How To Buy a Car

Buying a car, whether it’s a first-time purchase or not, can seem like a daunting task. You’ve probably seen your share of car commercials on TV and recall hearing phrases like “down payment” and “APR.” Although some of the terminology may seem confusing, once you break it down, buying a car is pretty straightforward. There is certainly a lot of information you need to understand before you run off to your local dealership. But once you know what the acronyms mean and how financing works, you’ll be ready to get the best possible price on the car you’ve chosen.

We’ll teach you to be relaxed, positive and patient, not paranoid and confrontational when you buy a car. Our visitors tell me they were informed, relaxed and confident, and got good new car purchase deals after reading this car buying guide. We’ll help you feel positive about car buying, making it easier for the salesman to sell the car, if they are willing to make a fair deal.

Consider these suggestions:

Check publications at a library or bookstore, or on the Internet, that discuss new car features and prices. These may provide information on the dealer’s costs for specific models and options.

Shop around to get the best possible price by comparing models and prices in ads and at dealer showrooms. You also may want to contact car-buying services and broker-buying services to make comparisons.

Plan to negotiate on price. Dealers may be willing to bargain on their profit margin, often between 10 and 20 percent. Usually, this is the difference between the manufacturer’s suggested retail price (MSRP) and the invoice price.