Looking to upgrade your wheels? With a little bit of knowledge and research, you could negotiate a better deal on your next car, keeping more of your hard-earned money in your own pocket. Here are a few handy tips to get your ‘negotiation gears’ in motion.
Don’t take the first offer
Here’s the number-one rule of negotiation: there is usually an opportunity for a counter offer. So better not tell the salesperson exactly how much you have to spend on a vehicle. If you do, you are more likely to be shown cars of a higher value – and instead of negotiation and saving yourself some money, you may end up spending what you have.
Get pre-approved finance
Having your finance pre-approved can save you time and money. Time, because the salesperson doesn’t have to go through the finance application process with you from scratch. And money, because a pre-approval proves that you are a genuine buyer and the salesperson may be more likely to negotiate – after all, if they get the price right and the car is right for your needs, they have a guaranteed sale.
Do some research
What’s the value of the car you are looking to buy? Knowing your numbers can help you make a good go at negotiating a better price.
It’s a good idea to research the value of similar vehicles. Of course, this means you will need to know what type of car you want and need. Then, using your own knowledge of the value, you can focus the salesperson on negotiating the price rather than showing you lots of different makes and models.
The art of negotiation
When negotiating the price of your car, it’s always important to be polite and play fair. Remember: it’s a negotiation, not a battle. Being rude or aggressive to the salesperson is unlikely to win you a new friend, let alone score you a bargain on your car.
Get the salesperson to make the first offer
If you make an offer first, it will be very difficult to negotiate any lower than that – and you might end up paying more than you wanted to (or worse, could have). Why not start by asking the salesperson what discounted price they will offer you, and then negotiate down from there?
The best time for buying cars
You may not know this, but if you’re looking at buying, there are reasons to wait until the end of the month.
Most car salespeople earn commission, based on their total sales volumes over the month (or other period). If you go in on the last day of the month, you may be more likely to get a better car price, particularly if the salesperson hasn’t met their target and is looking to close another sale. Of course, they will also want to get the best price possible, so be prepared to negotiate.
Armed with these tips, negotiating a better car price should be a breeze. If you need vehicle finance and would like to discuss your car loan needs, our team at AA Finance is here to help. You can contact us on 0800 500 555, seven days a week, between 9 am and 5 pm.
Disclaimer: Please note that the content provided in this article is intended as an overview and as general information only. While care is taken to ensure the content is correct, the information provided is subject to continuous change. Please use your discretion and seek independent guidance before making any decisions based on the information provided in this article.