method can work, but it does not work most of the time.

Stand your ground, know you price. Don't let him/her sweet talk you or give you the "oh, if if we sell it you for that price, we lose money" when you know he can go lower.
 
I don't have a vehicle at the moment, I guess it's best if I walk to the dealership in my work clothes then show up on my bike? lol... just saying that makes me feel childish...😱

One important point!! I will probably be buying a manual, but I have not gotten good at it yet, so I will definitely look badly when I test drive it or whatever. What do I do???
 
Don't show up on a bicycle.

Be confident and decisive when dealing with the salesman/woman. Also, do not believe anything they tell you. They will try to get you to buy a car that moment whether it's the car you want or not.
 
I've found new cars to be much easier purchases. Invoice prices and incentives are readily available online. You can have dealers compete for your business through email, and walk in knowing the best price that was offered in your area. There may be a hair more wiggle room when you arrive at the dealer, but generally you should have the best price already agreed upon. You know the condition of the car (brand spankin new), and will have a variety of color options to pick from. The deal with the salesman will be easy, but watch your backside with the finance manager. Unless the manufacturer is offering great financing incentives, you may want to buy through a credit union to avoid the gimmicks.

Used car purchases are always tricker, but can offer much better values by letting the original owner eat the heavy depreciation. You can try to have dealers compete through email on price, but finding comparable vechicles is difficult. Damaged cars can be cleaned up nicely, so I strongly recommend having an independent mechanic and body shop look the car over (CPO's might be the exception). Ask for a 24 or 48 hour test drive, and take the car home with you (its a tough climate, and dealers are granting this without hesitation right now). This is when you can have your inspections done, look over the car closely, and make sure you like it as much away from the pressure of the dealer. Leave the car in the hot sun with the windows up if you can, and check for any odors when you enter the car. If buying from a private seller, you can probably forget the 24 hour test drive, but they should be willing to let you have the car inspected. The same holds true with financing, get it elsewhere unless there are good incentives being offered.

Don't show up on a bike. Catch a ride with a gf or a friend posing as a gf, and ask them to stay. If negotations go south, you need to be able to walk (or give the impression that you are able to walk). You can have the arrangements made through email/phone, so your time at the dealership can be minimized.
 
Thanks for all the great advice! Is there a time of year/certain month that is better to buy? I am in no hurry, just looking for the best deal.
 
Originally posted by: KingstonU
Thanks for all the great advice! Is there a time of year/certain month that is better to buy? I am in no hurry, just looking for the best deal.

It's never an excellent time to buy used cars because it is based on demand for them and demand wll chnage week to week.

As for a new car, the best deals were 2 months ago. You can still get good deals now, but they will not be as aggressive a sthey were 2 months ago and lots of dealers (espceially toyota) have already exhausted alot of their 09 cars. Finding an 09 camry is pretty hard and finding an 09 corolla will be hard soon. If you are looking for a subaru or Nissan though, yeah, now is a pretty good time. Keep in mind though, you are now in the best situation. You are shopping for a car with no urgent need for it. This means you can shop around until you find a deal you like.
 
What do I do about the fact that I suck at driving standard? Since I will look stupid on a test drive, will that affect price at all?
 
It shouldn't effect the price unless the salesman interprets your inexperience at driving a stick as inexperience in buying a car as well.

Use it to your advantage and blame it on the car. "The clutch is too stiff", "the shifter seems to stick", "this isn't wasn't I was expecting", etc. Maybe you'll come across as less interested, giving you some more negotiating room.

Do you have a friend with a standard that you could practice with? What kind of car are you looking at? Why do you want a stick shift?
 
Originally posted by: KingstonU
Recent grad, first time car buyer. I am in the market and am looking to buy within the next month or two. I don't want to get ripped off or fall for the usual tricks. Can anyone point me to a guide on how to talk to a dealer to get the best deal? Any general advice? do I make sure that the salesman approaches me and not the other way around? Things I should/should not say or when do I say/don't say it? Such as, If I am considering just paying cash, should I wait till a certain point in the negotiations to say so?

Should I let them know that I am contemplating on just getting a used car in the end?

One important point!! I will probably be buying a manual, but I have not gotten good at it yet, so I will definitely look badly when I test drive it or whatever. What do I do???

What about stupid package deals to pay more for the features you want, such as, a nissan versa ABS adds $500, but you can't get it unless you also get the $1800 value package that has all the useless items. Can I talk the dealer into just giving me the ABS?

Should I call out a dealer on his usual tricks or just ignore them?

Thanks a lot!

