If you are getting ready to purchase your first used vehicle (from a dealership such as Hart Fullerton Leasing) and want to get a good deal, you need to know how the salespeople you will be working with are approaching the sale. Here are a few tips that will help you haggle with your salesperson.
Your Salesperson Expects To Drop Some Money Off The Price
When you go to a used car lot and look at the list price on the vehicle, that is probably not the price that they expect to sell the vehicle at. Used car lots know that everyone is going to try to get a bargain. Most used car lots add on a little extra money to the price because they know that pretty much everyone who wants to purchase a vehicle is going to want to get a good deal.
You should be able to easily get your salesperson to drop some money off the price of any vehicle you are interested in. The real key is to find out how far they are willing to drop the price of the vehicle. Make sure you know the fair market value of the vehicle you are interested in. There are numerous calculators online where you can enter in the attributes of the vehicle you are interested in purchasing. This will give you a good idea of what the vehicle you are looking at it is worth. Try to get as close as you can to this number before you accept their offer.
Your Salesperson Is Generally Paid On Commission
You also need to keep in mind that most car salespeople are paid on commission. That means that they are paid based on the vehicles that they sell. Some dealerships pay all their salespeople a set percentage of each sale. Other dealerships pay their salespeople based on how much money they make above the price that the dealership paid for the vehicle.
Your salesperson may be willing to bargain to a certain degree; however, they also want to walk away with a decent paycheck after they sell you your new vehicle. So while your salesperson may be willing to haggle, don't expect them to sell the vehicle to below market value. They want to get something out of this transaction as well.
Cash Is Not Always King
You may have heard that cash is always king, but when you are buying a vehicle, that is not always the case. Many dealerships have their own financing programs that they want you to use. Your salesperson most likely gets a bump on their commission if you finance the vehicle through their services. So if you are planning on paying in cash, you may want to keep this information to yourself until you have agreed on a price.
Before you purchase your first vehicle, make sure you know how much the vehicle you are interested in is worth so you have the information you need to haggle and get a great price. Keep in mind that the sticker price is probably more than the dealership expects to get out of you, but they still want to make a profit!