Thursday, November 13, 2008
Smart Shopping: Buying a Car
If you're thinking about buying a new car before you head out to the showroom, Seven's Reed Cowan is showing us how to drive off with the best bargain in today's Smart Shopping.
WSVN -- Timing is everything when shopping for a car. Consumer Reports says go for the end sales, end of the year, end of the car model year or end of the month.
Cliff Hiott: "They had a great promotion going, gave me a lot of incentives, $5,000 back on signing and the whole nine."
Savvy shopper Cliff Hiott recently purchased his new wheels.
Cliff Hiott: "I got a great deal on it. I think they bent over backwards for me."
Cliff says to land a money saving deal he did his research.
Cliff Hiott: "I actually went into a couple different dealerships. It was like a six-month process of me deciding what I was going to buy."
Craig Zinn owns several dealerships in South Florida, and says smart shoppers need to know whether to buy or lease.
Craig Zinn: "If you drive a lot don't lease, and if you do lease and drive a lot then calculate the high mileage cost in and guarantee a future value."
Knowing the cost of ownership is also important.
Craig Zinn: "Cost of ownership is what your monthly payment is, how much money you put down, your taxes, your cost of fuel, your cost of insurance."
Reed Cowan: "Now it's time to negotiation the price first. Never go by the sticker price. Start negotiating at four to eight percent over what the dealer paid or the wholesale price. Once you've secured a number, discuss your trade-in."
You should know the value of your trade-in. Kelley Blue Book lets you calculate it on-line, and keep in mind your biggest savings is going to come down to your finance package. Investigate interest rates at several banks and credit unions before checking with the dealer.
Cliff said, in the end, the dealer offered him the best price.
Cliff Hiott: "They helped me out a lot with their finance department on how many years it would be, how much more it would be if I extended it two years."
FOR MORE INFORMATION:
The Craig Zinn Automotive Group
Kelley Blue Book