The used car buying strategy that works the best involves connections. Everything around you is run by connections. When you apply for a job, get a loan, do some governmental paper work of any kind, even in the emergency room… connections make things run. But don’t worry, you don’t need to have a close relative or a friend working as dealer to use this used car buying strategy. You can just approach some dealers with your proposal and compare their fees to pick the best deal on the car of your dreams. But first things first. Here is the strategy in a step by step format
1. Locate the nearest government auto auction to your city. This is where the dealers get their cars from.
2. Decide what is the car of your dream, do your research about it, find the lowest price of the car (usually it is the trade in value in Kelly blue book) and make this your maximum bid on the car.
3. Find a bunch of used car dealers in your area and approach them with this proposal How much do you charge me to come with me to the auto auction to buy this certain car for me Some might refuse to go with you and some will give you an estimate of the fees.
4. Compare the offers you get from the car dealers and negotiate based on the lowest offer you got. Once you have chosen the dealer make your calculations. Add up your maximum bid, the dealers fee, the auction fee (around $40-60), and this will be the price of your car. If you think you have a deal go ahead.
5. In the auction, make your choices, examine their bodies, test drive them (with the dealer), then let the dealer know of your final choice and the maximum bid you have for this car. It will be better if you have more than one choice so that if you lose one you still have the chance to get the others. You’ll be charged for the trip anyway, so don’t get back empty handed.
6. The rest is the dealers job. He will bid on the car and once he wins it he will do the proper paper work for you to drive your car home.
And that’s it. You are done. You’ve got the car of your dreams for an extremely low price because you spent a couple of days planning and buying it instead of just going to the dealership and buy the same car from their lot.