PS: this is in Canada, Edmonds.com is great but is there a candian equivalent?

best deal, you'd need to know what they bought the car for. Generally, kbb.com should be able to tell you what to offer the dealer.

salesman will approach you, or they should. I work at a dealership the first thing they do when they see a customer is go out to your car and introduce themselves.

just be straight up with them, help them help you.

If you have bad credit, don't come in looking at a new expensive truck, because you can't afford it.

tell them you'd like to look at a versa with the abs option, plain and simple, not the value package.

another way to get a good deal, is you call up a few dealerships and tell them what car you want, and have the dealerships fight for the lowest price.

you don't need to dress nicely, most of the guys who come in and buy GTR's are in sandles. come in like you don't give a fuck if you are getting a car or not.

If you suck at standard, try to practice on someones car. I know from experience the versas are actually really easy to start from a stop. just slowly roll off the clutch, when you feel the car start grabbing, give the car some revs, and proceed to let out the clutch fully.

How old are you? I noticed you said you didn't have a car.

have you considered buying a used car? you can find cars used 1-2 years old for good deals.



 
This would be my first car, though I am a good driver. I've driven a manual once or twice and know the idea, I was thinking manual because it is cheaper upfront and cheaper on gas... and a bit cooler, lol.

I figured that it might be best to make another thread later on asking people what I should get after I've got a better idea and eliminating some catagories at least. But here it is:

I'm a 22 year old recent grad that just started my job in the Toronto area. I have about $12,000 in savings and I bring in ~$2000/month in savings (after all taxes, bills, food etc). Looking into cheap hatchbacks/sedans, such as the yaris/versa, maybe a bit higher matrix/vibe, or maybe just any used car that is max 5 years old and is cheap on gas and reliable.

I don't need this car, it just adds flexibility to my life and makes get together with my friends a LOT easier. I can certainly wait if I have to.

Though my work I also get FORD employee X-Plan discount (usually 5%), Mazda S-Plan discount (not sure%)

So much research to do, so many choices... thanks for everyone's advice, this is quite frustrating
 
Originally posted by: KingstonU
This would be my first car, though I am a good driver. I've driven a manual once or twice and know the idea, I was thinking manual because it is cheaper upfront and cheaper on gas... and a bit cooler, lol.

I figured that it might be best to make another thread later on asking people what I should get after I've got a better idea and eliminating some catagories at least. But here it is:

I'm a 22 year old recent grad that just started my job in the Toronto area. I have about $12,000 in savings and I bring in ~$2000/month in savings (after all taxes, bills, food etc). Looking into cheap hatchbacks/sedans, such as the yaris/versa, maybe a bit higher matrix/vibe, or maybe just any used car that is max 5 years old and is cheap on gas and reliable.

I don't need this car, it just adds flexibility to my life and makes get together with my friends a LOT easier. I can certainly wait if I have to.

Though my work I also get FORD employee X-Plan discount (usually 5%), Mazda S-Plan discount (not sure%)

So much research to do, so many choices... thanks for everyone's advice, this is quite frustrating


I used to get Mazda S plan (got it when i worked for bose)....do not bother with it....especially in this economy. Everythig is selling under the sticker invoice. S plan usually comes out to invoice + $300. It would be good if you wanted to new 2010 Mazda 2 months ago, but now they are selling at invoice.
 
Sounds like a great position to be in financially. Your hardest part is going to be deciding which car you want 😛

You said you are a first time car buyer. Do you know your credit score? If not paying cash, you definitely want to know your credit situation before meeting with the finance manager at a dealer. It would be worth paying for it or signing up for a 3-month trial to find your score before deciding to finance a car. A local bank or credit union would be easier to work with if you have little or no credit history.
 
Cool thanks desy, I may just ask for that.

I guess I should also get my credit score, never done that before, how much is it? I would like to pay cash if possible (after I've given myself some cushion after a few paychecks perhaps) but if I get 0% financing, then I pay the same amount just over a long period of time (no interest correct?), so more money stays in my bank account longer to continue gaining more interest, do I understand that right?

Now I also have to start looking at insurance, it seems that things like ABS and other safety features and anti-theft features help reduce my insurance, are they then worth it? how much do they save?

so many details 😕
 
DO NOT FALL for pressure tactics, including the double-up with the salesman and some douche manager he gets in to assist. The car you want, if you find it, will still be there tomorrow and so will the deal they just offered (if not better if you leave them your number and let them call back to sweeten the pot).

Remember, the salesman is there to screw you. It's cliche but it's true. Go into it like a warrior. Be polite, but everything out of his mouth is either BS because he's too lazy to even learn about his own vehicles (this is about 2/3 of salesmen) or a lie because he's trying to butter you up.

Oh and have fun!

But, really, the worst thing you can do is buy a new econobox when there are so many great used options now.

