Buy a new car - codeniko/vehicles GitHub Wiki

Before searching

  1. Check insurance rates for car.
  2. Check insurance rates for particular zipcode you live in or plan to move to as that can fluctuate rate drastically.
  3. Non-negotiating set prices are a scam and you can get cheaper if looking outside big cities.
  4. Further in suburbs will have better deals since lower volume of sales, whereas cities have higher volume of sales based on popular. Email everyone ask for lowest prices. Once a good price found, check if a closest dealers will match it or better.

Email template:

Hi,

I'm emailing several dealerships looking for the best deal available on a 20xx X. I plan to purchase from whoever has the best offer within the next couple days, most likely during the weekend. Specific feature I'm interested are A, B, and C. I have exceptional credit and planning to finance. Please let me know what you can do, thanks!

Best,
Niko

At dealership

  1. If negotiating for particular car, be sure to view/inspect car for any damages to negotiate down. If car is dirty, be sure it's washed and inspect again since dirt/dust can hide damages. Inspect interior and ensure everything is in order and do damage to seats or scruffs on doors. Check paint above doors and roof as best you can. Check paint on edges of doors that are most likely to hit objects when opening. Check engine for cleanliness. Check spare tire and tools exist.
  2. Tell them to remove all brand stickers on windows. Inspect again.
  3. If damages, be sure to get in writing that they will fix it or get addons (all-weather mats, roofrack, fog lights, etc...) for free. Preferably claybar/polish/wax entire car.
  4. Get first few services and oil changes covered for free
  5. Ask how long car has been in lot and when was battery last charged. (usually only 1 year warranty on battery, they are required to charge batteries of car's in showrooms/lots)
  6. Take photos of car before and after purchase (but before you drive off) on all sides in case more damages found.
  7. Ask for touchup paint if possible for inevitable rock chips. This is to cover underlying metal from oxidizing and possibly rusting.

Fees

  • Ask what is doc fee and all that it make it up
    • registration is main one
    • others need best judgement if valid
    • Doc fee is capped at $80 in California 😄
  • average DMV fee $296
  • Destination fee is required, but delivery isn't. Make sure not to be charged for both.

https://www.edmunds.com/car-buying/what-fees-should-you-pay.html
https://www.bankrate.com/calculators/auto/car-finance-payment-calculator.aspx
https://www.dmv.ca.gov/wasapp/FeeCalculatorWeb/newVehicleForm.do

Insurance

If you're a driver of another car while living in same residence, you MUST be on owners insurance policy, no exceptions.

Interesting, noteworthy reddit post

WARNING: NONE of this advice is going to be popular, but it WILL get you a lower bottom line. YOU ARE NOT BUYING A CAR TO MAKE FRIENDS.

First and foremost, go to your bank or credit union for the loan. Find out how much exactly you can spend, and even at that still try to come in under budget if you can. This is a huge, huge thing that most customers never think of until it is too late, and they end up with a payment or loan that in reality is too high but they think they got a good deal. Shop around, get it sorted, THEN shop for a car.

Second, know EXACTLY what you want, and which options you're willing to bend on. Never, ever, under any circumstances let the dealership lead you into anything you don't like for a "deal" on their end. You're making the payment every month or paying a large chunk of change, you decide what is important to you and what isn't. If you wanted leather seats and it is an available option in your price point, don't let them sell you on cloth. If you wanted a red car (and it is available on that model), don't let them sell you on a black or white one because it happened to be at the dealership (Or they were "All Out"). "Good Enough" shouldn't cut it with this. (If you were selling cars, I'd give the opposite advice). Know EXACTLY what you're willing to be flexible on, and what you're not, and don't deviate from it. Write it down and look at it if you have doubts.

Use the power of the mighty Internets to your advantage, and find out exactly what the vehicle you want (with all the trim you want) costs the dealership (at least on average). This is where it starts to become a little bit murky, because every dealership is a little bit different. But find that price, and think of that as your baseline.

Start calling dealerships, and use the "You're Breaking My Balls" method. Don't be a complete dick, but be enough of one that you force them to do the legwork. Chip and chisel away at them, play the dealerships off one another, and STILL be prepared to walk in and that car suddenly not be exactly what they said it would be. It isn't always the Internet Sales rep's fault; sometimes cars get sold out from under them, and unless actual money is put down they aren't going to hold it for someone because they "Will Come In". If I had a dollar for every person who would "Be Back" or "Will Come In Later", I could freaking retire.

Ask on the phone when the end of their sales month is. Be blunt; they are either working for your money or they aren't, and the ones that are will only hesitate a little bit. Call multiple times, find out if they are bullshitting and just picking a date "Oh yeah, tomorrow is the end of the month", and talk to multiple sales people. Disloyal? Yep. Will it save you cash? Yep.

