Archive en septiembre 2018

How to Negotiate the Best Car Price

How to Negotiate the Best Car Price

While getting behind the wheel a new or used car can be a lot of fun, few buyers find the process of buying a car an enjoyable experience. With some preparation and persistence, you can get the car you want without blowing your budget. Getting a great deal makes buying a great car even better, and this guide aims to give you the information you need to confidently navigate the car-buying experience and learn how to negotiate car prices.

Car buying is one the last bastions of freewheeling price negotiation that happens directly between a buyer and seller. However, it’s also one of the most unbalanced negotiations you’ll find. Professional car salespeople work with hundreds of transactions per year, while most car buyers only get a vehicle every four five years. Fortunately, consumers have better access to vehicle data than ever before.



This guide will walk through three sections negotiating a car price:

  • Be Prepared – Do research ahead time to prepare yourself before you start visiting dealers.
  • At the Dealership – Work with multiple dealers and know what you should do when talking to salespeople and their managers.
  • Completing the Deal – Complete the transaction, while protecting the deal you just negotiated.

Be Prepared

Getting a good price on a new or used car starts weeks before you ever go to a dealer or other car seller. Your goals are to have as much information as possible about the vehicle you want, and have a preapproved financing plan in place.

The first step is finding the car you want that fits your needs and budget. Our new car rankings and reviews and used car rankings and reviews are based on the consensus opinions of the country’s top automotive journalists, combined with quantitative data on safety and reliability. When you start visiting dealers, you’ll want to focus on the vehicle you want, not the one they want to sell you.

Arm Yourself With Information

You’ll want to know everything you can about the car that you are seeking, from its sticker price to the invoice price that the dealer may have paid for it. You can see what other buyers in your area paid for similar cars by looking at the True Car Market Analysis report linked in each of our new car reviews. While you’ll often hear talk that a car’s invoice price (or simply, “invoice”) is the price to aim for, the True Car information is a more accurate measure, as it’s often impossible to know what a dealer’s true invoice was.

The buying insights at the bottom of many of our reviews show the current demand for the vehicle, helping you identify models that are in high or low demand. If the demand is lower, you’ll like be able to strike a better deal.

Not every car dealership is loved by its customers. There are several sites, from Yelp.com to specialized auto dealer rating sites, which show reviews of car dealerships from customers. While every business has some bad reviews, you’re looking for trends that show you which dealers are better to do business with than others.

Financing Comes First

Dealers typically want to merge all of the components of a car deal into one big transaction. That’s potentially a confusing and costly way to buy a car, because you’ll be negotiating financing and the price at the same time. You can take the financing component out of that package by getting a preapproved car loan from an outside lender before you head to the dealer.

Having a preapproved car loan not only saves you a lot of confusion, it’s also the best way to get a great financing deal from a dealership, as they’ll have to work to beat the offer you already have. There are several places where you can get a financing offer, including large national banks, community banks, and credit unions. You’ll typically find the best rates at credit unions, and larger banks usually offer the broadest array of financial services. Still, banks occasionally offer interest rate specials, and a few credit unions rival the size of big banks.

At the Dealership

So you have information about the vehicle, its pricing, and the deals available. Now, it’s time to visit dealerships, both virtually (via their websites) and in person. You’ll want to budget enough time to test drive the car you are considering and work with multiple dealers to get the best price.

Timing Matters

There’s an old axiom that you can save money by going to the dealership right before closing time, so they’ll make you a great deal so they can go home for the evening. While that’s not really true, sometimes are better to shop for a car than others.


Like other businesses, car dealerships have monthly, quarterly, and annual sales goals for both salespeople and the dealership as a whole. Find one that has yet to reach their goal, and you might find a fantastic deal. With the way some manufacturers structure their deals, they’ll get a bonus on all of the cars sold in a certain period if they make a goal. If you’re the lucky buyer of the last vehicle they need to get the bonus, you’re in a great position to get a deal.

The urgency to meet goals typically ramps up on the last weekend of the month, quarter, or year, but Saturday or Sunday may not be the best times to shop. Dealerships tend to be busier on the weekend, so they might not want to spend a whole lot of time with you if it doesn’t look like you’re going to be an easy sale. You have a better chance of a good deal on a weekday, according to data.

Shop at Multiple Car Dealers

In the past, shopping at multiple dealers meant driving miles and miles and wasting a lot of time. You’ll want to visit at least one dealership to take a test drive and check out the colors available on the vehicle. Beyond that, you can get in contact with several dealerships’ internet sales managers, and do much of your car shopping from your living room. In some cases, you can negotiate a price and buy the car online, and have it delivered right to your house.

