New car quotes are rarely set in stone. There is almost always room to negotiate car buying with the dealer, especially with new cars. Most dealers are able to go lower than the invoice price on the sticker. Here’s what you need to know.Kelley Blue BookBefore you go to the dealership to drive your dream car, do some research on it first. You should check the car manufacturer’s website to see what the car is retailing at per their suggestion. Remember that the price can vary depending on the options and package you choose. Kelley Blue Book is another good source to find average car pricing. You just input the make, model, year and any add on’s the car may have to find the market price.
Dealer or Factory Invoice PricingA dealer proudly displays their sticker on the window of every new car. Most of us will look at the bottom line and base our negotiation on this. You can save some money by just knowing what you are looking at. Just because the sticker on the car, even if provided by the manufacturer, displays an invoice price, this is rarely the price the dealer has actually paid for the car. Several years ago the manufacturers started to include dealer holdbacks. This is basically a certain percentage added on to the real invoice. The dealer really will pay this amount, but the manufacturer will then release this money back to the dealer later. There is no way to know what the holdback on the vehicle is, but most experts will tell you to expect it to be between 2% to 3%. Keep this in mind when you start your negotiation. ExtrasIf you decide you want the aftermarket stereo system, special tow package and anti-theft system you can expect to add several thousand dollars on to the price of the car. You are much better off doing this stuff to your car after you’ve driven it off the lot. Check the invoice carefully too so you can ensure you aren’t paying for a package that you won’t use.The make and model of the car you are looking at will determine what the price will be. You can do some basic research before you walk in to the dealership, and understand how to negotiate to get the best new car quote possible.