Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Any tips on buying a new car (online)?
Old 11-23-2010, 06:27 PM   #1
Full time employment: Posting here.
Lusitan's Avatar
 
Join Date: Jan 2006
Location: Boston
Posts: 620
Any tips on buying a new car (online)?

I'm looking to pick up a Honda or Toyota minivan in the near future, been thinking I'd skip the whole haggle-with-the-dealer thing (both because I'm pressed for time and because I dislike it) and just go with carsdirect.com or some other online car-buying service.

Any advice, or experience good or bad with any of those places?
__________________

__________________
Lusitan is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 11-23-2010, 06:51 PM   #2
Thinks s/he gets paid by the post
73ss454's Avatar
 
Join Date: Oct 2004
Location: LaLa Land
Posts: 4,378
First of all don't use a buying service. That will just add to the cost as you have to pay another person. Pick out the car you want and concentrate on buying that car. I'd deal with the internet manager at the dealers and use a few of them. Once you agree to buy the car and have it in writing you can go pick up the car. There is no need to buy anything else. The only item I'd tell you to consider is the warranty if it is from the manufacturer of the car you choose. Don't buy any other type of warranty.

You can take the car and shop for the warranty on the internet. Many dealers sell them at reduced prices there and you can buy one and not have to pay any tax on it if it's from and out of state dealer.

Good Luck!
__________________

__________________
73ss454 is offline   Reply With Quote
Old 11-23-2010, 08:07 PM   #3
Recycles dryer sheets
 
Join Date: Jun 2008
Posts: 63
Email several dealers in your area and have them email you back with their best no haggle price, lowest dealer wins your business. Simple as that.
__________________
Democracy will cease to exist when you take away from those who are willing to work and give to those who are not. - Thomas Jefferson
tsturbo is offline   Reply With Quote
Old 11-23-2010, 08:15 PM   #4
Recycles dryer sheets
heyduke's Avatar
 
Join Date: Aug 2009
Posts: 348
okay bought our last camry online... saw it on a web site and did my research (edmunds is a good site) and when I determined what was a fair price I made a cash offer... dealer said when do you want to test drive it? I said I don't need too it is a camry....

long story short my offer was good for 24 hours! Dealer called (it was an audi dealer that got the toyota on a trade in) and said deal... I said okay but only if you deliver it to me

I live 100 miles away and they said okay of I wire the money in... checked out the company with BBB and the internet... wired the money... they drove two cars up to deliver mine... we signed the papers on the hood of the car and we owned a camry... still have it three years later...

good luck!
__________________
I am FIRE'd... :)
contract on the house, bought an RV and now traveling across America
heyduke is offline   Reply With Quote
Old 11-23-2010, 08:18 PM   #5
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
REWahoo's Avatar
 
Join Date: Jun 2002
Location: Texas Hill Country
Posts: 42,134
Quote:
Originally Posted by heyduke View Post
...we signed the papers on the hood of the car and we owned a camry... still have it three years later...
But now you've gotta sell it because it makes a lousy toad...
__________________
Numbers is hard

When I hit 70, it hit back

Retired in 2005 at age 58, no pension
REWahoo is offline   Reply With Quote
Old 11-23-2010, 09:02 PM   #6
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Gone4Good's Avatar
 
Join Date: Sep 2005
Posts: 5,381
Quote:
Originally Posted by tsturbo View Post
Email several dealers in your area and have them email you back with their best no haggle price, lowest dealer wins your business. Simple as that.
Did this when we we're buying our RV. I was surprised how similar the quotes came back and how much higher they were than what I ultimately paid (and what I thought was fair). Somehow all the dealers seemed to know what the right "no haggle" price was for an initial quote, but then most reconsidered when they were told they weren't getting the deal.
__________________
Retired early, traveling perpetually.
Gone4Good is offline   Reply With Quote
Old 11-23-2010, 09:06 PM   #7
Thinks s/he gets paid by the post
 
Join Date: Jan 2006
Posts: 2,933
Once you've decided exactly what car and options you want (as mentioned earlier, Edmunds.com is good site), go to the manufacturer's website.
You generally can e-mail your request for quotations to a number of dealers in your area from that site. Takes a few minutes to compose your letter in the beginning but then you can copy and paste to generate the letters for all the rest so it goes pretty fast. You could probably generate RFQs for 15-20 dealers in 30 min or so. You probably will get your first responses in an hr or two and the majority of the rest in a couple days. No fuss or haggle. Request a quote for an out-the-door price and ask them to itemize the quote so you know where the costs come from. You could ask for quotes for dealers within an hrs. drive if you're willing to go that far.......sometimes you can use those quotes to get a dealer who is closer to come down a bit.

You can use the Edmunds true market price feature to get a good idea of what to expect from the quotes.

