Originally Answered: Buy a car cash? Problems?
I love negotiating. Depending on the car's make, model, condition, and year, you can negotiate the price. Go to Kelly Blue Book to find out the value of the car - www.kbb.com. You must be sure of the condition of the car and the features it includes; this will show you the value of the car currently. It might behoove you to print this page out with all of the specifications to show to the person selling the car to help your case (assuming the sticker price is higher than the blue book value). Since you have "cash-in-hand" you will be able to negotiate much further than someone who comes in with a credit card, $1000 down or wants a finance plan. If the person selling the car is a dealer, it is easier to get a good deal because they have more money to work within their business. If it is sold by a private person, it may be a little more difficult since most private sellers want what the sticker price is. Be careful though, there are hidden prices attached to buying a car like tax, title and license - so at your price point, it may be a little more difficult to get them to come down that low. You could get away with it most likely if you offered full price or as close to it as possible and ask them to pay the TT&L. See if they will let you go on a payment plan at 0% interest for 3 - 6 months to pay off the difference. Generally, I would say don't put it on any kind of payment or finance plan, so you might want to think about saving up a little more for the car first. So here are my suggestions as to how to deal with the person selling the car:
If the person selling the car is a dealer:
1. Take a look at the car, but don't act too interested. If the sales person sees this, even in your voice or facial expressions, they will hammer you to get the sale at full price. Make the sales person do all the work. *This goes for a private seller as well.
2. If you say I will think about it and will meet with them in a few moments about the car.
3. Go in to talk with them and ask them what the best deal is that they can give you on the car. They will usually either say the sticker price or maybe a couple hundred less than that. *This is not the lowest price that they can give you, even though they say that.
4. Tell them you are looking for a deal and that the one they presented is "Not good enough." They will then ask you what they need to do to close the sale (if that sales person cannot do better, ask for the manager) OR they will say that's the best they can do. If they say that, tell them thank you and start to get up and leave - I guarantee you they will say hold on a minute and let me get my manager. This is where the real negotiation begins.
5. When the manager comes in, let them speak first and make it uncomfortable for them. They want the sale, but you do not want to say too much too quickly. After they ask, what can we do for you, say, "I want a deal." Give them the silent treatment after they answer. It makes them evaluate what they can really do for you. They will likely come down even further. Be firm.
6. When they come back with the "deal" show them the information that you have obtained online from Kelly Blue Book (only if it helps your case) - remember to not look excited. They will then discuss the results with you further; give them the silent treatment again. Remember, they work for you, not you for them. This is a negotiation deal.
7. As your final bit of ammo, say that you have cash-in-hand for $8900 and that's what you are willing to offer for the car - with TT&L. Be sure to have the cash in $50 - $100 bills. They will have an emotional connection with this money (just by seeing it) and will be drawn to it. It's not every day that someone comes in with cash. They will either take it or leave it at this point.
8. Tell them thank you and to let them know when they would like to negotiate another sale on the car at another time for the same price - or less.
9. They will most likely come running after you to by the car before you even walk out the door. In this day and age, everyone needs to make a sale, especially the car dealers. it might surprise you what you might get as a deal. It costs them more to hold onto the car or have the car financed than it does to sell it for less than sticker price.
Originally Answered: Buy a car cash? Problems?
Cash isn't a big deal to people now unless the garage isn't very honest. The reason being is that everything has to be put through the books, so the cash would have to go in the bank the same as anything else. Cash is actually more of a pain to them because it can be fake and they have it hanging around for someone to steal.
Is the car on a sale at that price?
Your best bet is to say your looking at a few cars so you make sure he knows his isn't the only one your interested in, go around the car and tell him of any faults you find. Ask him if the car is taxed and mot'd, and if he would take money off or include that in the price.
Tell him you have the money to pay straight away, not finance. The way things are now, it would be hard to refuse that sort of money.