When you go to a dealership, be firm, and continue the "You're Breaking My Balls" method. Again, don't be a dick, just be very reserved and hedge them into doing the legwork for you. Especially with younger salesmen, they're hungry (maybe literally, depending on if they are straight or draw commission) and just need to move units (this works doubly so if it is a domestic brand (Ford, Chevy, Dodge Especially).

This next step depends on local lingo and how they put it, but ask about "Old Age" units. These are vehicles that for whatever reason are perfectly mechanically sound inside and out, but they've been on the lot for awhile. They'll usually have 20-50 miles on them, all test drives, but will literally otherwise be brand new. They aren't used or anything like that, just for whatever reason they didn't sell. Most often they were part of the "20xx" inventory that was left over but now the next model year is out. Or they'll have dealer upgrades that just didn't sell (One I made an absolute killing on was a truck that had custom chrome rims, a factory lift, full power everything but cloth seats. Decked out otherwise but cloth seats. It was almost two years old by the time I sold it, and it went for cost to the customer, and I got a hefty commission out of it. Win-Win). At our dealership we had a list that was updated and handed out every month. Not only are these "Old Age" units usually discounted to move, they'll often have a higher commission than the "Newer" units and that means the sales staff and sales manager will work all the harder to get them out the door.

When you get the negotiations, keep your mouth shut. Seriously, this is the best advice I can give you. Speak, of course, but keep it short and sweet. Use silences like the No Man's Land of WWI; let them draw out so that the sales staff and manager, and finance manager are uncomfortable. Ask and use open ended questions and statements. Turn it back on them, every single time. Do your absolute best to make it seem like they are the ones holding things up. ("That's really the best you can do, really? You're killing me, Dave. What else can you do?"). Basically you have to do exactly what any good sales person is going to do to you (Don't be mad at them, it is their job and they have families, too).

Finally, be prepared to walk away at any time. One tactic that I both hated but have used myself to great effect (Hey, I'm not above being an ass to save a few bucks; I've been on both sides) is to ask to use their phone (most of their offices will have a landline) to call another dealership that you've been negotiating with. ("Hey, Jim? Yeah I'm at Dealership X, but I'm thinking you guys can beat them over at Dealership Y. Dave doesn't believe me.") You're going to get two reactions with this; either they'll get pissed but double down on trying to get the sale, or they'll get pissed and tell you that if the other dealership can do better to go to them. Both reactions are a win for you; you either get a better deal or you know they can't do any better than what they are doing.

WARNING: GETTING A SOLID DEAL ON A VEHICLE YOU ACTUALLY WANT IS AN ENDURANCE RACE. I can't tell you how many times I've gotten a sale, especially near the end of the weekend or day, because the buyers were just plain worn the fuck out and didn't want to shop around any more. Especially on a slow day, that was my bread and butter; grab someone and drag their ass around (in a nice way, I'm not a monster) until they were worn out but just ready to sign.

WARNING: UNLESS YOU MAKE A LASTING IMPRESSION, THE SALESMAN IS NOT YOUR FRIEND. THIS IS OKAY. I prided myself on always trying to get the customer what they needed first and wanted second, and frequently I'd cut my own throat commission wise to do so. You won't find someone as nice as I was, and contrary to what a ton of people think it isn't because all salespeople are scum. It's because they're human, have their own problems, and you're just not that damn important beyond the money. I had the benefit of having plenty of fall backs, savings, and only needing to help pay down other people's debt when I sold cars; most of the people I worked with were not so fortunate.

Other advice: You probably have a friend or work somewhere with a sales department. Use them. Don't take them with you, just ask them what tactics they like to use. Look online for other tactics and sales phrases. The best hagglers are the ones who are willing to shop, willing to walk away, and are willing to be sales people themselves. If you've got to be a dick, be a lovable dick (Alla Jeremy Clarkson), not a punch-able Dick (Alla Trump).

If I think of anything else I'll add to it.

Edit: A ton of people (Seriously, a TON) of people take "Be able to walk away" as a piece of literal advice. There are times it should be. But if you've been a complete pain in the ass for hours on end, don't have a loan secured somehow, etc, etc, they will let you walk. They won't chase. The only time the "Walk Away" method works is if they think they are really close but you're just not quite there yet. Otherwise they'll shrug, throw your info into the "Call Back Later When It is Raining" file, and tell everyone you were a "Roach" (A no chance deal usually due to assholishness or bad credit). A "One Legged Deal" is another bullshit that they just won't really chase ("Oh yeah, I need to talk it over with my wife/husband") (Incidentally, salesmen out there, the best method around this is a Hail Mary involving being a cheerful, cheeky bastard and going "Sure thing! Let me dial their number for you" and pushing for it. We know the deal; they likely aren't coming back if they're one leggers, so like your prom night but hopefully less disappointing go for it).