Rules to Live By When Car Buying 

My late wife: 5'2", 90lbs, looked about 14 years old well into her 40s. She negotiated multi-billion dollar government contracts. Watching her reduce salesmen and sales managers to tears was a joy.

My one rule I live by: If any member of the sales staff is smiling, you still don't have their bottom price. Keep saying no and negotiating down until they hate you.

I am an independent auto mechanic and own a shop and used car purchases have become such an issue. We started letting all of our customers that if they are looking for a used vehicle let us do a pre-buy inspection for $25.00 for each vehicle which takes about an hour each we do not make any money on them but it is worth a lifelong customer.

My favorite tactic along with all your advice is to negotiate a out the door price. The last vehicle we bought from a dealer we agreed to 19,457.00 so that's what I wrote the check for. When dealing with the finance person she tried to add about $500 in "fees" I picked up my check from her desk and walked out. I hadn't made it ten feet before she was at my heels apologizing. I just kept walking. When I got to the sales floor I loudly said to the sales manager. " We agreed to a out the door price, your finance person is trying to rip me off, Sorry we waisted each other's time." That turned into 5 oil changes and 5 wash, wax and interior detailing coupons.

Negotiate the price and have them email you the long form before you leave your house. When you get to the lot check/drive the vehicle. Then make sure everything matches. I just bought a new Chevy and was on the lot for 1 hour, got a great price and had a great experience. From a previous purchase I had a finance person try to have us sign a digital document zoomed in to "make the signature area larger". I zoomed out and magically there was a huge charge for an insurance option I repeatedly declined. Be careful!

I’m 19 years old and I really appreciate people like you as I didn’t have a dad to show me all this. Your information is valuable, to me at least Edit: you are all incredibly kind and I do appreciate all of the feedback and I will be using all of the tips, thank you all

This reminds me of when I bought my first used car. I was 17, my Dad went with me, who was not mechanically minded nor any kind of wheeler dealer. Not only make sure there's a spare tire, turn it over and make sure it's good on the other side! By the time we got home (we lived 90 miles away from the dealer), the car had overheated several times, the drivers side door wouldn't shut. My Dad had to drive it AND hold the door closed the whole way. When we got home my Mom looked down the side of the car and she said, "It's been wrecked." The paint was also a little different from one side to the other., which we missed. She put a magnet on the door and it fell off, which probably meant the door was full of bondo. My Mom and Grandma drove to the dealer, my Dad and I also, in the used car. My Mom said to park it on the street and whatever we did, do NOT drive it onto the car lot. Then my Mom and Grandma talked to the dealer, showing them that they sold a car to a minor, which is ILLEGAL. No where on the contract was my Dad's signature, just mine. Dealer tried to get us to drive the car on the lot but Mom said "Sure, right after you refund all my daughters money." He repeatedly kept trying to get the car on the lot, finally gave up, gave me all my money and we gave him the car. My Mom and Grandma went down the road and found me an awesome 1980 Mustang, that ran and was in 1 piece. Great little car, I had it for years! Moral of the story: take the parent who is tough, not the nice one lol.

#11 Be prepared to defend yourself if you choose to walk. At a dealership in Hillsboro, OR I decided to walk out, the salesman assaulted me as I was swinging my leg over my motorcycle. He went to jail and the dealership paid to replace my damaged helmet.

A friend bought a car brand new and drove it home. Took it for it's 1st oil change and was informed that the VIN number did not match the records. Turns out two people bought identical cars at the same time and the dealer mixed up the paperwork. He drove away in the other person's car and they drove away in his. It was a mess to get fixed, as insurance and financing was on the wrong VIN as well!! I now make sure to verify the VIN before I drive off the lot!

I recall negotiating for a used car, I took the vehicle for a test drive that includes going to a family garage for an inspection; when I at the garage getting an inspection I got a call from my automobile insurance company as the dealer was looking to put the vehicle on my policy. I hadn’t bought it yet and when I got back to the dealer I walked away as the salesman really annoyed me as they were so pushy and the insurance thing was a bridge too far.

My husband has a gift for car negotiations. He's used all these rules at least once. Because we shopped together, the one time he almost got in trouble because his blood sugar (he's diabetic) dropped during a lengthy negotiation, I wouldn't let him sign anything--we left and never went back. When you tell the salesman you need to leave and get something to eat, and they ramp up the pressure--nope. Costanza for the win. The last car we bought, the saleswoman looked me in the eyes, and said "I'm really sorry you have to be married to him." She kept trying to add $500 in that numbers column of the contract, and my husband caught it twice. After she had the numbers right, she expected him to sign it. He told her, "Now take $500 off the price. You didn't think it mattered to charge it to me, so YOU can pay it." When she wouldn't, we got up to leave. She didn't come after us, but her boss did. He got the price reduced--again. More of his advice: Don't go shopping when you're desperate. Don't let any trade-in influence the price for the newer car. Don't bring the kids. Don't fall in love with the car--you want to be able to walk away. Ask for free stuff--floormats, cargo carriers, key fobs, etc. Don't automatically go with their finance company; your own bank, employer, or insurance company could do better, or at least make the dealer THINK they can. Research the car online, and know all of the dealer incentives. Know if a new model is coming out soon. If it's used, look up all the information on it. Be wary of flood cars--look for rust or mildew in the trunk, under the carpets, etc. These days you can also check Yelp, or online forums for ratings on your dealer. Do that. Every place is bound to have complaints, but if you see a pattern, be very wary. Also check the service dept. reviews, because they may be working on your car, or it might already have their fingerprints on it.

