Cash is King – Those who present the dealer with cash upfront may be lucky with a private dealer who will be able to haggle to get you a price you want. If you try to haggle with a car dealership, having cash up front does not give you much leverage. Since the dealers are not making much anyway per car, most of their profit is from interest and loans on the car. To save money on the purchase of the car, you may be able to have the dealer claim a “loss”, but their profit would return from loan repayment and interest. Once you purchase your car, our experienced open vehicle transporters from Direct Connect Auto Transport can safely get your car to its destination.
Purchase Out of State to Eliminate Sales Tax – You can be lucky to save some money with a car purchase out of state, but the sales tax is configured not from the location of its purchase but from the region of registration. Those who live in cities like Boston or Philadelphia may think it’s a great idea to purchase in a suburb far away from their home and move cars back to their city. In Philadelphia, they have both a state tax and sales tax. They also pay more sales tax for living in the city then the outside towns that surround them. Some Philly residents may want to purchase in the suburbs to avoid the sales tax, only to be disappointed since you still have to pay your city’s sale tax even if the purchase was in another location. You may be able to shop around to find discounts on the actual price of the car, but you cannot save on the sales tax.
Shopping on Certain Dates – Due to this other common car buying myth, many people assume to wait for certain dates – like the end of the month. Car buyers assume that dealerships are desperate to get cars sold quickly to meet sales goals. Do not just head to any dealer at the end of the month, but focus on ones that make many transactions each month. These dealers are often more reliable and focus on the positive car buying experience and selling in large volume.
Do Not Purchase a Red Car – This has been a long car buying myth that has been known for years. People assume that due to the brighter color of the car it’s easier to be noticed by police, and red cars are more likely to be pulled over. People generally avoid purchasing red cars to avoid higher insurance, when insurance companies do not even ask for the color of the car. Insurance companies ask for the year, age and engine size, model, make and body type. If you are looking to purchase a red car, your insurance rate will not go up and Direct Connect will gladly ship it to your home with an enclosed auto carrier.
Coming Up With a ‘Final Price’ – Sure, you may have researched the same car you are looking for on a website and found it to be less expensive. The one online may have not factored in all of the costs such as sales tax, state and local tax, state license and registration fees, leasing fees and more. If you use the common buyer tactic of having a check with a final price on it, you will often not be able to walk out with the car you want. You have to factor in all of the dealership fees, and your final price may actually be higher than the price the dealership had in mind.