Car Buying; Price Negotiation

Price Negotiation goes back to your Grandparents telling you to never pay sticker! Many like to Negotiate Price and many customers hate this part of buying a car. Would you like some tips from an Auto Insider on Price Negotiation?

Price Negotiation is where a customer wants to get a car for the lowest price possible and the Car Salesman wants to close the deal at the highest price possible. First, we must discuss why a Car Salesman wants to sell a car for the highest price possible. It all comes down to one word, Gross! Gross Profit is the margin between cost and price sold. If you sell a car for $10000 and the cost is $8000 then this means the salesman has a $2000 Gross Profit. Guess What? Gross Profit is how a salesman gets paid. Most dealerships pay 25-30%. 30% of $2000 is $600 dollars. Now if you Price Negotiate a little more, it cuts into the salesman's commission, but gets you a better price. Remember, Profit is not a dirty word so don't get mad at the salesman, that's their job!

Price Negotiation has become one of the easiest things to overcome because of the all powerful Internet. How would you like to know the price before ever stepping foot into a dealership? Get quotes from Yahoo! Autos and know you are getting the best price. Here is how it works. You follow the link, put in your zip, pick your car, put a little contact info, select ALL Dealers, Dealers fight for your business. When I say they fight for your business, you will be amazed at the first offers. Like I say, Price Negotiation has become too easy.

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