There are many benefits to shopping at several outlets. Getting price quotes from multiple dealers, and letting each one know that there are other dealers in the game tells them that they have competition to beat. Second, despite the “invoice price” that you’ll often hear about, different dealers pay different prices for the vehicles that they sell. Find a dealer that who paid a lower invoice than others in the area for the car that you want to buy, and you’ve found a dealer with more room to haggle.

Dealers frequently trade cars among each other to get the right model, trim, and color for their customers. In many cases, the offers you get from multiple dealerships are on the same car. If you go for their offer, they’ll make a dealer trade to get it onto their lot.

Remember It Is a Business Transaction

Though it’s easy to develop an emotional attachment to your dream car, it’s important to remember that the buying process is a business transaction. The less emotion involved, the better. You want to remain polite and cordial, yet firm, when you’re dealing with the salesperson, the finance manager, or the internet manager.

Your main task is to get the best deal possible on the vehicle. The mission of the dealership (or private seller) is to get the highest price with the most profit they can. Both goals are OK, as long as all parties act in an ethical and legal manner.

Realize, however, that salespeople are skilled negotiators, trained to move you incrementally to the deal that they want you to accept and to the vehicle they want you to buy. You need to have a firm budget that you’ll stick to, the confidence to advocate for yourself, and the information to back up the price that you want to get.

Some customers go to the dealership with the intent of bullying the salespeople into giving them a good deal. That’s a strategy that’s doomed to fail, as people are much more likely to give a break to someone who is pleasant and professional than someone who is being a jerk.

The cost of Trump metals will cost Ford a billion in profits


Steel and aluminum tariffs imposed by the Trump administration have cost Ford Motor Co. about $1 billion in profits, its chief executive officer said on Wednesday, while Honda Motor Co  said higher steel prices have brought hundreds of millions of dollars new costs.

From Ford’s perspective the metals tariffs took about $1 billion in profit from us, CEO James Hackett said at a Bloomberg conference in Ny, The irony of which is we source most of that in the U.S. today anyway. If it goes on any longer, will do more damage.” He did not specify what period the $1 billion covered.




Higher U.S. steel prices have geico resulted hundreds of millions of dollars in additional annual costs, Rick Schostek, executive vice president of Honda North America, told the U.S. Senate Finance Committee on Wednesday, even more than 80 percent of steel in its vehicles assembled in the United States is made domestically.

Honda is also facing retaliatory tariffs from Canada and China on lawn-mowers it builds North Carolina and transmissions made in Georgia.

Honda has not boosted U.S. vehicle prices as a result the higher costs but the issue is certainly part of our thinking as we go forward, Schostek told reporters after the hearing.

While the vast majority of steel and aluminum that Ford uses for U.S. production is made domestically, has said the tariffs could result in higher domestic commodity prices.

Ford shares dipped 0.4 percent at $9.36.

The United States said in March it would impose a 23 percent tariff on imported steel and a 12 percent tariff on imported aluminum from most countries. The tariffs have allowed U.S. producers to raise their prices.

The U.S. President Donald Trump’s steel and aluminum tariffs will boost car insurance prices by hiking commodity costs for manufacturers, automakers have warned.

During the presidential campaign, Trump lambasted U.S. trade deficits as detrimental to American manufacturers and workers.

Since taking office, Trump has pursued a policy of escalating tariffs that he says will reverse that trend, including waging an increasingly bitter trade war with China.

The auto industry is bracing for a possible new round of tariffs. On May 23 Trump ordered a Section 232 national security investigation into whether to impose a 22 percent tariff on vehicle and auto parts imported from the European Union and other trading partners.

The section, included in the U.S. Trade Expansion Act, allows the president to adjust imports through tariffs if they threaten national security.




At a briefing in Detroit on Wednesday, officials from analytics data firm IHS Markit said if the Trump administration imposed the Section 232 tariffs globally, it would have far-reaching consequences for the U.S. auto industry as well as the broader economy.

IHS Markit estimates that full implementation of the 232 tariffs would add between $1,800 and $5,700 to a new vehicle’s price tag and cut new auto sales by around 2.2 million units in 2020 as well as slice total sales to as little as 13.5 million units from expectations of 17 million vehicles this year.

The new tariffs would also cost around 300,000 in auto-related jobs in factories and dealerships across the country, and slash U.S. economic growth by 1.1 percentage points to 2.2 percent, IHS said.

In July Ford lowered its full-year earnings forecast due to slumping sales and trade tariffs  China as well as its struggling business in Europe.