If you visit a local dealer to test drive the car, you might want to ask for the internet sales guys there. I got in some trouble once because I just used a regular salesman for that and then they didn't know how to divide the commission between the regular salesperson and the internet dept.

Definitely more fun doing it this way isolated at home than in a salesman's office.
__________________
kaneohe is offline   Reply With Quote
Old 11-24-2010, 05:12 AM   #8
Recycles dryer sheets
keegs's Avatar
 
Join Date: Oct 2010
Location: In a van down by the river
Posts: 407
Even if you're confident in the quality of the manufacturing, If' you haven't already done so, I'd take each for a test drive. There may be something about the vehicles that will persuade you to buy one or the other.

I recently heard something on "Car Talk" about used cars coming off lease that I hadn't considered and it was that these cars sometimes don't get the care they need e.g. they don't have their oil changed. If you're buying used be careful.
__________________
keegs is offline   Reply With Quote
Old 11-24-2010, 06:00 AM   #9
Recycles dryer sheets
heyduke's Avatar
 
Join Date: Aug 2009
Posts: 348
Quote:
Originally Posted by REWahoo View Post
But now you've gotta sell it because it makes a lousy toad...
lol,
true but it is a camry so not too worried about selling it
__________________
I am FIRE'd... :)
contract on the house, bought an RV and now traveling across America
heyduke is offline   Reply With Quote
Old 11-24-2010, 07:20 AM   #10
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
RunningBum's Avatar
 
Join Date: Jun 2007
Posts: 5,193
Another way to do it, besides the "all at once" approach, is to contact one dealer that you know has a good rep for prices and ask for their best "no haggle" price. Then go to other dealers, and tell them you have that price in hand from a local dealer, and ask what can they offer to make it worth your while to go to them.

Be specific about all of the options, and the color if that's important to you, and that they offer the turn-key price. Then when you choose one, make sure the car is exactly what you asked for, doesn't have excessive miles, etc. Tell them before you come that you're bringing a check for the agreed amount and you will walk if there are extra charges tacked on.
__________________
RunningBum is offline   Reply With Quote
Old 11-24-2010, 08:06 AM   #11
Thinks s/he gets paid by the post
 
Join Date: Nov 2006
Posts: 2,268
I agree with most of these responses. I just wanted to add that your target should be about $1200 below Edmunds' "true market value" price. The true market value price is the average price of all of that type of vehicle sold in your area, but you can beat it if you try. In the past 4 years, Ive bought an Accord and a Maxima both around $1100-$1200 below the TMV.
__________________
utrecht is offline   Reply With Quote
Old 11-24-2010, 09:08 AM   #12
Dryer sheet aficionado
 
Join Date: Oct 2006
Posts: 36
There was a good discussion on buying a new car, on the FatWallet site a couple of weeks ago:
How to buy a new car, FWF style
__________________
bdk is offline   Reply With Quote
Old 11-24-2010, 09:14 AM   #13
Dryer sheet aficionado
 
Join Date: Oct 2006
Posts: 37
In my opinion, you will always get the best price by negotiating in person. Research as much as possible, including incentives and the holdback. Beware of "paperwork" charges and any "dealer installed options" - these are pure profit items. I have typically allowed for $100 for "paperwork" and always had an "out the door" target price - this includes tax. Be prepared to go back several times and go to a couple of dealers if they are within reasonable driving range.

Quote:
Originally Posted by Lusitan View Post
I'm looking to pick up a Honda or Toyota minivan in the near future, been thinking I'd skip the whole haggle-with-the-dealer thing (both because I'm pressed for time and because I dislike it) and just go with carsdirect.com or some other online car-buying service.

Any advice, or experience good or bad with any of those places?
__________________
leyland is offline   Reply With Quote
Old 11-24-2010, 09:40 AM   #14
Full time employment: Posting here.
Lusitan's Avatar
 
Join Date: Jan 2006
Location: Boston
Posts: 620
Thanks for the responses -- the Fat Wallet write up is pretty good, I'm reading through it now.

Here's another basic question -- when you're buying car "in cash" ... what do you do, pick up a cashier's check once you've determined the final amount? Presumably the dealer is not going to accept a check from my Vanguard account ...
__________________
Lusitan is offline   Reply With Quote
Old 11-24-2010, 09:44 AM   #15
Dryer sheet aficionado
 
Join Date: Oct 2006
Posts: 37
I have written personal checks several times for cars and drove them off- didn't seem to be much of an issue. They knew where I lived and I didn't get the title until several weeks later.

Quote:
Originally Posted by Lusitan View Post
Thanks for the responses -- the Fat Wallet write up is pretty good, I'm reading through it now.

