10 Tips for Car Shopping Like a Pro

Vehicle buyers who get the best deals have one thing in common—they don’t step foot onto a lot or seller website without a plan.

Here are ten tips to help you prepare for your next car-shopping trip:

1. Research the value of your trade-in.

   Don’t rely on a dealer or private seller to tell you how much your vehicle is worth. Do your research and have the number in your back pocket before you shop. Go in prepared to use it as a negotiating tool.

2. Arrange financing in advance.

   If possible, secure financing before you start shopping. Obtaining a preapproval prior to the purchase experience allows you to focus on buying a car that fits into your budget without having to worry about the financing at the same time. Whether you choose to go directly to your current financial institution or decide to compare rates with new ones, knowing what you can afford ahead of time can help you stay on top of your money.

3. Know how much you can afford.

   Since you already know how much financing you've secured and how much you can get for your trade-in, it’s time to start thinking about the total cost of the car purchase. Research not only advertised prices, but also rebates and incentive offers from both the dealership and the manufacturer. Don’t forget to add in estimated fees—like tax and license—that add to the total and will impact how much you borrow.

4. Contact the dealers.

   Email or text five to ten dealerships in your area. Clearly outline the type of vehicle you’re looking for, including key must-haves. Let them know you’re shopping around. This tactic is intended to eliminate the pressure, runaround and hidden fees, and hopefully result in two or three dealers who are willing to make a quick deal. Bonus: Going in and finalizing the purchase will be a breeze since they already know what you want!

5. Take your time.

   Buying a vehicle is a big decision. More than likely you will be living with it for quite a while. Don’t rush or you’re apt to make mistakes. In the event your situation calls for expedience, compare pricing to get the best deal.

6. Ask for an itemized offer in writing.

   Some dealers reduce the vehicle price during the negotiation and then add additional fees when they write up the contract. If you find a car you’re interested in, ask for an itemized offer that lists the sales price, taxes, registration fees and trade-in amount, plus anything else they've included. Compare this offer to those from other dealers. Make sure to compare the total price of the purchase.

7. Take a test drive—a long one.

   Driving around the block or down the street and back just isn’t enough of a quality indicator on the vehicle. Get to know this potential new member of your family. Test all the functions—pair it with your phone and drive it on terrain similar to where you drive on a regular basis: freeway, surface streets or off-road.

8. Read every word of the fine print.

   The extra time at the dealership will be worth it in the long run. In addition to watching for sneaky charges, it’s also wise to understand the deal correctly before signing. As a buyer, it’s important to ensure that you’re getting everything you discussed instead of finding out months, or even years, down the road that the contract you signed didn't accurately reflect the deal you negotiated.

9. Leave your emotions at the door.

   This one’s a little tougher—especially for car enthusiasts. It’s hard not to get excited about a car you love! But, you’ll be better off if you leave your heart out of the buying process. Consider asking a trusted friend or family member to weigh in on your selection as a neutral party. Once it’s yours, let your heart rule all it wants!

10. Be willing to walk away.

    You’ve heard it before, but it bears repeating. When we’re talking about getting the best deal on the right car, there’s a reason you make a plan. To stay within budget, use a loan calculator. If the deal isn’t right, it’s okay to say no. There are other dealers and other cars out there.

Now that you have an outline for a good car-buying plan, it’s time to start looking for your next set of wheels. Then, get ready to hit the open road!