If you want to buy a car, it’s quite easy to be attracted the great new designs and brands out there. This can lead you to overspend on your next car. There are several ways you can avoid this problem. Read on for detailed easy-to-follow top strategies to save money on the car.
Budget Well and Stick to It
Budgeting is easy but sticking to it is often hard for most buyers. However, it’s a great way to save some money especially if you are the type of person who is easily get swayed by new designs and features that cannot add any value to your purchase. With a fixed budget, you’ll find it much easier to talk yourself down when that time comes.
Look at a Car’s Total Price, Never the Base Price
Whenever trying to purchase a new car, don’t focus on the base price. Remember you’ll hardly ever pay a base price. So when you are budgeting, consider the total cost with options as this is what you’ll likely pay. Also, consider if you will be able to get an affordable insurance quote for the car.
Never Get to a Lousy
Be careful with dealers who begin very low on the appraisal of your trade-ins. They use this trick to get you to pay more. Don’t get into their trap by trading your old car at a throwaway price. Use the appropriate research tools to establish the actual value of your car ahead of time. If you have this information, you will be able to be the one controlling the negotiations.
Consider the Impact of Low Demand in Abandoned States
Car buyers are currently moving from some regions in the U.S. Local car dealers and other merchants in the abandoned regions are losing lots of sales. Warm climates and mountains such as Florida, Texas, and Arizona are attracting the highest number of people who are looking for better places to live. If you are looking for ways to reduce your expenditure on your next car, you might need to consider the abandoned locations. Given the reduced demand for cars in the locations, you can get exactly what you want at a lower price.
Don’t Entertain the Classic Bait-and-Switch Tactic
Car dealers can also offer you low prices to get you in the door, and once that’s done, they’ll sell you an expensive car or even anything they have in stock. Most online adverts are meant to achieve exactly this.
Dealers will tell you great deals are available to attract you to visit their physical stores where they do the actual selling. In the store, they aim to switch you to buy a different thing at a higher rate. When you arrive at the store, they may tell you the “great deals” have been sold.
You can avoid this in two ways. Call the car dealership right before making your way to their store and ask them to confirm if the deals are still available. Alternatively, forego the dealership and purchase online. Some online platforms such as Vroom can help you find a great deal at the comfort of your home and then deliver it straight to your doorstep.
Avoid Unnecessary Extras
A car dealership can try to sell you services that you don’t need. They know once you get to the financing process, you are already exhausted. They will use this to try to extract more money from you. When they start throwing on extended warranties and security features that you don’t actually need, make it clear you don’t need them then but will consider them later after doing your own independent research.
The best way to avoid unnecessary spending when you are buying a car is simply staying smart. Set a fixed budget and stick to it and use smart negotiation tactics from the beginning. Consider buying in the “abandoned” regions. Finally, remember not to fall prey to the classic bait-and-switch tactic or the urge to add unnecessary extras into your bucket.
Jeremy loves writing on all things self-improvement, and avidly strives to learn more about all thing finances, education, and tech.