Buying Negotiating

Whether you are buying a used vehicle from a dealer or a private party, let them know you have the cash in hand (or financing arranged) to make a deal on the spot. Preface your offer with a statement like, "I'm ready to make a deal now. I can give you cash (or a cashier's check) now. But we need to talk about the price."

At this point, you need to have a persuasive argument about why the price is too high. So let's talk about pricing. The foundation of successful negotiation is information. This is particularly true when buying a used vehicle. And yet, the condition of used cars means prices will vary widely.

Dealers have lots of experience negotiating. Most private parties do not. Therefore, buying a used vehicle from a dealer or a private party will be two very different experiences. But there is one overriding similarity — they both want to sell the vehicle. In fact, the incentive to sell the vehicle might be greater to the dealer than to the private party owner.

You should, however, follow these guidelines when negotiating:

• Only enter into negotiations with a salesperson you feel comfortable with
  
• Make an opening offer that is low, but in the ballpark
  
• Decide ahead of time how high you will go and leave when your limit's reached
  
• Walk out — this is your strongest negotiating tool
  
• Be patient — plan to spend an hour or more negotiating
  
• Leave the dealership if you get tired or hungry
  
• Don't be distracted by pitches for related items such as extended warranties or anti-theft devices

At a dealership expect a "closer" (another salesman you've haven't previously dealt with) to try to improve the deal before you reach a final price.