Tips for Understanding Sticking Price for your New Car Purchase Video
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Video:Decoding Sticker Price for Confidence in New Car Purchases

with Barbara Terry

Learn how to interpret and understand sticker price to get the best possible value when it's time to purchase a new car.See Transcript

Transcript:Decoding Sticker Price for Confidence in New Car Purchases

Hi, I'm Barbara Terry for Autos. When understanding the sticker price the manufacturers always have a base price, then they add to that with the options and add-ons.

New Car Purchase- Which Options are Valuable?

Keep in mind that some manufacturers have options and add-ons that they already include in the base price. I suggest doing due diligence and researching that exact make and model that you want when you're buying those extra options on your car- like the extended warranty and under-carriage protection, paint protection, and all the other add-ons offered in the F&I department (finance department). It may be better to add them into the total finance price of the vehicle instead of weeks later taking money out of your pocket to add options that did not come with your car.

Test Driving for Better New Car Purchases

Test drive the auto to see what is best for your budget and to your liking. The warranty is also so important to keep you from going broke on your auto repairs in the future. So, keep that in mind when making your final decision.

How to Negotiate your New Car Purchase

When negotiating, I remember when I purchased my first new car. I shopped around, I went from one dealership to the next, then I went home. As early as that afternoon, the dealerships started calling me with incentives and better prices on the cars I looked at. I then figured out that the way to get the best price on the cars I looked at was to get 1 dealership against the next.

There is a limit as to how much a dealership can come down off the sticker price, so ask to see the invoice to the car. If you feel good about the final price, then make the purchase.

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