If you’re in the market to buy a new car, it can be tempting to find the first one you like and go straight to the dealership to negotiate a price. But, in order to get the best deal possible, it’s important to do your research ahead of time and look at all of your options before making any decisions. Kelley Blue Book (KBB) can help with that!
Know What Type of Buyer You Are
There are three basic types of car buyers, each with their own approach to pricing and negotiation. While it’s great to know what type of buyer you are, there’s no reason why you can’t take a different approach depending on your circumstances. Kelley Blue Book has a number of tips on how each type should negotiate, along with other useful information like whether or not you should trade in your old car. The site also provides price information for used cars so that when negotiations go bad and you end up buying from another dealership, you can still get a fair deal on your purchase.
Narrow Down Your Options
Remember when you were shopping for a car and your friend told you not to go with anything less than a blue book price? Your friend was probably talking about Kelley Blue Book, which is also commonly referred to as KBB. Before you start shopping for a new or used car, check out KBB’s website for good deals in your area. You can filter results by factors like mileage and make/model, saving time and effort. Some dealers might try to rip you off by selling at MSRP prices while others will try to negotiate a lower rate. Either way, Kelley Blue Book should give you some idea of what’s realistic before starting negotiations.
Know the Salesperson
Some salespeople, just like some mechanics, are better than others. If you can get a reference from a friend, or from a co-worker who recently bought a car, take advantage of it. Be sure to mention that you’ll want an honest assessment of their experience with that salesman and his/her dealership. If possible (and appropriate), ask for names and contact information for other customers as well as salespersons within your price range. This way you can interview your future salesman before you even set foot on their lot.
Understand the Process
Before you head out and start shopping for a new or used car. It’s a good idea to learn about how car pricing works. Kelley Blue Book is an online resource that lets you search for any vehicle. And see its fair market value (used cars) or dealer invoice price (new cars). The site also gives you prices from dealers so you know where you stand before heading out on your own car-shopping journey. This can also be helpful if you’re trying to negotiate a better deal on your next vehicle. Knowing what others are paying for similar models. Will help you make a compelling case for why your offer should be accepted, too.
Don’t Get Taken Advantage Of
When you walk into a dealership. You may be bombarded with salespeople offering all kinds of add-ons, warranty packages and other upgrades. You might be so focused on getting a good deal that you’ll end up paying thousands of dollars in extra fees or buying features that will do nothing but waste your money. To avoid being taken advantage of by a pushy salesperson or pressured into buying extras you don’t need, stay focused on what kind of car price Kelley Blue Book says your vehicle is worth. If they won’t negotiate within 2 percent of that number, tell them to come back when they’re ready to make a real offer.
After Purchase Follow-Up
Every car buyer wants to get a good deal, but that doesn’t always happen. A survey by Consumer Reports showed that over 20% of new-car buyers have experienced serious problems. With their vehicle in just one year of ownership, and about half experienced some kind of issue during that time. Taking steps after you purchase your vehicle will reduce your chances of having issues. And make it easier for you to get help if problems arise. Just keep in mind that there are very few warranties and protection plans for cars. If something does go wrong. You may find yourself paying out-of-pocket fees for repairs or replacement parts—costs which can quickly add up.
The Kelley Blue Book is an invaluable resource for car buyers. By knowing how KBB prices work, you can save yourself a significant amount of money in purchasing a vehicle. Understanding Kelley Blue Book is key to getting your next new or used car at fair market value. It’s up to you whether you want to shop around and haggle with sellers, or simply get what seems like a fair deal right off the bat by using The Kelley Blue Book on your own.