Woman here. My jeep was slowly dying on me in 2020 so we had to replace it fast, but the used car market was utter garbage back then because that market had slowed just like everything else due to the pandemic. I *browsed* cars alone in several local dealerships because my husband was working overtime and wasn't always available to go with me, but boy did I feel powerful test driving anything that stood out and making those salespeople sweat over whether or not I'd be buying that day. :) The day he was able to accompany me, we ended up trading our dying jeep in for 3k shaved off the price of a gently used jeep renegade, and then broke it in with a nice long trip through the mountains.

The Costanza rule also applies on the lot. In 1997, I really wanted a Jeep TJ and went to a dealer. Salesperson meets me and I told him what I wanted and what packages. He told me, “You don’t want a Jeep, you need a truck.” Then he turned and walked towards the trucks. I left and went to another dealer (metro Atlanta so no shortage of dealers close by). That dealer sold me exactly what I wanted.

My cousin negotiated on a truck that had a nice aftermarket stereo. They came to an agreement on price; he signed the agreement and went back the next day with a check. The aftermarket stereo had been replaced with a factory one, and the purchase price had gone up by $800 with an attempt to add his initials to "approve" the change. He walked.

In 2001, my wife and I went to a dealership to look for a replacement for her car. Long story short, they didn't have what we were looking for and tried to get us to buy a completely different kind of car, so we said no thanks. They had taken our keys to evaluate our trade-in. So we were done and asked for our keys so we could leave. They would not give them to us. It was like they were out on the road testing our car or even had it up on a rack. It was sitting just outside the door. After about 20 mins of this back and forth, I told my wife to go get in the car. She went out, used her keyless entry code to unlock the doors, and walked around to the passenger side to get in. Someone who had our keys locked the doors as she was walking around. It was at that time U informed the sales guy, if he didn't get me the keys, I would drive over to the police station and swear out a theft complaint. His response was how are you going to if we have your keys. I rolled my eyes and walked out to the car used my set of keys and got in, as we were about to pull onto the road, they finally ran out waving our keys, so we took them and filed a complaint with the BBB. I don't know if that hurt them or not, but We told everyone we knew what happened and to avoid that dealership. Hopefully, it did some bad to their sales.

Hi Steve, I did walk out on a deal one time. I had bought a 77 Monte Carlo Nov. 76. I happened to be at a Chevy dealer Sept. 77 when they were putting out the brochures for the 78 lineup and they brought back the Z-28. I ordered a silver with black, red, and orange trim on the spot and left a $100 deposit. The salesman asked it I was going to trade in the Monte Carlo and I said yes with expected delivery in early Dec. Received a call when the car arrived and fortunately I had a buyer for my car who was going to meet me at the dealer. We are now all sitting in the salesman office and he was preparing the paperwork for the trade in and resale to the buyers on my Monte Carlo stating it would cost $200 for the all the paperwork. He then turned to me and told me his manager had said the Z-28 could not be sold for agreed amount.of $7000 and I would have to pay the MSRP of $7800. I was not going to finance the purchase and had just enough funds to cover the sale including the sales tax, delivery charges, tile and transfer fees. I turned to my buyers and said I could not agree to the increase and that we would have to leave. Outside while I was apologizing to the buyers for what just happened the salesman came running out saying you can have it for the $7000. We went back inside and completed both transactions. That was a nice car. You and your family stay safe.

Steve you forgot the " never let the salesman know you are going to pay in CASH until the last minute in the singing phase" . Your right about the add on fees. If they say you have to pay for documents fees tell them to subtract that amount from the price of the car. Thank for your other advice.

I have walked out a few times. One was when my husband and I were looking for something for him. We negotiated at night and went in next day to sign. Paper did not match last night's talk. I refused to sign, salesman gave us BS. I tore the paper in half, left it on the desk, and walked out. Salesman tried "now that she's out of the way, let's do this". Husband also walked out.

Back in 1995 I needed a new car. My then-husband was a paralegal and LOVED to negotiate. The first dealership we went to didn't want to play ball. The second didn't have the car I wanted and tried to sell me something else. We walked. Third dealer didn't have the car either but that salesman just smiled and said he was sorry they didn't have what I wanted. Fourth dealer same as the second. By this time we were 75 miles from home and decided to make one more try. We parked on the street and were walking up the sidewalk, not even on the dealership property yet, when a salesman literally jumped over the hedge and accosted us. We knew we had one on the line.... Great fun ensued. Toward the end the salesman was almost in tears (or faking it very well), saying "You gotta give me something to work with!" My husband added $3 to his last number. Salesman said, "You'd walk over $3?" "Yep." Salesman took it to his manager and came back out with the accepted offer. As I recall, it was the 28th of the month and perhaps the salesman had a quota he needed to meet; thus his near-desperation to make the sale.

Most sage advice ever for car buying ...

