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Tips on Buying Cars/which price negotiate first?


When leasing a car, is it better to first negotiate the price of the trade-in or first get a price on the new car? Or does it not really matter? I'm guessing if they give you a great price on the trade-in, they'll offset it by not giving as good of a price on the new car, and vice versa.  Thanks

Hi Lee
When negotiating a purchase or a lease it is ALWAYS BEST to not have a trade because you did the smart thing and sold it yourself on craigslist. If you are intent upon leaving 2-3k on the table then the real answer is that it doesn't matter because if you negotiate price first and then spring the trade on the dealer afterwards then it he is going to offer you less than you think the car is worth because you will have used up all of the 'feel good' money by grinding the price down. As long as you have a trade then the dealer has all he needs to protect his profitability on the deal ...with leases he will also have the money factor he can write up and most people don't know how to convert the money factor to an actual interest rate equivalent...the only break from this danger is to find a car with a subvented special money factor which usually can't be marked up at all.

Sell your trade me its the smart thing to do. Leasing can be confusing unless you are on the ball you can get your head handed to you very quickly and not even know it. Do the math yourself before going to the dealer and never negotiate the terms of the deal while you are sitting in the showroom ...that's why we have smart phones and the internet.

Ask as many follow ups as you want I am with you on this all the way  

Tips on Buying Cars

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Roger Alvey


I can answer any question about the car buying process. I am a recognized industry expert on all issues regarding auto finance, including sub prime and buy here pay here financing, I can answer questions about car lock out systems, GPS monitoring by your bank, and about auto recovery methods and defenses. I am a 20 yr car industry expert and can tell you what to look for in a used car, how to negotiate the deal, help with how to market your own car, and how to negotiate with the internet department of any car store. I can tell you every single way the dealer is set up to beat you and how to avoid those traps, I can discuss all aftermarket and extended service contract products you will be offered in the finance process, I have lectured extensively on "The Best Way to Buy a Car" to civic groups and university students. I am a credit expert and can tell you what the dealer and banks are looking for and the rate you can expect to pay. HERE IS THE LINK TO MY OTHER ALLEXPERTS CATEGORIES WHERE I HAVE ANSWERED LOTS OF QUESTIONS HERE IS A LINK TO MY BLOG


20 years industry experience in top management of dealerships and dealer groups. Recognized industry expert since 2004 in the Top 10 industry experts for The Gerson Lehrman Groups Auto Industry Council. I also do consulting work for Atheneum Partners, Expert 360, Expert Connect and Coleman Research. I have been a franchise owner and understand all facets of the auto industry from the time the car leaves the factory until it leaves the lot with it's new owner. I have written training materials for both the prime and the subprime sales and finance process.

NADA, OADA, NFIB, State Certified Used Car Appraiser

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Willamette University - Salem Oregon BA Economics Willamette University Graduate School of Business - Econometrics Statistics

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GM's Award of (their most prestigious award) Given to Dealers who surpass their annual benchmark planning volume while also maintaining Top Box (top 5%) CSI

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