I get 0% financing, then I pay the same amount just over a long period of time
Money costs money, though; if you get 0% it means you've paid more for it than if you had a higher rate, or if you paid cash. It costs the bank money to lend it to you, so they are making it up with a higher price-paid.
 
I read most of the thread but I don't believe I saw this point yet. You don't need to be rude about it but if at any point you don't like the way things are going don't be afraid to walk out.
 
Do months of research and narrow down your choices online.

When you go to test drive your choices, do it with indifference. You are not buying anything.

Know more about the car and it's new and used market value than the salesman. Know more about it than the person who designed and built it. The salesman will keep his mouth shut and not risk saying something you know is wrong if he gets the vibe that you know more about the car than he ever will. This puts things into a "buyer knows what he wants" mode and the salesmen simply becomes someone who hands you the keys and sits in the passenger seat when you test drive, rather than someone trying to push a sale.

Command authority and make it clear in your demeanor that your are an independent thinker and that all they can do is provide a pleasing customer service experience, that they won't be able to sell you anything.

And there is nothing wrong with an automatic. Most people who claim they got a manual for the fuel economy probably get worse fuel economy than they would with an automatic.

I'd also recommend low mileage used. The car is going to be used in a week anyway. Many more choices and much more car for the money, and there is also an established knowledge base on the faults and design issues and year to year tweaks.

Though it's hard to beat a warranty and comprehensive dealer service plan that you normally get with new, if you don't know how or don't want to or don't have time do the maintenance and repairs yourself.
 
Originally posted by: KingstonU
Cool thanks desy, I may just ask for that.

I guess I should also get my credit score, never done that before, how much is it? I would like to pay cash if possible (after I've given myself some cushion after a few paychecks perhaps) but if I get 0% financing, then I pay the same amount just over a long period of time (no interest correct?), so more money stays in my bank account longer to continue gaining more interest, do I understand that right?

Now I also have to start looking at insurance, it seems that things like ABS and other safety features and anti-theft features help reduce my insurance, are they then worth it? how much do they save?

so many details 😕

Definitely check your credit score if you don't have any idea on the range it may fall in. Myfico.com will have the true fico score. Is this the same for Canada? You can sign up for a trial product and get a free score. Just make sure you cancel before you get billed.

0% financing is only available on select new cars and require top tier credit, so check the score before making a decision either way. Usually you have to give up the rebates for 0%, so its still worthwhile to consider paying cash to get a cheaper drive out price. Don't deplete your savings to pay cash though. There are several 3.9% and lower financing options in the US currently, which is definitely an acceptable rate.

Safety features will reduce your insurance, but I doubt it makes a significant impact. Cars with smaller engines that are not often stolen will keep your premiums low.

You should probably narrow your search to your top 2 or 3 picks. You can do all of this from the comfort of your home before ever visiting a dealer, then visit to test drive the car without even thinking of buying. You should put some time into researching and test driving, but I think spending months on this is excessive. After you decide what you want and research a fair price, the process should be pretty painless.
 
Originally posted by: Gibson486
Originally posted by: KingstonU
This would be my first car, though I am a good driver. I've driven a manual once or twice and know the idea, I was thinking manual because it is cheaper upfront and cheaper on gas... and a bit cooler, lol.

I figured that it might be best to make another thread later on asking people what I should get after I've got a better idea and eliminating some catagories at least. But here it is:

I'm a 22 year old recent grad that just started my job in the Toronto area. I have about $12,000 in savings and I bring in ~$2000/month in savings (after all taxes, bills, food etc). Looking into cheap hatchbacks/sedans, such as the yaris/versa, maybe a bit higher matrix/vibe, or maybe just any used car that is max 5 years old and is cheap on gas and reliable.

I don't need this car, it just adds flexibility to my life and makes get together with my friends a LOT easier. I can certainly wait if I have to.

Though my work I also get FORD employee X-Plan discount (usually 5%), Mazda S-Plan discount (not sure%)

So much research to do, so many choices... thanks for everyone's advice, this is quite frustrating


I used to get Mazda S plan (got it when i worked for bose)....do not bother with it....especially in this economy. Everythig is selling under the sticker invoice. S plan usually comes out to invoice + $300. It would be good if you wanted to new 2010 Mazda 2 months ago, but now they are selling at invoice.

The X-Plan's not worth it or just the Mazda S-Plan?

Reason I ask is b/c I've started looking for a 2nd vehicle and had planned on making use of Ford's X-Plan.
 
Originally posted by: Feldenak
Originally posted by: Gibson486
Originally posted by: KingstonU
This would be my first car, though I am a good driver. I've driven a manual once or twice and know the idea, I was thinking manual because it is cheaper upfront and cheaper on gas... and a bit cooler, lol.

