So you have found your car. You did your research. Went to the Dealership. You took it for a test drive. You have gotten a price you are happy with. But before you say yes, there are a few questions you have to ask.
How much is the documentation fee? All dealerships charge a doc fee when you buy a car. It is the fee they charge you for filing the contract. While the fee is universal, it is not always the same price. Some states say that the doc fee must be under $100 while other states don’t regulate it and it can be as much as $600. If you are in a state where the fee is not capped, spend you time getting the price of the car lowered, not getting the dealership to waive the fee.
What other fees do you charge? You can also ask “What is my out-of-door-price?” While you have been trying to get the price of the car at its lowest point, now you will want to start looking at the other fees. Some of them are completely legitimate and some may seem questionable. Things like sales tax, registry costs, tire recycling and documentation are all normal fees. Some dealerships try to increase their profit so they have other fees. The sooner you start dealing with the fees, the sooner you can get them off the table.
Ask if there are any dealer-installed options on the car? Most cars have factory installed option when the car is built. The sometimes, the dealers add in additional items, as a way to increase their profit because they can sell the car for more. These things are call dealer add-ons and they usually come with a high markup. Things like nitrogen-filled tires, window tinting, wheel locks, all weather mats, and Lo-Jack are all common add-ons. You want to know about these things ahead of getting the final price. When negotiating, remember that these items have a high markup and use it in your price.
How many miles does the car have? When you are buying a brand new car, you think that the car will have less than 10 miles on the odometer. Sometimes the car has been taken on a lot of test drives and sometimes the car has been driven from another dealership. If this is the case, as the dealership for a lower price if the car has over 300 miles on it. If the car has a few hundred miles on it or has been on the lot for a while, ask what the in-service date is. This is when the warranty starts. You want to make sure it is the day you buy the car.
Can you deliver the car? This is important for internet shoppers. If you love everything you have seen about the car, and you haven’t said yes yet, see if you can work this into the deal. This way, instead of waiting at the dealership while they get the car pretty for delivery and gassed up, you can wait at home or work and save yourself the time. The Dealer Representative will arrive with the paperwork and the car, and you get to avoid the manager trying to talk you into more items and services. If you already know you want these things, like the extended warranty, just let them know and they can add it in beforehand.
Once you have worked all of these things out, you are ready to say yes to your new vehicle.