Here's another basic question -- when you're buying car "in cash" ... what do you do, pick up a cashier's check once you've determined the final amount? Presumably the dealer is not going to accept a check from my Vanguard account ...
__________________
leyland is offline   Reply With Quote
Old 11-24-2010, 10:43 AM   #16
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Sep 2005
Location: Northern IL
Posts: 18,288
Quote:
Originally Posted by bdk View Post
There was a good discussion on buying a new car, on the FatWallet site a couple of weeks ago:
How to buy a new car, FWF style
Quote:
Originally Posted by utrecht View Post
I agree with most of these responses. I just wanted to add that your target should be about $1200 below Edmunds' "true market value" price. The true market value price is the average price of all of that type of vehicle sold in your area, ...
I just found this "True Car" pricing - similar to TMV, but a lot more detail. It gives you the average, "good" and "great" prices for your locality, and a nice bell-shaped distribution curve. And they also have a 'history' tab, so you can see just the recent average prices (which could change due to end-of-year etc).

2011 Hyundai Santa Fe Pricing - Compare Costs and Similar Car Prices - The Car Connection

Opinions?

Quote:
Originally Posted by Lusitan View Post
Thanks for the responses -- the

Fat Wallet write up is pretty good, I'm reading through it now.

Here's another basic question -- when you're buying car "in cash" ... what do you do, pick up a cashier's check once you've determined the final amount? Presumably the dealer is not going to accept a check from my Vanguard account ...
I will read through the FW also.

As far as checks, I've given dealers personal checks for the entire amount. No issue at all. I sure wouldn't do it myself, but I guess they do have enough protection, and I have to assume they know what they are doing.

-ERD50
__________________
ERD50 is offline   Reply With Quote
Truecar.com
Old 11-24-2010, 01:10 PM   #17
Thinks s/he gets paid by the post
 
Join Date: Apr 2006
Posts: 1,487
Truecar.com

Truecar.com will find you a truely low price (you specify model, color etc.) and give you the name of three dealers (in exchange for your name, address etc.) you can then use the "best local price", finding dealers who will match that. i recently purchased a new car using that approach, did all the "bargaining" by e-mail. got exactly what i wanted at an incredibly low price.
__________________
d is offline   Reply With Quote
Old 11-24-2010, 02:10 PM   #18
Full time employment: Posting here.
Lusitan's Avatar
 
Join Date: Jan 2006
Location: Boston
Posts: 620
Quote:
Originally Posted by d View Post
Truecar.com will find you a truely low price (you specify model, color etc.) and give you the name of three dealers (in exchange for your name, address etc.)
Yeah, I've been wary about giving out any personal information, I mean, I don't mind address but the last thing I want is car salesmen calling me. I have noticed many sites have the gall to require phone numbers to give a price quote. Seems pretty stupid to me, but what do I know, I don't buy a new car very often.
__________________
Lusitan is offline   Reply With Quote
Old 11-24-2010, 02:13 PM   #19
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
REWahoo's Avatar
 
Join Date: Jun 2002
Location: Texas Hill Country
Posts: 42,134
Quote:
Originally Posted by Lusitan View Post
Yeah, I've been wary about giving out any personal information, I mean, I don't mind address but the last thing I want is car salesmen calling me. I have noticed many sites have the gall to require phone numbers to give a price quote. Seems pretty stupid to me, but what do I know, I don't buy a new car very often.
I have real difficulty in giving out my phone number to these sites without transposing a couple of digits...
__________________
Numbers is hard

When I hit 70, it hit back

Retired in 2005 at age 58, no pension
REWahoo is offline   Reply With Quote
Old 11-25-2010, 08:10 PM   #20
Dryer sheet aficionado
 
Join Date: Aug 2010
Location: Murray
Posts: 28
Quote:
Originally Posted by 73ss454 View Post
First of all don't use a buying service. That will just add to the cost as you have to pay another person. Pick out the car you want and concentrate on buying that car. I'd deal with the internet manager at the dealers and use a few of them. Once you agree to buy the car and have it in writing you can go pick up the car. There is no need to buy anything else. The only item I'd tell you to consider is the warranty if it is from the manufacturer of the car you choose. Don't buy any other type of warranty.

You can take the car and shop for the warranty on the internet. Many dealers sell them at reduced prices there and you can buy one and not have to pay any tax on it if it's from and out of state dealer.

Good Luck!
Has anybody bought a used car online? Looking for a used car 2008 or 2009 Toyota Camryor Honda Accord. Just starting the car buying process. I dislike haggling with car salesmen. My wife would want to consider 2008 or 2009 Toyota Rav4 or Honda CRV.
__________________

__________________
Watertree is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Hybrid Car Buying Tips / Blessing? msbearkeley FIRE and Money 33 01-27-2008 09:04 PM
Who's buying 5-year TIPS this month ? JohnEyles FIRE and Money 3 04-09-2007 07:02 PM
buying software online Martha Life after FIRE 12 01-12-2007 12:51 PM
Financing a car/car buying advice usc_et Young Dreamers 14 11-01-2005 11:59 AM

 

 
All times are GMT -6. The time now is 02:20 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.