When planning on buying a new car, it is important to consider the following aspects relating to its financing in order to get the best deal as well as minimize loss.
List Out your choice of Car
This makes you have an idea of a car that meets your transportation needs, either for yourself or to accommodate your family, putting your specifications into consideration.
Research about Dealerships and Cars
This can simply be done in the comfort of your home over the internet. You can check for various dealerships and technical information about your dream car as well as the range of prices. Also, pay attention to the reviews of readers on the sites as this gives you an idea of a good dealership. You can also put a call through the company.
What Can you afford?
This has two options either you intend buying in cash or you intend taking a loan. It is important you understand the terms of your contract especially if you are getting a loan or a lease for your car. If a new car is too expensive, you can look into buying a used car.
Lease vs. Loan
Taking a car lease means you are renting the car while a car loan only means you own the car after the last payment has been made. The best choice for you is dependent how long you intend to keep the car. If you love changing cars often, then consider a lease.
Getting the Best Deal
After deciding on a car and the method of payment, the next thing is to get the best deal by doing the following:
Get the real cost of the Car – This means you get to know the cash price without trade-ins at the dealership and gives you a better negotiating edge as you can compare this price with that of other places.
Sort out financing before going to the dealership – The dealer’s deal is always aimed at making more profit, sorting out the financing ahead may save you from unnecessary costs. Sort out loans before going.
Go shopping on the last day of the month – Dealers are always eager to meet their monthly sales in order to get incentives from manufacturers. Buying on the last day or last weekend gives you a chance of getting the best deal.
Ensure your dealer can get your car – If what you want is not on the lot, be sure your car dealer can get the car you want, ask where the car is and when it will arrive before making deposit.
Make your deposit on a credit card – Deposits on new cars can be refunded but it is a stressful procedure. Being able to scare the dealership with a chargeback on your credit card is a good way to ensure they refund your deposit.
About Extras – Ensure you reduce the number of extras to only the ones that are necessary, beware of extended warranty and other things you can do on your own like undercarriage coatings or rustproofing, fabric protection and paint protection.