I bought a car from a retired salesman/mechanic and a family friend. I took it to my mechanic, and for $20, he inspected it. He found old car issues but nothing noteworthy. about a month later, a major part broke. Because I had two different people look at the car, this was just one of those things that happened. I have no ill feelings toward either party.

I've been asked to leave a dealership while accompanying a friend car shopping. It just proved it was a dealership not worthy of her business.

When I went to sign the papers on our Odyssey, the number was actually $500 less than we agreed to. I didn't complain.

Your comment about reading everything before signing it, versus what the salesperson says is so important. My son got bit by that one - he missed that they wrote a part of the contract differently than what he agreed to. Fortunately, he was able to get it changed after the fact because it was something that could be cancelled within 30 days. The dealer fought hard to keep it from getting it cancelled, but he dug his heels in.

I have received discounts from the lady in the finance section when leasing a new car after crossing out or putting questions marks next to numerous items and only agreeing to sign if my changes are accepted. She was so impressed that I read everything and questioned many questionable items. And I always retain the ability to walk out. I learned this when, during a purchase that went on for the incredible length of time that they do, I needed to leave to pick up my son from school. The salesman at first refused to let me to leave. When I said that I absolutely am leaving, but will be back, the salesman started making all kinds of deals and discounts. I asked for this in writing, then immediately left the panicking salesman to pick up my son. An hour later I came back to continue the transaction, but with all the deals and discounts in place, despite the salesman now doing his best to backpedal.

I have a friend who is a) an expert in American Sign language (ASL) b) very beautiful young woman c) a mute (cannot speak, an accident when she was a child destroyed her vocal cords). When she goes shopping for a car, for fun, she takes a friend who also knows ASL. At the dealership, they almost always assume that they're both deaf. Boy, does she get to hear some interesting stuff! Salespeople understand that deaf people can read lips, so they usually turn away or cover their mouths (hold up a document between them) when they say awful things. And awful things, sexually suggestive remarks and just about any insult you could say about a pretty young woman are common. Interestingly, this friend also has mastered the skill of keeping a couple of dozen cards on her person that she can make magically appear in her hand at will. These cards say interesting things like "I am not deaf, I am a mute." "Oh, really?" "No and I mean Never." "Thank you." "Would you say this to your mother?" "Deaf people aren't stupid either." "I don't respond well to lies." "Fuck off!" "Does anybody really find you cute?" and many more... I've seen her deflate a salesman with a succession of cards to effectively that you'd swear he'd been kicked in the crotch. And they deserved it, too.

I’ve purchased all of my cars shopping by myself. However, I am male, am competent as a DIY mechanic, all of my cars (except latest) were brand new, and I’ve walked away from every dealership and/or salesperson who was pushy, or did anything I considered shady, disrespectful, or otherwise unacceptable. And I agree with your recommendations, even if I haven’t followed that particular one.

All of this is very accurate. Another thing I do is I never being my trade in to the lot the first time I go to a car lot to shop. Gives me an extra out. If I am serious about buying something I'll bring it later so I have more time to contemplate while not there

Great video Steve! One rub with the test drive/test ride scenario for motorcycles is that there are dealers who flatly refuse to allow test rides. As a motorcycle first guy, I've run across many. They are universally dealerships I will not do business with. Particularly in the full-dress cruiser end of the market, where I've been for past couple of decades, you're going to spend the better part of $30k. If the dealer won't trust you to ride it, you should NOT trust them to sell it and stand behind it!

When I bought my first Ferrari I had this huge list of things I was going to check and even went with someone who would keep me grounded. We both fell in love the moment we saw it and bought it on the spot without even checking the oil. Luckily it was a good car and I still have it over 20 years later. Still the lesson here is don't bring someone who is as car crazy as you are :)

I'm a small car dealer, and all you say is pure common sense. Unfortunately, most people don't have any common sense this days, as the ones that have it will apply your rules naturally!. Are they bad car dealers? Of course! As they are bad lawyers, mechanics, police officers and so on. When someone comes to my lot, I don't hang around and put any pressure, just hand them the key and they can go for a test drive, so they can make their own conclusions about the vehicle I don't charge any kind of extra fees besides the taxes and tranfer fees I don't promise any repairs, if the vehicle is not of your liking is fine with me. All my vehicles are sold as is, since they are mostly hig miles vehicles. I let people take the vehicle to a mechanic or bring their own,no problem. Now, since all this vehicles have a lot of miles, is always possible that something is going to need service, alternator, power steering, tires, brakes and all other consumables will need replacement sooner or later. Some people ask me how long I think the vehicle will last, obviously I don't know,and that's what I tell them. So,in a few words, they are bad dealers as they also are bad costumers, you can no blame the dealer for the customers lack of common sense. I don't have a Cristal ball to know what vehicle is good or bad, I can only try to buy the best in my budget, and my customers budget.

Back in the 70s, I used a dealer's tricks against them. Wife and I wanted the car (used). I had found out from a friend that used to work there that when the salesman leaves husband a wife alone in his office to discuss privately- the salesman would go to another office and listen in on the conversation. So, my wife and I discussed problems I had noticed. Not real problems- we were just countering his BS. When the salesman came back- he was ready to reduce the price to the numbers wife and I were FAKE talking about, as I had mentioned how much it would cost to replace different parts I faked that were bad. Walked out of there with a good car- with no problems, at near half the price on the window sticker.

