How to Make Successful Negotiations For A Used Car

Negotiating the price of a used car is a little easier than when buying a new one. However, it does not exclude buyers from doing adequate research just as they do when purchasing new vehicles since the deal lies with the buyer's negotiation skills. Experts say that negotiation is more of skill, but when it comes to purchasing a used car, it's all about information. The next discussion delves into the nuance of negotiating for a used Nissan Altima — or another vehicle model — in Santa Ana.

Look For A Two-Year-Old Vehicle

The value of a car reduces by 45% to 55% within the first three years of use. Thus, you are sure to get a nearly new vehicle within the two-year range and negotiate a reasonable rate. A vehicle that is older than that may come cheap, but it is almost certainly full of mechanical and other issues.

Obtain Quotes From Various Dealers

Finding out about the market value of a particular car make and model prevents the buyer from thinking the dealer's price is the best. Guides like those on consumer reports show the history of used vehicles, and this information helps buyers to get an idea of the market value. A visit to various dealers also provides a rough estimate of the price. Buyers should not rely on the prices displayed on the websites as they retail prices and not wholesale.

Go For Shopping in September

Most dealers clear out old inventory in September to prepare for the new year's models. Buyers can haggle reasonable prices at this time as salespeople want to make as many sales as possible. Dealers also offer incentives like reduced interest rates, zero down payments, or cash back on used vehicles to lure buyers.

Obtain A CarFax Report

CarFax provides a comprehensive report about previous owners and if it has had an accident. With such information, a buyer has the upper hand when negotiating the price of an automobile. For example, a vehicle that belonged to a rental company obviously had been used by various drivers with varying skills. As a result, the rental car should garner a lower price for it than for a vehicle that was operated by one driver.

The Negotiation Process

During the price negotiations, the trick is to stick to a particular price and be ready to walk if the dealer declines the offer. Dealers usually state an asking price that is marked up by 20%. So, a buyer should make a counteroffer of that is 15% less than the asking price. At this point, the buyer should point out facts that make the vehicle hard to sell. For example, a faulty standard transmission or a tear in the seat.  If the dealer makes a counteroffer of say, 10% less than the asking price, the buyer should turn it down. The idea is to pay a little over the wholesale price and not the retail price. If the seller does not reduce the amount, a buyer should walk to another dealer. However, the buyer should be flexible and make provision for a reasonable adjustment. Some dealers offer add-ons like detailing and rustproofing to lure buyers. These are incentives that buyers can get at cheaper rates thus, should be evaluated during the negotiations.

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