I figured that it might be best to make another thread later on asking people what I should get after I've got a better idea and eliminating some catagories at least. But here it is:

I'm a 22 year old recent grad that just started my job in the Toronto area. I have about $12,000 in savings and I bring in ~$2000/month in savings (after all taxes, bills, food etc). Looking into cheap hatchbacks/sedans, such as the yaris/versa, maybe a bit higher matrix/vibe, or maybe just any used car that is max 5 years old and is cheap on gas and reliable.

I don't need this car, it just adds flexibility to my life and makes get together with my friends a LOT easier. I can certainly wait if I have to.

Though my work I also get FORD employee X-Plan discount (usually 5%), Mazda S-Plan discount (not sure%)

So much research to do, so many choices... thanks for everyone's advice, this is quite frustrating


I used to get Mazda S plan (got it when i worked for bose)....do not bother with it....especially in this economy. Everythig is selling under the sticker invoice. S plan usually comes out to invoice + $300. It would be good if you wanted to new 2010 Mazda 2 months ago, but now they are selling at invoice.

The X-Plan's not worth it or just the Mazda S-Plan?

Reason I ask is b/c I've started looking for a 2nd vehicle and had planned on making use of Ford's X-Plan.

i just tried s plan, but i'd imagine that the x plan would be similiar. When i shopped for my 3 2 years ago, s plan came to invoice +300 with ho hassle. When I ignored the s plan, I bought it under invoice. My suggestion is to pick a car, email the dealer and say "hey, what is teh price of this with x plan?". Then just email him under a different address and see what he offers w/o the x plan.
 
Know your cars and all the options packages, plus invoice prices if you can find them (edmunds.com lists most invoices). You can research options by using the "build your car" features on manufacturer's websites. Have a list of all the local dealers and their phone numbers and addresses. Take this information with you, with that list on top of your stack of information so they know you'll be shopping around.

If you are financing, get pre-approved for a dollar amount by your credit union or bank of choice before going, so you have something to compare to the dealer's finance offer. Know how much you want to put down, too. If you're putting down a healthy, amount, you can absolutely skip any "gap insurance" bullshit that they will try to sell you. Also skip the extended warranties, stolen vehicle locators, or any extra crap they try to tack on the car.

As for buying the car itself, I recommend getting all the above in order, then going early on a free day, and explaining that you are looking to buy a car and that you are ready to buy today, but only for the right deal and that you aren't in any particular rush, and you're going to be shopping around. Test drive the car you are interested in, then explain to the dealer that you will seriously consider buying his car, but you are going to be driving X car and Y car, too, and you're also going to be visiting B dealer and C dealer that sell his car make to see what kinds of deals they might be able to throw together. Ask the salesman what the best price he could sell the car for is. He might go check with his manager, he might offer a handshake offer to "beat the other offers," or he might refuse to talk prices without a firm commitment to buy. The salesperson who says he'll beat the other offers is the guy you'll probably want to buy from at the end of the day.

Then leave and repeat at the other dealers and models of car you are interested in. If you've collected a few offers, call the guy who said he'd beat the offers and give him the lowest price you got and the dealer who gave it to you.

People talk about doing this on the internet, but I've personally never found internet salespeople to be responsive to polite requests for price quotes, so it never works out for me.

If you end doing "blind" negotiations on a specific car (i.e. not playing dealers off each other), then start significantly lower than your target "fair price I'd actually pay." The dealer may balk at reducing the price at all to see if you'll give up. Just say you think your offer is reasonable and you need to see the manager reduce his price before you are willing to raise yours. Then give up $100 here or $200 there, not $500 or $1000 at a time. Make them work for it and make them come down at least once for every time you go up. Don't just sit there while they "think" about your offers. Get up and walk around, look at your watch, make calls on your phone, walk around the sales lot. You want to look like you're ready to walk out at any moment. When they hit the price you have in mind, shake hands and buy the car. Sometimes you can cut through the crap by talking to the manager directly, other times they prefer to keep him behind the curtains like the Wizard of Oz. And if they never hit the price you are willing to pay, don't buy the car.

Negotiate price ONLY, not payments, not financing. Worry about financing beforehand with your bank. If the dealer can beat that rate, then take it. If not, plan on a 60-month loan with the lowest rate you can find and buy based on price, not monthly payment size. If they bust out the "4-square" negotiating paper, use their pen to cross out all the boxes except the price box.

Edit: As for the manual, you can explain that you can drive manual but you aren't very smooth yet, and give the salesperson the option of letting you drive a manual, or an auto for the test drive. He'll probably let you drive the manual as long as you have any experience whatsoever.
 
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