Fantastic tips. You should put this video up every six months. Seriously. People need to be told over and over again, and that's ok. I've experienced some of the tactics you've stated here. Thank goodness I didn't fall for them. I partly attribute that to luck, in addition to having gotten good advice. It'll be tough for me to find someone to come with me to buy my next car, let alone a competent, knowledgeable one. You're so right about the woman alone thing, which applies to everything, not just car buying. It's not sexist; it's real predatory behavior. Some sellers are extremely aggressive and intimidation toward women. I'm glad that there are camera phones and GoPros nowadays. Great job. Thanks!

Steve - One thing. I actually had the reverse happen with the color. In the daytime, it looked normal, but in lights, in parking lots, the different spectrum showed dif body panels painted. In the day you could be fooled (as I was) but at night it was obvious. So, look at the car in different forms of light. It will show body panel differences more than just the sun.

Watching this reminded of a time I worked at a heavy truck dealership. We took in two trucks in the mid 90’s on Wisconsin’s lemon law. A few months later I was at a job training class in Illinois and saw both of the trucks at a used truck dealership. I inquired of them how they sell trucks turned in on lemon law. It turned out they could not be sold in Wisconsin but our dealership could legally take them out of state to sell.

If everyone watched the joinYAA videos (plus Ray and Zach) on RU-vid...the auto sales industry in America would HAVE to change their ways. They cover all of this and in greater detail. A great resource for combating the crooked car sale process. I split my time between your videos and theirs most days.

In Western Australia we have statutory warranties on cars over $4000 (approx $3000 USD) less than ten years old and less then 150,000 kms (approx 100,000 miles) that cover the car for 3 months or 5,000 kms. This covers major issues that may occur over that time. You can waive the warranty under several genuine conditions (like substantial discount to agree to waive).

I received an email from Amazon that the Smile program will be discontinued in February, which is the primary way I donate to the Institute for Justice. Just so you know.

I just bought a used truck and did most of the things that you covered. One other thing that I did, along with walking out the first time, was using compassions to negotiate a better deal. I found a truck that I liked, it checked off the boxes for the needs that I had and had some extras that are nice. I had found a couple of others that were close but not quite what I was looking for. I used those prices to get a better deal and a warranty on top of it. $15,000 difference between metro Detroit and a 2 hour drive north. Well worth the drive.

A few years ago, I was looking to buy a truck. There was one that had been on a lot that I was familiar with, having bought two decent cars from them in the past. I went over the truck, also around and under it. I plugged in a scanner to check the codes, all was in good condition. The sales man quoted a good price, a little under the blue book on it. I told him I'd talk to my wife and call him when we decided on it. He's like okay, no problem, only one other guy looked at it in the last week. I talked to my wife, decided to get it. Got the money from the bank, head to the lot. Did the paperwork, got the keys and pulled off the lot. Got about a block and some guy comes flying around me and stops. Starts yelling at me. It seems he was the guy who looked at the truck, saw me leaving the lot with it and wanted to know when I'd be back to the lot so that he could buy it. Sorry bud, you snooze, you lose.

"A verbal promise isn't worth the paper it's written on."

Great video. Great advice. Here's my personal experience with walking out. I made a deal pending financing that I would obtain myself through my credit union. I gave the details to the credit union and the finance officer told me I was making $1,000 mistake. I was putting some money down but wanted to finance $1,000 more than they were willing to put up. They convinced me not to pull an additional $1,000 out of my savings to make up the difference telling me that the dealer would contact me if I said I couldn't get the financing. I really wanted the vehicle but I went along with my credit union and told the dealer that I didn't have the resources. They tried to convince me they could get the resources for me but after I told them I would only go through my credit union I canceled the deal. Two days later they called me back accepting the numbers the credit union had insisted upon.

I have followed most of the rules you gave. All good advice. The few times I have not (mostly I was desperate for a vehicle) followed a couple of the rows, I regretted it later. Fortunately, I am a pretty backyard mechanic and thus will see the big issues. But now with the newer cars, a mechanic with a scan tool really needs to check out a car.

Another important thing to do these days is to take a scanner with you. Many dealerships will reset the computer to hide check engine lights, your scanner will tell you this and you will know to just leave the dealership instantly.

My friend's Mom is a small Asian woman . I came up with the idea for a business I called "Car Studs" after his Mom was treated horribly at a car dealership when she went by herself. Some enterprising guys or gals who know cars could offer the service of accompanying single people to dealerships to buy a car. Even better to have a car guy AND a lawyer like Steve.

I found a used Nissan Maxima. Leather heated seats, low mileage & my must have sunroof ❤ Negotiated a fair deal. As I’m writing the check I was asked for my social security number. The price of the car was below 7k (pre pandemic) Dealer says it is required for the Patriotic Act. Firmly explained that is not true and any cash transaction under 10k does not require that. He argues with me they have to have it for DMV & what ever lie he could think of. No, you just want to run my credit & trying to up sale me. Grabbed a red marker wrote void across my check. Stood up without a word and walked out. The salesman was following me, when I heard the manager tell him “let her go she’s too much trouble”

I’ve learned all these lessons the hard way over the years. But I have to admit I haven’t followed all of them for the last two vehicles I’ve bought. Got lazy because I’ve bought 4 new vehicles from the same manufacturer, same dealership and same salesperson without an issue. Good reminder for me.

