How to have the best car-buying experience

BY MARTHA MAURER

Jan 23, 2014, 12:00 PM Updated: 12:00 pm

PHOENIX — Going to a car dealership easily tops my list of undesirable and uncomfortable places. It’s not because I don’t like looking at the beautiful new cars. Instead, it’s the way I feel all eyes are on me as a potential buyer that gives me a huge headache.

More than two years ago, my husband and I bought our first brand new car. This year, we opted for a previously owned SUV. Both were from a dealership. The big difference: confidence the second time around helped us have a much better car-buying experience.

Don’t leave the house without your homework

Learn everything about the vehicle or type of vehicle you’re interested in. From how much mileage it gets, to its safety ratings and all the perks it comes with and doesn’t have. If you are looking at a particular vehicle, print out its stats and photo and bring it with you. Establish communication with an agent before you show up on the dealership’s floor and make sure you are the one doing the talking and telling him or her what exactly you are looking for.

Set an amount you want to spend ahead of time

Like many major purchases, knowing what your budget is can help you stay on track and not over spend. A car is no different. Do the math at home and determine how much you can afford, whether you’re buying with cash or will be having payment. If you plan on taking a loan, look at different options available to you at banks and credit unions besides the dealership itself. Be strict with yourself and stay within your budget. Use it as a tool to negotiate down with the agent letting him know you are firm on your decision to staying within a range.

Financing vs. cash

It’s not realistic to think everyone can pay for a vehicle in cash, but considering how much more you may end up paying in interest by financing could change how you decide to purchase a vehicle. Depending on your credit, financing a vehicle can end up being more costly than paying outright. Many financial gurus explain that since your vehicle greatly devalues once you take it off the lot, you end up paying a lot more than what it’s worth in the long run when you weigh in maintenance costs and more. Consider paying for cash even if it means purchasing a newer, older vehicle, instead. You might even be able to negotiate down depending on your form of payment.

Added costs do add up

If you drive 30 miles to work each way, you should calculate how much it costs to fill up the tank to the total cost of operating a vehicle. Similarly if you drive a long distance, repairs are likely to occur and maintenance may need to be done more frequently. One way to get a better deal for a car is to negotiate routine oil changes, tire rotations and other services when you’re purchasing your vehicle. The same goes for added features such as window-tinting. Don’t forget to consider all maintenance and repair costs, not to mention, insurance when purchasing a vehicle.

Discount

In our household, we don’t purchase anything until I’m absolutely positive we have gotten the best deal possible. That means coupons, coupon codes, free shipping, rebates, discounts or points. The same applies to buying a car. Oftentimes there are added promotions you can take advantage of when buying a car. Check out the dealer’s website for posted deals. Find out if trading your old vehicle can knock off a chunk off your purchase. Does being a member of an organization or bank give you bonus discounts? Can you use points towards a purchase?

All is fair. Don’t be afraid to make it the best car-buying experience you can have by being the one who runs the transaction.