Whether you’re shopping for your first car or ready to switch to an older model, choosing the right car dealer has the potential to save you thousands of dollars. It’s also important to do your research to make sure you’ll be happy with this substantial purchase for years to come. Here are seven things to look for in a dealership when shopping for a new or used car.
1. Get recommendations
While online reviews of dealerships can give you an idea of the quality of service they offer, these sites can offer an incomplete or misleading picture. While searching the web is a good starting point, you should also reach out to friends and family who have recently purchased a vehicle. They will be able to tell you about the shopping experience they had and possibly even refer you to a specific seller.
2. Know the manufacturer’s rebates
If a car manufacturer offers a rebate on the vehicle you are interested in, learn the terms before you print the offer from the manufacturer’s website. A good dealer should give you the exact terms offered by the manufacturer, regardless of the purchase price you negotiate. Some distributors keep these rebates as earnings, which is a red flag to avoid.
3. Request a tutorial
Your car dealer should spend time with you for more than a five-minute test drive. The best sales associates will be willing to guide you through all the features and benefits of the vehicle you are considering, so that you fully understand your purchase before signing the sales contract.
4. Do your research
If you’re trading in a car, calculate the trade-in value you can expect to get from a car dealer using an online blue book resource. With a fair price in mind, it will be easy to avoid dealers who offer much less for their trade. You should also have an idea of the MSRP, or the manufacturer’s suggested retail price, of the new or used car you are interested in. This serves as a starting point for negotiation.
5. Avoid high pressure sales
You should stay away from a car dealer who makes you feel like you have to make a decision right away. A good salesperson will know the value of allowing you to weigh your options. This tip doesn’t just apply to the car itself; just say no to the added extras like VIN etching and paint protection. These services cost substantially more when purchased directly from the dealer and do not necessarily add value to your vehicle.
6. Have your car inspected
Any scrupulous car dealer will allow an independent mechanic to review the car before you buy it. If the dealership you are working with is reluctant and insists that their mechanics have already checked the car, don’t buy your vehicle there.
7. Come prepared with financing
Bringing your own financing can often get you a better rate than getting a car loan directly through the dealer. As with independently examining your car, any dealership that does not allow you to do so should be avoided.