Regarding the Constanza Rule - if you are going to trade in your car do not walk into the dealership with only one key. Make sure you have spare key in your pocket. It is rather surprising how often the dealership “loses/misplaces/whatever” your key while evaluating your trade in.

The worst thing I've seen a car dealership do is try to hide charges in the paperwork. My gf's son went to a dealership to buy a truck for work. Now, I honestly don't know what is or is not a good price for a vehicle, but I am great with mathematics. He and the dealership comes to an agreement and they draft up the paperwork -- which he forwards to his mother, who forwards it to me. I see the list for vehicle, products, fees, etc and it does add up to the total. I see the listed APR, the compound frequency, the number of payments, and the calculated monthly payment. I do the math and realize that monthly payment had to start from a principal $2400 more than the listed total. And for those that want to say, "Duh! Interest," bear in mind the calculation already accounts for the interest. What's true is that the dealership wanted to give themselves an extra $2400 plus interest on it and try to hide the whole thing in the accrued interest. He took that info back to the salesperson who claimed the $2400 is for their extended warranty (which they never discussed, nor was it listed in the itemization). I figure some genius at the dealership thought they could get away with that since it could be assumed most lawyers and judges wouldn't be able to do that kind of math and like everyone else might assume it's all in the accrued interest. People, it helps to know a really good mathematician. Most people can do arithmetic, and can even do it mentally, but I mean people skilled in recursive series, which is how payments for car loans, mortgages, personal loans, etc are calculated.

I do all my car shopping online before I even step foot in a dealership. And I go armed with a weighted spreadsheet and a VERY detailed list of the things I do and don't want, have narrowed the list of prospects to 4-5 to test drive, pre-approval from my bank, and a couple of friends to give me their impressions/feedback and run interference with the salesperson so I can concentrate on MY impressions. Love the car I bought, will probably buy another in 10 yrs or so (unless my needs analysis changes).

Being prepared to walk is the biggest thing anybody can do when buying new. One key to using this successfully is to never surrender your keys if you have a trade-in. Have those keys in your hand and be heading for the door. Most of the time they will relent before you get half way to your old car.

Thanks Steve, you are doing the public a great service. Pay attention people. All good advice, not taught in school. Remember in most states the consumer CAN be modified as long as BOTH parties agree. Learn how to do it in your state. If it takes 4 hours to read a contract then take 5 hours. Do not let the sales staff bullie you. Wear comfortable shoes as it makes walking faster.

This video reminded me of when my parents were looking at a Hyundai. The local dealer had one that met their criteria, and tried to pressure them to buy it, claiming that no other dealers in the area had it, and that several dealers in a city 3 hours away were trying to get it from them for their own customers. They were ready to buy it, but I did some looking at online inventories, and found MANY dealers had the exact same submodel wkth the same features. I also found that the salesman had made mileage claims for the car that were drastically off. Someone from the dealer called a couple of days later, and tried to pressure my dad, telling him that he had made a deal with the salesman, and he needed to keep his end of the agreement and come buy the car (NOTHING had been signed). My dad didn't take it - he told them that the salesman had lied about the mileage and about that submodel not being available anywhere. The person quickly backpedalled, claimed it must have just been an innocent mistake, and no hard feelings.

You are spot on, I also remember being told NEVER buy a car on a rainy day rattles squeaks even engine performance can change with rain.

One dirty trick a used car dealership pulled on me to stop me from walking was to "misplace" my keys on the car I had them appraised for a trade in. I was young and dumb and they wore me down. I was tired and wanted out of there so bad I would agree to almost anything. Worst purchase decision I ever made.

In 2001 in Ohio I lemon-lawed a Ducati I bought new after waiting several months for parts. At the time the Ohio law applied to bikes. I don’t know what the statute says today. I am an attorney and I wish to complement you on this video. Great suggestions. Thank you.

Great video Steve. I sent the link to my daughter as a few years ago, she decided she wanted a new car and I went with her to the dealership. During the "process" I told her, "we need to walk". She asked why and I mentioned that they were taking advantage on a few items (probably their starting points), so we need to walk. She ignored me and paid too much with too high of an interest rate (from dealer financing which I told her to go thru the credit union). Even though it was new, she went through the docs and signatures way too fast. I could only tell her so many times but I think your video will help her understand the "process" as you & I describe it. Also, they only wanted to give her $200 over what she owed so I sold it out right and got another 33% out of the sale for her. Anyway, I think this is an excellent video for young adults or at least for those willing to listen. You should make a series of these life's lessons regarding purchases that young adults make and get skunked. Houses, Time shares etc.

