In a number of ways, there is actually more security when you buy a brand new car as opposed to a used model. For starters, you don’t even have to think about the history of the car or ask if there are any log books or service records.
New cars are also backed by a warranty too, so if anything goes wrong during the long warranty period, all you have to do is bring it back to the dealer or service centre for your make of car.
Even though it’s less risky buying a new car, there are still some things to be mindful of before making the purchase.
Work Out Your Budget
At least when you have a fair idea of what you can spend, you’ll be able to narrow down your choices regarding what make and a model new car you can afford to buy.
Even if you’re planning on financing the car – either through the dealership of your own bank – you still need a figure in mind that you are comfortable with, so you can afford to pay it off.
There’s little point looking at Ferraris if you can only afford a Hyundai or something similar.
Buy Towards the End of the Month
Many new car dealerships will have monthly sales quotas, so if a business has been slow for the month, if you time your purchase towards the last few days of the month, you might be in a far better position to squeeze a good deal out of them.
Dealer Against Dealer
This can work well if there are two specialist dealerships in your area. Let’s say you’re looking for dealers that sell new Honda cars because you’ve got your heart set on buying the latest Honda. Play the dealers off against each other.
If one offers a lower price than the other on the same model car, then take that offer back to the other dealer and see if they can beat it. Keep doing this until you get the absolute lowest price possible.
This tactic can even work with 2 dealers who aren’t committed to the one make of car. So long as they both have the model you want, you can play this game.
Work Out What’s Included In the Price
Often you can see an ad on TV for a certain car, and in the ad, all the bells and whistles look like they’re included in the final price when that’s not necessarily the case.
When you’re at the dealership and you’re negotiating or talking about prices, be sure to ask exactly what’s included.
Often an automatic will be a bit more than the same car with a manual gearbox, so if you want an auto, confirm that that’s the price for the auto model.
Sometimes things like car alarms, mag wheels, low profile tyres, extended warranties and paint protection are added extras that put the price up. You want to be sure of exactly what you’re getting before officially agreeing to the deal.
Always Take the Car for a Test Drive
Don’t automatically assume everything’s awesome just because the car is brand new. Sure, it probably is mechanically sound, but you still want to know how it drives and handles, and the only way to know for sure if a particular model is a good fit for you is to take it for a test drive.
Be Realistic With Your Expectations
When it comes to getting a great deal, you can only take it so far. At the end of the day the dealership needs to make a profit as well, so work out beforehand what kind of price you would be happy with – one that’s fair for everybody – and if you get down to that price (or close to it), stop haggling and take the deal.
Research Your Finance Options
Unless you’re paying for the car in cash or bank cheque outright, you’ll need finance. Do your due diligence here as well. You’re trying to get the best price on the car, so you might as well try and get the best finance deal too.
So long as you don’t rush into a decision and take your time, there’s no reason you can’t get the new car you want for the right price.
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