Used car negotiations

• justincredible

  

  Any tips?
  
  I've never bought a used car from a dealership so I really have no idea where to start. I've got my eye on two Outbacks at two different dealerships (Columbus and Louisville). Both are the same year, one is the base model, the other is the Limited model. The base has 88k miles, the Limited has 69k miles. Prices are very similar but I feel that both are too high. I have test driven the base model and liked it. Does the fact that I have two of basically the same model help me in negotiations? It seems like it would. Also, does the fact that both are creeping up on 100k miles give me leeway since they will both need timing belts replaced within the next year? That's a $1000+ service.
  
  I was originally gauging price based on KBB and NADA but found out about Edmunds TMV today while doing some research. The TMV is quite a bit lower than KBB and NADA which a lot of people say are inflated anyway.
• TedSheckler

  

  Paying cash or are you financing?
• justincredible

  

  TedSheckler;1584069 wrote:Paying cash or are you financing?

  Financing through USAA. But once I sell my truck I'll be putting that cash towards the loan.
• TedSheckler

  

  justincredible;1584071 wrote:But once I sell my truck I'll be putting that cash towards the loan.

  Well that doesn't help when negotiating.
  
  How long have the cars been on the lot? If they've been there a while, they will want them moved more urgently.
  
  Is financing all done? Already approved, etc.?
• Trimmer36

  Another source to compare prices and autos available etc.----autoguide.com
• Belly35

  

  Demand a carfax. Nothing less than a carfax.
  If the dealer does what to do a car fax ....at their cost Walk away
  
  have them both do your credit check before you make a final offer... Better the credit score the better you have to negotiated ... Make the offer if they say no ...mention that you have a great credit score and they don't want to see me walk...
• justincredible

  

  TedSheckler;1584073 wrote:Well that doesn't help when negotiating.
  
  How long have the cars been on the lot? If they've been there a while, they will want them moved more urgently.
  
  Is financing all done? Already approved, etc.?

  I think both have only been on the lot for a few weeks. Not sure what the typical used car life is on lots.
  
  Financing isn't done but it definitely won't be a problem to get it. Would it be helpful to finance through the dealer and not tell them that I plan on putting 9-10k towards the loan in the matter of a few weeks?
• justincredible

  

  Belly35;1584075 wrote:Demand a carfax. Nothing less than a carfax.
  If the dealer does what to do a car fax ....at their cost Walk away
  
  have them both do your credit check before you make a final offer... Better the credit score the better you have to negotiated ... Make the offer if they say no ...mention that you have a great credit score and they don't want to see me walk...

  Both cars had free carfax reports available through the website. Both are clean.
• justincredible

  

  Trimmer36;1584074 wrote:Another source to compare prices and autos available etc.----autoguide.com

  Thanks, I'll check it out.
• gerb131

  

  Wanna borrow the wife? Her negotiboobsating skills are great lol
• justincredible

  

  gerb131;1584143 wrote:Wanna borrow the wife? Her negotiboobsating skills are great lol

  I'm gonna need to see what's under the hood first.
• gerb131

  

  justincredible;1584144 wrote:I'm gonna need to see what's under the hood first.

  Of course goes without saying
• Ironman92

  

  I've noticed over the last few years that with all the online pricing.....they won't come down much at all....but the competitive pricing keeps the price pretty good.
  
  Find what you like....but don't expect them to come down much at all.
• jmog

  Honestly, and this sounds counterintuitive, but you have to leave after negotiating the first 'night'.
  
  Both times I have bought a used car from a lot, I gave my offer and when they said they couldn't do that I politely got up and left, and said that I would find some other place that could.
  
  In both cases I got a call the next day offering me the car for exactly what I said the night before.
  
  Also, negotiate total price, used lots will try to talk to you/sell you a monthly payment. If you make a statement like "I don't want that much of a payment" they will sell you the car for the same price but make the payments longer.
• dlazz

  Used car prices jumped a lot when they did the gas guzzler swap thing a few years ago.
  
  You can probably talk them down a bit since I'm fairly certain car dealers make the most money on used cars vs new cars.
  
  Don't tell them what you want to pay monthly.
  
  What dealer is it in Columbus?
• Ironman92

  

  Yeah....they all insist on that monthly payment and assume you are stupid.
  
  "Yeah we can go $450 for 36 months is our limit and we aren't going more than 36 months"
  
  Great news..... We got it down to $428 for 48 months or $459 for 42 months. KISS OFF
• Terry_Tate

  

  Telling them a payment is fine as long as you tell them how many months. I bought a beater car to drive a few years ago and told them I wanted to do $150 a month for 36 months, see if you can make it happen and got it for 145 a month. I just plugged into an amortization schedule what I wanted to pay over 3 years at a good interest rate and used that. Worked out pretty good for me.
• justincredible

  

  dlazz;1584173 wrote: What dealer is it in Columbus?

