1: Starting the Search For the Car

The quest for car buying is a difficult one but this new car buying guide will help you to understand main points of bargaining a good price with a dealer.

The research for a car has to be precise so that your time is saved but there is no important thing missed out that may ruin the whole experience. Finding the right car with a good price is the reward of good search in the market.

2: Why They Offer Incentives and Cash Rebates

Huge competition in the car market with so many cars on sale and with incentives makes the choice a little difficult. But watch out for big incentives. If a car is popular then there will not be a big incentive because it is selling on its own reputation.

Incentives and Cash Rebates

Incentive will be like extra features like CD changers, or better tires and sometimes in the form of low interest rate financing or cash rebate. For example, a car costs $20,000 and the dealer offers $2,000 in customer cash and the final price of the car becomes $18,000. For a low interest financing the normal monthly payment may be $500 but with low interest rate you will have to pay $450. Both such incentives save you a lot of money.

Where to find and Things to note

Online websites and TV provides you different rebates and incentives offered by the dealers. One thing to remember is that incentives differ for different states and there may be no incentive from the dealer in your town for a particular car.

You must have a good credit score to qualify for a low interest rate financing. Manufacturers provide big incentives for infamous cars to the dealers for selling them.

3: Getting a Price for the Car

The salesman at the car showroom points to the sticker price because they want to earn as much as possible. The dealer however does offer a lower price than the sticker price. Don’t directly go for the price you get from the sales person. There are sites that will provide you true market value or TMV of cars. This price is the average of what the buyers are paying for a certain car in a particular region. This price is lower than the sticker price and you should start bargaining to get a price around this figure.