OK, I would like to add something I learned from a friend that had the ONLY used car lot in town. He kept his business going by INSISTING they get a car inspected before buying. This found a lot of things he missed on fixing a car up, and kept his business being well thought of in the community. If a person wanted to buy the car on Saturday, that meant places to get it inspected were closed until Monday. HE would write into the contract that, upon inspection within one week of sale (added an extra day if Monday was a holiday.. Or Christmas, etc.) , he would buy the car back if any single repair needed came to more than $500, or total repairs needed to get it operating and safe exceeded $1000 (this was back in the late 80's). He did not buy too many cars back, but he DID buy them back with no argument. I brought that one into play about two months back (just after Christmas) when the local repair shops were stacked and none of them could inspect for 10 or so days. I had gone with a friend to look at a car he wanted to buy. The sales person would not let me pull the tires to look at brakes, rotors, softlines..... They would not let me do a leak check (using different dies in the fluids), would not let me do a pressure check on the cooling system...... I stopped right there and said we should not buy the car UNLESS we could get it in writing that we could return it if an inspection (done within 14 days of purchase) by a ASE or BBB shop showed more than $750 needed for any single repair, or $1500 for any combined repairs...... The shop refused. I told my friend that the dealer just told him that they expect more than $1500 in repair bills the very first visit to the shop. He thought about it, looked at 'his' car, ...... and walked out the door. Just one more thing a person can add IF IT IS IN WRITING to protect themselves.

I bought a mobile home once. I started reading the contract and the salesman became very nervous and asked what I was doing. I'm reading the contract. Why? He said: You can't understand it so why read it. I told him that maybe he didn't understand what he read, but I understand what I read. I then asked several questions about the contract which he couldn't answer. The more I read and the more questions I asked the angrier he became. Reading contracts is very revealing.

Thank you for making this. I give my high school students a lesson on buying a car and throw in things such as what "rebuilt" etc... on a title really means. I'll probably use this for them in class now. Excellent and thank you.

Best purchase I ever made in my life was when I was 19 and just playing with the idea of getting another car/ first car loan. It was a small brochure sized booklet I saw at the checkout isle while buying groceries. I think it was $3.49, maybe. Anyway, it was "How to Beat the Car Salesman", written by a car salesman. After studying it word for word, doing what homework I could for what vehicles I was interested in (pre-internet era), I set out. I couldn't help being alone, but the book had me covered on that, as I am female. I went to 5 or 6 big car lots. All but one was verbatim what that little book warned me of! Unfortunately, the one lot, who didn't swindle me didn't have anything in my price range. Which makes sense. The guy probably saw my class wasn't exactly up to par. Lol. Regardless, I appreciated his attentive treatment and sincere helpfulness. I still have that book and am a happy used car shopper for anyone I know whose looking. I do my homework and it's paid off many times.

I found a few things that I ALWAYS follow. First, set your maximum, out-the-door price and stick to it. Make sure they know this is the max you'll pay with all fees and taxes included. Second, be prepared and fully willing to just walk away. Once you start walking don't look back. Let them chase you if they really want the sale. Third, make sure that they know that you WANT the car and do not NEED the car. Make sure they know 100% that you can keep living your life without it and that YOU are doing THEM a favour by buying it. Fourth, go a couple of hours before closing on the very last day of the month. They'll bend over backwards to make the sale and get their quota up for the month. Lastly, if you're paying cash get all the pricing agreed and in the contract BEFORE you tell them this is a cash sale. Every time I tell them it is a cash sale up front the final price is always higher because they expect to make money off of the financing. If they aren't going to make money off of interest they'll want to increase the sticker price to compensate.on that purchase.

I would add that anytime you take a proposed purchase to a mechanic for evaluation, you make sure that he is qualified and has the diagnostic equipment to evaluate the vehicle correctly. Modern vehicles have a great deal of information held in computer memory that can be valuable in making a purchasing decision, but accessing that information requires devices that many 'local guys' opt not to afford.

Years ago a friend of mine went to purchase a new car, knowing exactly what she wanted. She couldn't get anyone to even pay attention to her at the first dealer until she basically tackled a guy. He asked: "Is your husband here?" She told him 'no' (and some additional words ;-) ) She then drove down 28th Street until she got to the another dealer of that brand in town. She bought the car she wanted, with cash. She returned to the original dealer and asked to see the jerk salesman. He asked what she wanted: "Just wanted to show you my new car. BYE!"

Last time I bought a car I gave them a number I'd pay out the door (all taxes, extras etc), they tried to up that number but were unsuccessful, I paid what I said I'd pay. Took a while to get there through, and I did have another car with another dealer I was actually on the way to buy when I stopped by this dealership, so no idle threat. As for the car you want in the colour you want is an issue where I am (Windsor Ontario). Been trying to buy a red MX-5 GS-P manual for five years, good luck. Getting this car anywhere is a gamble and they're largely unobtainium. Buying any new MX-5 is going to cost you at last $8k over list, largely from dishonest Mazda dealers. I've pretty much given up at this point.

I own a 1999 Saturn SC2 I bought in 2007 and a 2004 Ford F150 bought in 2014 and they look and run fine. I'm 62 and don't plan on any new cars in the future. These cost about $10k for the two.

Thanks for taking the time to commit this valuable advice to video. I would add a couple of corollaries to what you call the Castanza rule. 1. There are good, ethical car dealers out there. There are also dealers that live from crooked practices and dirty tricks. To find a good one, you have to be willing to walk away from the bad ones. 2. The more time you are willing to invest in the process, the better your chances of getting a car you really like (or at least serves your needs well) at a good market price. Doing research, going for test drives, getting a car inspected, negotiating prices (and other terms), and reading contracts all take time. If you get in a hurry, you are increasing the risk that you will pay more and / or end up with a car you are not happy with.

