New vehicles can be expensive, but you don’t have to pay nearly as much if you play the car buying game right. The keys are to pick the lowest trim level that meets your needs, research available deals, and negotiate the vehicle’s price. If you can do those three things, you put yourself in a better position to buy a new car for the lowest price possible, even if your credit is less than stellar.
How Can You Negotiate on a New Car?
New vehicles can often be cheaper to finance than used, and you can use negotiating strategies to get the most bang for your buck when you’re ready to buy. Some negotiating tips to keep in mind to get the best deal on a new car include:
- Knowing the numbers – Just how much does the vehicle you want typically sell for? Check valuation sites such as Kelley Blue Book and NADAguides to see the average transaction price range. This way, you have a good idea of whether or not the deal you’re being offered is truly good.
- Using your words wisely – Be forward and confident, yet don’t push it. Let the dealer know you’re willing to purchase a car if you can come to an agreement.
- Starting low – Using the numbers from your research, you can start negotiating at the lowest price (this is usually the invoice price for new vehicles).
- Keeping to your word – If you know what you want and don’t want, keep to your word and don’t feel obligated to accept additional options you don’t need – this can help save you hundreds or even thousands on a new car purchase.
Besides the vehicle’s purchase price, you can also negotiate your interest rate, trade-in amount, and documentation fees. Unfortunately, you can’t negotiate taxes or title, registration, and destination fees, so keep that in mind.
Cheapest Cars to Buy New
Did you know that it makes more sense to buy a new model over a lightly used model in some cases? iSeeCars.com analyzed the best cars to buy new over used, and focused on sales from August 2018 to January 2019 comparing new 2019 models to their used 2018 model counterparts. The top five include:
- 2019 model MSRP: $20,520
- Used 2018 model average price: $18,260
- Difference: $2,260 (12.38 percent increase)
- 2019 model MSRP: $19,450
- Used 2018 model average price: $16,945
- Difference: $2,505 (14.78 percent increase)
- 2019 model MSRP: $21,895
- Used 2018 model average price: $18,917
- Difference: $2,978 (15.74 percent increase)
- 2019 model MSRP: $24,350
- Used 2018 model average price: $21,120
- Difference: $3,230 (15.29 percent increase)
- 2019 model MSRP: $25,700
- Used 2018 model average price: $21,659
- Difference: $4,041 (18.66 percent increase)
The Bottom Line
Buying a new vehicle isn’t something everyone can do, especially if you have bad credit and are on a tight budget or have low income. If this describes you and you’re looking for a dealership that can help you get the car financing you need, look no further.
At Auto Credit Express, we’ve been helping people all over the US find the financing they need for over 20 years with the nationwide network of dealers we work with. The process is simple. Just fill out our free auto loan request form, and we’ll work to get you connected to a local dealership in no time!