  Dave Gill Chevy.
  
  I am definitely not negotiating on monthly payment. The only number that matters to me is the "out the door" total price.
• rydawg5

  A dealer payed X for the used car. They may have made Y repair costs to get it lot ready. These are both numbers you have no idea about, because trade in's vary depending on the situation. Unless they give you a print out of the manager's copy of the used list and "what they have in it" - It'd be impossible to know what a "good" deal is.
  
  You can ask to see the number and just say $900 is a fair profit on top of all costs, are you okay with that? A good dealer would take it.
  
  Some dealers are sunk into a car from a deal they shouldn't have taken, and sometimes they list it at a slight loss because the auction prices suck so bad. They'd rather dump it in an auction if it's not a money-maker or a financing car.
  
  The best thing to do is drive both and figure out which one you like. Then decide what is fair to you and see if that number is doable.
  
  Saving $500 more dollars on a car you hate in 8 months doesn't mean you won.
• superman

  jmog;1584166 wrote:Honestly, and this sounds counterintuitive, but you have to leave after negotiating the first 'night'.
  
  Both times I have bought a used car from a lot, I gave my offer and when they said they couldn't do that I politely got up and left, and said that I would find some other place that could.
  
  In both cases I got a call the next day offering me the car for exactly what I said the night before.
  
  Also, negotiate total price, used lots will try to talk to you/sell you a monthly payment. If you make a statement like "I don't want that much of a payment" they will sell you the car for the same price but make the payments longer.

  This is what you really need to know. Figure out what you want to pay, walk if they don't meet it.
• rydawg5

  superman;1584184 wrote:This is what you really need to know. Figure out what you want to pay, walk if they don't meet it.

  That doesn't even make sense though. Swap out "car" for "phone". Walk into Bestbuy and say you want an Unlocked Iphone 5s for $300 instead of $699. Threaten to walk. If it's not profitable you walk.
  
  You have to be intelligent about it.
  
  Find a car you love. Research what the typical cost is. Drive it because if it's used, you have no idea how it was treated prior. Buy what you like knowing you are buying a car for long term enjoyment instead a $500 "deal"
• Big_Mirg_ZHS

  

  justincredible;1584144 wrote:I'm gonna need to see what's under the hood first.

  It's a v8 with GREAT trunk space.
• se-alum

  

  jmog;1584166 wrote:Honestly, and this sounds counterintuitive, but you have to leave after negotiating the first 'night'.
  
  Both times I have bought a used car from a lot, I gave my offer and when they said they couldn't do that I politely got up and left, and said that I would find some other place that could.
  
  In both cases I got a call the next day offering me the car for exactly what I said the night before.
  
  Also, negotiate total price, used lots will try to talk to you/sell you a monthly payment. If you make a statement like "I don't want that much of a payment" they will sell you the car for the same price but make the payments longer.

  I agree, just be willing to walk away, and make sure you let them know you will. I go by the thought process that you can always find a better deal, though it may take a little time. Also, let them know that you have a good deal lined up somewhere else, but you liked this one better, and it's your preference, but only for the right price. Let them make the decision of whether or not they're going to risk losing you to this other "deal".
• se-alum

  

  rydawg5;1584185 wrote:That doesn't even make sense though. Swap out "car" for "phone". Walk into Bestbuy and say you want an Unlocked Iphone 5s for $300 instead of $699. Threaten to walk. If it's not profitable you walk.
  
  You have to be intelligent about it.
  
  Find a car you love. Research what the typical cost is. Drive it because if it's used, you have no idea how it was treated prior. Buy what you like knowing you are buying a car for long term enjoyment instead a $500 "deal"

  Apples to Oranges. You don't negotiate prices at a box store, of course they're going to let you walk, not to mention they'll have someone else come in and buy said phone very soon after that. Vehicles are a different animal, as they have more to lose the longer the vehicle sets on the lot. Even if they're already underwater on a car after a bad trade-in deal or something, they'd still rather cut their losses and move the vehicle, assuming the deal isn't nonsensical.
• TedSheckler

  

  justincredible;1584088 wrote:Would it be helpful to finance through the dealer and not tell them that I plan on putting 9-10k towards the loan in the matter of a few weeks?

  That won't matter. If you finance though a dealer, your loan will still be through a bank.
  
  I just bought a used CR-V a few weeks ago. I gave them a number that I wanted out the door. It was $1500 under what they had it listed as. They came down to $200 above my out the door number, they threw in a free tank of gas and free lifetime car washes at the dealership. I agreed to it.
  
  The ball was in my court though. I was willing to walk and I was paying cash.