Negotiate a car price effectively | Used Car Buying Guide - Consumer Reports (2024)

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Don't settle for a price that may not be fair

Last updated: May 2014

Negotiate a car price effectively | Used Car Buying Guide - Consumer Reports (3)

The first rule is: don't fall in love with a car. Cars are goods, not people. The used car market is huge, and in every category there is more than one brand to choose from, and more than one model that should suit your needs. Even if you have your heart set on a particular model, rest assured that it won't be the only one for sale.

In general, negotiating the price of a used car is less nerve-wracking than buying a new car. There are fewer opportunities for retailers to add additional fees and other fees. And a private seller is unlikely to have the experience and resources to play the hard bargaining game.

However, you should never negotiate under pressure. Salespeople can assure you that they will not pressure you, but they do so in a subtle way. A common sales tactic is to claim that someone else is interested in the same car. While that's true, don't feel like you have to make a trade right away; there are always other cars.

When you buy from a dealer, you have to negotiate one item at a time. First determine the price of the vehicle you are purchasing and then discuss your trade-in or financing terms separately. Salespeople often try to get you to focus on your monthly payment. Using that as a focus will cause the seller to lump the entire process together, giving him or her too much leeway to give you a "good deal" in one area while making up for it in another. This is the first step on the slippery slope of manipulating numbers and overpaying for your vehicle.

Based on your homework, you should have a good idea of ​​how much you are willing to pay. Start by making an offer that is realistic, but 15 to 25 percent lower than this number. Give your offer a name and wait for the person you are negotiating with to respond. Be polite, but stick with your original figure after you receive a counter offer.

If you need to increase your bid, do so in small increments. If the distance between the two sides e.g. €1,000 or less: increase your bid to €100 each time. Clearly indicate when you made your last bid and stick to it. Don't be afraid to say that your offer is fair, final and only valid for 24 hours. If the seller won't budge, be prepared to walk away rather than pay more than you know is a fair price.

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Used Car Buying Guide

Learn more about choosing a used car, avoiding a lemon, buying and selling a used car, pricing and financing and more in ourguide to buying used cars.


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