I have walked out immediately when: 1) asked to give them the keys for my car first thing (huge red flag there), and 2) when presented paperwork with a bunch of extra fees and crap added. It's sometimes hilarious to see the reactions when you get up and walk out.

Funny observation.. A friend of mine used to sell new cars part time just for something to do. He is an older fella like me. He said that younger sales people don't understand one thing about our part of the country. When mamaw and papaw are walking around the trucks (papaw has on his bib overalls and muddy boots) he says to knock other sales people down and run to mamaw and papaw asap! 9 times out of 10 papaw has a huge wad of cash money in the front zippered pocket of his overalls to pay cash for whichever truck mamaw likes the color. He told me it happened more than once.

if you're going to finance, I would add: go to your bank and find out what they would loan you - with your down payment - before you ever step on the lot. Finance through your bank...you buy the car as though it was cash, and you know you finance-ability before you ever see a salesman. You get the car, they call your bank, you're done. Everything Steve said it exactly correct. Oh, and leave your "emotions" home...shop as though you were shopping for your friend.

This is one of the best videos you've ever made. Ive driver my current car for 5 years because I didn't hear and know this.

I always forget that GVF is from Michigan. I remembered when I saw you wearing the shirt. Great band.

So....the way cars are sold in the USA is totally different than in most other countries.....If WE adopted the laws that other countries had, MOST of the car dealers in the USA would be closed down within a week or 2......maybe less than that.

My two worst auto dealership experiences were with Toyota. The first one was just trying to add ABS for thousands of dollars. It was just insulting so the wife and I walked and we bought a Honda. Years later, at another Toyota dealer we were looking at a two year old FJ, and the salesman would only give us a price in terms of a monthly payments. We asked him twice and told him we want a cash price. The dumbass gave us the same price in a monthly term. We walked. We bought and FJ at a smaller dealer who had only nice cars. I still drive it today with zero regrets.

Thank you, I’m getting ready to start looking for a new car. This really helped. Please do a video on leasing vs owning.

Also, NEVER lose track of the keys that you drove to the dealership, It's not uncommon for the trade in drive sometimes misplace your keys, which slows down your walking out the door

I break a few of these rules and I've been bitten a couple times. I shop alone. I'm 52 and I'm pretty good at recognizing BS. In 2021 I bought a low mileage CPO Audi S5. It still had the factory warranty plus the manufacturers CPO warranty. As I'm looking over the documents I see $1000 added for ceramic coating. I showed it to sales manager and he said "oh, we do that to all our CPO cars." I told him "then you pay for it, you don't charge me for something I didn't ask for." He took that $1000 off the bill because I was prepared to leave and drive 275 miles home without the car.

Thanks Steve. An add on...Work work work to find a mechanic you trust. Some one you trust to do routine maintenance when your warranty expires and some one who will give you an honest opinion of a used car you're looking to buy. I know so many folks that continue to use the dealership mechanics after their warranty period. My mechanic has six really good guys in his garage. They do all my inspections, fluid changes and routine work at 20 to 40 percent cheaper than dealership rates. They look up recalls and send us to the dealership for things that should be taken care of by them. Finally, I live in the Harrisburg, York, Lancaster area of PA. Each has large dealerships. Each is less than 30 minutes away. I love pitting them against each other when buying new!!!

As a car salesman I love your videos. I wish everyone could see this video. It'd make so many things better.

Perfect timing. Sent this to my sister-in-law, her daughter (niece) and her daughter (grandniece). They’re going used car shopping in a few months.

Also, always say that you don't have a trade when you bargain. Once you've gotten the best price say that you've changed your mind and want to trade your car in. You'll be surprised how little you're going to get for your trade. Then you can decide if you want to trade it in or sell it yourself.

Tremendous advice Steve....I always look in the glovebox to see if there is an owners manual...if there is, I will continue and I will then ask if there is a second set of keys, an other deal breaker. If the previous owner couldn't take care of those, I suspect that the car wasn't taken care of in other ways

Sound advice. Take heed car buyers!

Great tips as usual! I once sat in a dealership trying to buy my dream truck, 2002 Dodge Durango R/T that didn’t require high octane gas! Looked for months to no avail, finally a dealer 60 miles away told me they had the car I was looking for! Drov up with my wife and young son, sat for hours as they did horrendous things like running my credit 30 times and so forth. Got financing settled and got the run around more! 5-6 hours later I said I’m walking if I don at least see the truck in 5 minutes! They drove the truck around and it was NOT the R/T version! It was beautiful, but not what I wanted nor what I was told they had! I was very concise on the phone with them about what I wanted! He thought just because he kept me there so long and knew we drove a long way that I wouldn’t walk! Told him of and left! Bought the exact truck at another dealer for 9k, mind you, this was when gas first hit $4+ a gallon and no one was buying trucks that got 12 miles to the gallon! Window sticker said they wanted $12k, talked them down to $9k for a 3 year old truck that had every option and original invoice in the glove box stated the first buyer paid $55k!