The automaker’s difficulties in boosting sales China have showed no signs of ending despite taking steps to bring new products market.

 

 

Aston Martin thinks to overcome to Ferrari with exit to stock market

Aston Martin thinks to overcome to Ferrari with exit to stock market



Aston Martin points  a valuation that, according to expectation, will surpass that   its only rival that quotes in stock market, Ferrari NV. And what do analysts say? They are not so sure.




The luxury sports  car insurance maker that became famous for the James Bond movies presented details for  IPO on Thursday in London, which would value the British company at up to US $ 5.9 billion. This would exceed the multiples of Ferrari, which gets more profits and generates mountains  money.

The appraisal is a great vote of confidence, Chief Executive Andy Palmer said   an interview, noting that the company was less than one tenth  its current value when the recovery began. “From my point of view, the most important thing that we have only traveled half the way. We have renewed the current portfolio of products and  have much ahead.

The company’s first sport utility vehicle (SUV) will come out 2021 and provide access to the Chinese market and an advantage over Ferrari, which this week postponed the launch its SUV, the Purosangue, until 2022, said Palmer. Many luxury car manufacturers are beginning to manufacture SUVs to capture high profit margins and thus finance initiatives such as electrification.

Ambition

Based on your first semester benefits, Aston Martin could be priced more than 12 times your adjusted earnings before interest, taxes, depreciation and amortization (Ebitda). This calculation does not take into account Aston Martin’s debt and research and development spending, which would raise the multiple.

Ferrari operates at 21.5 times its adjusted Ebitda for 2019, based on data from Bloomberg, a figure closer luxury goods companies than to automotive companies. However, analysts are skeptical about the possibility that Aston Martin businesses can get an appraisal like Ferrari’s.

We love the brand. We respect the administration team. But we simply can not see how a multiple like Ferrari looks realistic, said Max Warburton, an analyst at Sanford C. Bernstein & Co., in a research note. They are selling a loss-making company according to GAAP accounting criteria in the United States, with a poor record of profitability and a fragile balance sheet, which sells cars at much lower prices  a much less dedicated public.

Prices

The British automaker will sell a 30 percent stake at between 18.50 pounds and 21.50 pounds per share, according to a statement. Prices will be set on October 5 and the price will start on the London Stock Exchange around October 12.

Everything will depend in large part on Aston Martin’s ability meet its ambitious medium-term goals, according to Arndt Ellinghorst, analyst at Evercore ISI. He estimates that, in the middle of the strip, the business value that Aston Martin points is about 11 times the Ebitda of 2021. The newly launched DB11 and Vantage were well received and can help stimulate significant sales growth.

This Project 003, we will see how the brand finally baptizes it and it will keep pulling Nordic mythology, it will be homologated and available for all markets and the first units will reach the market by the end of 2021. To see it there is still time, for now we will have that conform with this first sketch that leaves everything for the imagination.

According Andy Palmer, president and CEO of Aston Martin, he the perfect heir of the Valkyrie: “We always intended to make the Aston Martin Valkyrie a unique project, however, it was also vital for us that the Valkyrie created a legacy: direct descendant who would also set new standards within his own area of ​​the hyper-sports market, creating a line of highly specialized and limited production machines that can exist in parallel with Aston Martin’s serial production models.

Thus, the manufacturer of Warwickshire announces insurance that the Aston Martin 003 will have an ultralight structure, so AAA insurance  we can expect the same monocoque chassis conceived in carbon fiber of the two ‘Valkyries’. In the same way, it will also incorporate the active aerodynamic systems of its brothers, as well as its active suspension.




As for its mechanics, the Aston Martin 003 will also assemble a high-speed hybrid train, combining a central thermal engine with an electric one. It is expected that it is the 6.5-liter V12 equipped by his brothers and that its power surpasses the barrier of 1,000 hp.

The Aston Martin Valkyrie and Valkyrie AMR Pro will soon have brother. The British brand has Geico just revealed that a third hypercar: internally baptized Aston Martin 003, will share technologies with two mentioned  will be homologated for road.

Its arrival to he market already has date: 2021. All hyperport but born for the enjoyment in highway. The Aston Martin 003 aims  be the ‘least exclusive’ of this trio of high flights: 500 units will see the light against 150 Valkyrie or 25 Valkyrie AMR Pro. It will also have more mundane elements that we did not find in both previous, such as space carry luggage.

Not for that reason will it cease  a spectacular machine: Aston Martin has confirmed that Project 003 will enjoy many of the technologies present in its brothers, which were known as Project 001 and Project 002 in the allocations of its development, in addition to affirm that it will his most advanced model to date.