Buying a car can be a huge pain. Not only are you trying to figure out the best car that meets your criteria, but you also have to deal with overly pushy salespeople who are simply looking to take as much of your money as fast as possible.
That’s why NextShark recently decided to talk to a former Hyundai car salesman of five years to get the low-down on how to purchase a new ride to the buyer’s advantage.
During our discussion, he revealed to us some of the secret tactics sleazy car salespeople use on prospective buyers as well as some useful car buying tips for the next time you decide it’s time for a new car.
Tip #1: Figure out the invoice price before going in
“The invoice price is what it costs the dealership to get the car. Usually, for many types of cars, you can get the car for close to invoice (if new). This is different than MSRP, which is the markup and is usually 2K over the invoice or so (this is not always the case, but many times is).”
Tip #2: If you test drive, do NOT buy the same day
“People that take the test drive are usually pressured into buying. The hardest pressure from the salesman is done on the first day. The belief is that once the buyer leaves, the chance of them buying is super slim
The reason for doing the test drive and then going home is to think rationally, then research the invoice price and shop around different dealerships until the best deal is found.”
Tip #3: Never trade in your car (unless you don’t care)
“Car dealerships practice something called ‘stealing the trade,’ so never trade in your car unless you don’t care. The dealership will always pay Kelley Blue Book and below while finding reasons to buy your car for much less than value. They’ll also often point out the flaws and things that need fixing in order to deduct the value.”
Tip 4: Assume everything the salesman says is a lie
“Do your own research and use the salesman to do your bidding. It’s the salesman’s job to tell you anything possible to get you to buy. Even though they will convince you that they are looking out for you and you both have so much in common, remember: you’re a mark. Do your research ahead of time and stay out of their distortion fields.”
Tip 5: Buy gap insurance
“The only thing worth buying in the finance room is the ‘gap insurance.’ Avoid all other up-sells. Gap insurance basically says that if you drive off the lot and total the car immediately, the gap between what your car is now worth (used) versus what you bought it for (new) will be covered. All other things are a waste of money and designed to suck cash out of you.”
Feature image via Youtube.