5 Top Tips For Buying A New Car In Australia

Written By: admin on June 27, 2010 No Comment

The current economic climate is definitely taking its toll on the car sales market in Australia, as well as around the world. So why not take advantage of this unfortunate situation by purchasing a new car? Car companies and their dealerships are well aware that they cannot demand the same high marked-up prices for their vehicles, and therefore, the best time to bargain hunt in Australia for a new car is now. So where do you start?

Here are our top 5 tips to help you get the best deal possible during these tough economic times:

1. Set Your Budget
Before you jump into your car search, first you must decide the maximum amount that you are willing to spend on a new vehicle. There is always room for negotiation when it comes to car dealer’s prices, especially in Australia’s current economic climate, so you may not spend as much as you are prepared to pay, but do stick to your budget. Prepare yourself for the chance that you may have to walk away if the salesman will not take your offer, but with a bit of luck, the salesman or their manager will be calling you up in no time to meet your terms.

2. Study Up
Once you have set a budget for your car purchase, it is time to decide what cars would be within your budget (or a little over, within reason). Once you have decided upon some models and makes that you are interested in, use the internet to your advantage and do some research online. This way, when you go into an Australian dealership or speak to the vendor you are in a strong position to haggle. Look to see if there are any similar vehicles for sale elsewhere and see how the prices compare. Even if you are buying a brand new car, the dealer will have room for negotiating the price.

3. Get Serious about Buying
Australian dealerships and their salesman will work much harder if they think they are going to get a signature, so let them know you are there to buy a car if the deal is right. However, don’t come across as desperate to buy as this could reduce your chances of picking up a bargain. Try as hard as possible to play it cool, and as aforementioned, be prepared to walk away if no agreement was met- this does not mean the deal is over.

4. Get More for Your Trade
This may be the most difficult of the five steps to achieve, because even though the current recession in Australia places the buyer in the driver’s seat (no pun intended), the sellers are working at a loss majority of the time. Trading your current vehicle at the dealership is the simplest option, but it is usually the best way to get the least amount of money in return. You will definitely get more money out of your vehicle if you sell privately; however, if at all possible, the best option of all may be to hold on to your car until the market gains strength again so that you can sell with a smaller loss.

5. Shop around for finance and extras
If you are planning on financing your new vehicle, be sure to not be lured in by any attractive finance offers and stick to negotiations over the sale price instead. Do not just focus on your monthly payments, but instead focus on the cost of the vehicle over the term of the loan as well as the terms of the loan. Along these lines, do not be lured by extra incentives such as insurance coverage included or breakdown coverage, as these “extras” sometimes come with an extra amount of money over the term of your repayment as well.

So stay smart, play it cool, and be wary of extras and special deals, and you should be on your way to finding the best deal possible on your new vehicle today!