How to Save Money On a New Car
This article is sponsored by Dan Cummins.
Buying a new car is an exciting time. There’s nothing quite like driving around in a new car after getting rid of your old one. But new cars are expensive, so you’re likely looking for some ways to save money. In this guide, we’ll discuss some tips you can use to cut the cost of your next new car purchase and hopefully walk away with a better deal.
Do your research
The key to getting a good deal on a new car is doing your research before you buy. You want to research every aspect of the car buying process, from the type of car you want to where you want to get it. The more research you can do before making any decisions, the better your final decision will ultimately be. The car buying experience isn’t something you should rush through in a week; instead, take your time and learn as much as you can.
Explore different sellers
During the car buying process you should explore different sellers. This means not only finding different dealers in your area but also considering private sellers near you. An easy way to find sellers that have your preferred car is a simple internet search. For example, if you want to buy a new Corvette, you could search for “Corvette for sale.” This will show you dealers nearby that have Corvettes, and you may even find a private seller or two. Having more options for where you shop will put you into a better bargaining position when it comes time to negotiate a price, so see what’s available near you.
Get more for your used car
If you currently have a car, you’ll want to get as much as you can for it. This will help to offset the cost of your new car and make it more affordable. To get more for your current car, there are a few things you can do. To start, you’ll want your used car in as good of a condition as possible. This means performing any minor repairs and getting rid of any blemishes either on the inside or the outside. Besides that, you should also aim to keep the miles down on your car before you sell. The amount of miles plays a big role in determining the value, so keep them low once you know you want to sell.
Finally, just like when you’re buying a car, you should explore your options for selling. If a private buyer will give you more for your car than a dealer, you should go this route. Explore your different options and see where you can get the most for your used car.
Decide between leasing and buying
Perhaps the biggest decision you’ll have when getting your new car is whether you want to lease or buy it. Both of these options have their pros and cons, so you’ll need to decide what’s right for you. For example, with a car lease, you might get a lower monthly payment but have a limited amount of miles you can drive each year. When you buy a car you might have higher payments, but the car is completely yours to do with what you want. Think about whether you want to pay more over time or less each month. This will help you decide between leasing and buying.
Secure financing prior
If you decide to buy a car you may need financing from a bank. When you go to a car dealer they will provide you with some financing options through one of their partner banks. However, you should look to secure financing before you head to the dealer. By doing this you may end up with a lower financing rate, or you can use it to leverage a better deal from the dealer in exchange for going with their lender. Talk to your local bank or credit union and see what kind of rate you can get.
Learn to negotiate
Finally, pick up some negotiating tips. For example, having a few different offers on cars will help you negotiate a stronger price from a specific dealer. Knowing when to walk away is also a good thing to learn. If you can do your car buying near the end of the month, or even better at the end of the quarter, you may find some dealers who need to meet their sales quotas. Finally, negotiate from a place of strength. Don’t let the dealer know how desperate you are for a car or how badly you want a specific model.
Buying a new car is a fun process, but it’s also a long one. Remember not to rush through it and to take your time with each step. If you can do this, and learn a few negotiating tricks, you should end up with a new car you like at a reasonable price.
The News Wheel is a digital auto magazine providing readers with a fresh perspective on the latest car news. We’re located in the heart of America (Dayton, Ohio) and our goal is to deliver an entertaining and informative perspective on what’s trending in the automotive world. See more articles from The News Wheel.