Many years ago my fiance's stepdad went to a "friend" who was a car salesman to buy a new car for her (she paid for it), and I went along. They sensed that I knew too much so they wanted to get rid of me by taking me out on a test drive of a new Bonneville. I knew what they were up to, but I also knew her step dad wouldn't listen to me anyway so I just went along with it. Of course she got the usual deal; no discount or even decent deal for being a friend.

This video should be pinned (if such a feature existed) for EVERY. SINGLE. PERSON. to watch before buying any car. New or used

My Mom is really wanting a nearly new SUV this week. So this information is Great info. Thank You.

One of the best car buying videos I’ve seen. It is right next to the Chrisfix car buying guide.

Man, we need to teach more kids how to think. "Common Sense" is what trained people assume untrained people must have.

Mr L I really LOVE this video! In the 1980’s I saw a 1967 light yellow Ford Mustang for sale on a gas station lot. Got an inspector from CarFax who asked me 2 VERY important questions after he inspected it. The car was in great shape “as is” but asked me 1) where would I be housing it 2) what would I be using it for He said there was no undercoating so it would have to be garage kept since we’re in NJ close to the ocean AND since I have 2 very small children - I would not want to have them travel in this car because it was built before seatbelts were required. My heart sank but I was VERY grateful for that advice. I never purchased the car.

Bring your kids, grandkids, nephews, nieces or neighbors to the showroom. Turn them loose with chocolate bars and let them check out all the cars while you negotiate. See how quickly you end up with a good deal.

As he said, please remember this stuff applies to ALL cars, not just used. Good story of being ready to walk. I helped a friend of mine find a new car. We found the one he wanted (exact trim package down to the wheels). I then took the VIN and shopped around using it to negotiate the best price. Now keep in mind, most car companies have a policy with the dealers, that if another dealer has the car you need to sell on the lot, you can swap a comparable car with them and they have to accept unless the dealership with the car is currently negotiating a deal on the vehicle. So we knew where the car was, but another dealership said, "we'll beat that price by $500" to get us to purchase from them. So we went to purchase the vehicle from the second dealer, and then they tried to get him to settle for a vehicle that no one has seen (so we don't know what options it had and he really wanted a particular set of wheels). Then he told us that there were no more of these cars in the surrounding states and if he wanted it he needed to purchase it from there before they sold them. So we asked for some time to talk privately. I checked the internet on my tablet using their wi-fi and saw the other dealer was still showing it. So I called them and sure enough it was on the showroom floor. As soon as the salesman came back, I told him what I found out, called him and his manager a liar. We then traveled across town where he purchased the car that day and drove it home. I have seldom found salespersons to be in your corner. The ones that are know they need future sales as well as today sales. Most of those are old school and still believe in handshake contracts. Most people now, you believe none of what they say and only part of what they write down.

Here's one more that applies to vehicles built with On Board Diagnostics (basically anything built since the late 1970s or so), either OBD 1 or OBD 2 depending on when it was built...Take a code reader and know how to use it. They're not expensive and can give a heads up if there's any major problems with the drivetrain. I have no problem walking away from a vehicle purchase. A few years ago, I was looking for a new to me truck. I found one I liked, test drove it, did my own inspection (I'm not a tech but, I know what I'm looking at) then, found out the ASKING price. Of course the salesperson wanted to talk financing blah blah blah, so I just said I'd take care of that myself. I then went to my bank and had them draw a cashiers check in the amount I was willing to pay. I then went back to the dealer and laid down the check. Of course, they couldn't accept my "over the curb" offer so, I picked up the check, said have a nice day and headed for the door. I hadn't even made it back to my non trade in truck before they called me back. That's how I negotiate lol! And yes, I got that truck at MY price.

Another factor is check your interest rate if you are getting a car loan from the dealership . Some years ago I bought an advertised sale of a Toyota pickup . I went to my credit union and got pre approved which is another good idea before going . The monthly price seemed good as it was a good deal but reading through the paper work and getting ready to take ownership I noticed my interest rate was 12 percent . My credit union was at 6 percent . I told the sales guy that's not acceptable . He said we are not making any money of the car . I said not my problem and I will use my credit union for the lone . He said Toyota will match that interest rate and out the door I went with my new truck .

Excellent video. You should turn this into a series for what to do prior to sorts of things.

Awesome! now we will have a bunch of car buyers going in to a dealership and forgetting everything you just told them . Great video! Wish people could stop overpaying for cars. Especially leases

I LOVE shopping for cars for other people. My business partner's wife asked me to go "buy" a car for my partner. She didn't want to deal with the sales people, so she told me to make the deal, then call her and she'd come pay for it. When the sales person asked a question, I answered it instead of my partner. He didn't know a thing in the world about cars. Finally the sales person got a little mad and asked "Who the hell" I was. I informed him that I represented the person with the checkbook so he'd better deal with me. :P I've gone with many people to buy cars. It's so much more fun when it's somebody else's money. :P

Ben looking "into" a Piano Tow, Steve's LHS high

Add to the list: Know all the facts before you go to the dealership. The invoice cost, the rate you can get from your credit union, inventory they have in stock, inventory at other dealerships, offers from other dealerships, and so on. If you go in fully prepared, you will be in a better negotiation position.

Thank you for this invaluable information! I wasn't aware of most of it. Thank you again! I do plan on sharing this with other people.