Are you looking to buy or lease a new vehicle? Maybe it is your first time or maybe you’re a little rusty and need some pointers to remind you. Whatever the reason may be I’ve got your back! Before you agree to anything and sign that dotted line you want to make sure you’ve asked all the right questions and have of the information you’ll need moving forward. I mean let’s be honest vehicles are not cheap and you don’t want to find yourself stuck in a contract you wish you never agreed to. So to save you from that nightmare I’m going to tell five important questions you should ask and understand before you say yes.
What other fees will I be charged?
- Up to this point, you have probably ONLY been negotiating the price of the vehicle, but there is a lot more than just the vehicle you pay for. You will be required to pay additional fees but you want to make sure they are legit
- Legit fees will include sales tax, registry costs, tire recycling fees and a documentation fee. Some dealerships will tack on additional fees as a way to build profit. Make sure you find out about ALL of the fees and see if you can avoid any of them.
Has the vehicle been damaged?
- Even though you might be buying a new vehicle they come a long way to end up on the dealerships lot. Shipping cars can lead to dings, scrapes/ scratches, etc.
How many miles are on the vehicle?
- Yes, you might be buying a new vehicle so ideally there won’t be a lot of miles on the vehicle right? Well, we hope, But in some cases, the car might have gone on a lot of test drives or is a "dealer trade," meaning the dealer traded another car for it and it's been driven in from another dealership. If there are more than about 300 miles on the car, you need to negotiate a lower price.
- If the car has been on the lot for a while or has a few hundred miles on it, you might want to ask for an “in-service date” of the vehicle. The in-service date is when the warranty begins, and it is important to know how much coverage you have.
How much is the documentation fee?
- This is a universal fee that dealers charge you for filling out the contract, basically. But what isn’t universal is the price they charge! Some states cap the doc fee, usually at a price below $100. Other states don't regulate the doc fee, so it can be as much as $600.
- Make sure you ask about the doc fee before getting to that step.
Have any aftermarket features been added on?
- Along with optional equipment installed at the factory by the automaker, some dealers will add on extras like tinted windows or auto recovery systems. These may have been included in the price of the car without you knowing it, so ask about them and review your contract carefully.
- Add-on fees can be negotiated just like car prices can. See if you can get the original MSRP of the vehicle and use that to negotiate.
