Buying a New Car?

With any large purchase,
adequate research needs to be done in order to obtain some real savings.  The purchase of a new vehicle can be quite
daunting but if you follow these steps you will walk away from the dealership with
a bargain.

1. Pick a Car – Go to dealerships to determine the
   vehicle you want by doing test drives and walk arounds.
   Car dealerships sales rooms are not for negotiating any terms, so leave
   that for later on in the process. Once you have your heart set on a
   vehicle, make a preference list of options you want and colors you will be
   happy with.


2. OTD Price – Make a list of lowest to the
   highest Out the Door price you are willing to pay.




1. First, obtain the Invoice Price by going to
   Kelly Blue Book online or Edmunds
   . Make sure to add the options, tax and delivery. Some
   sites indicate you should always offer Invoice plus $500,
   this is not realistic if you want a vehicle that is in high demand.


2. Second, obtain the OTD price (Out the Door
   price that includes tax & delivery) paid by other individuals in your
   local big city. To find this, go to Google and type in (Car Make, Model,
   OTD, Major City, Options). Make a list of the
   most recent 5 prices.


3. Third, compare the figures you obtained and
   make a list of OTD prices from Lowest to Highest.




3. Obtain Financing and
   Insurance – One of the most profitable areas for any car manufacture is
   making interest off vehicle purchases. To combat the high margin of
   profit, ALWAYS have pre financing completed prior to negotiating. With the
   current economy the best deals for financing for those with good credit
   (FICO over 600) is with the manufacture. If you have a lower credit score
   go with an online loan company such as E-Loans which obtains several
   offers from loan companies. Also contact your car insurance and get a
   quote for insurance that will start the date of purchase. You do not want
   to pay for the Gap / Temporary insurance which is
   usually at a high premium.


4. Sending Bids – Now that you are armed with both
   the price you are willing to pay and financing you can send out bids to
   all the dealerships in your area.




1. Go to the car manufacture website and locate
   the dealer. Make an email list of car dealerships fleet manager’s /
   Internet sales email addresses.


2. Use a new email account, because these
   individuals will mail bomb your personnel account if you give them the
   chance to.


3. Send 1 email to the list you just made -  on the To:
   field place all their addresses. This let’s them know that you are serious
   about wanting the best offer and that the dealers must fight each other.


4. In the Header put – Car Make, Model, Options,
   OTD price you want to pay.


5. Body of email write

                                                             
i.     
To Dealer, I am
interested in a

1.     Car Make , Model, Year

2.     Options (include floor mats)

3.     OTD Price you are willing to pay

4.     Closing time of deal (48 hrs works best)

5.     Respond if you are agreeable to this OTD Price and
provide your number, name, and title. Do not respond if the price you are
offering is higher, ONLY respond if you can meet or beat this OTD as this email
has been sent out to all the dealers in the city. Provide an appt time you are
willing to sign the paperwork (two different times on the following two days
work)

6.     Indicate that you do not need Financing. (if
applicable)

5. Go to the Dealer with email and circle price tothe individual who responded , DENY all extras and sign paperwork.




1. Once you are at the dealership, this is where you must stand firm and not be agreeable to any alternations to the offer.


2. Do not agree to any additional items -  here is a list of items that many offer: car warranty, window etching, lojack, alarms, etc)




6. Enjoy your car. This list might be daunting but if you follow this guideline you will be happy and know that you paid a great price on a vehicle you really wanted. This list does not apply to used cars. Overall this process will take at least 3-4 days.
   
   Click here for invoice pricing
   
   
   
   
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