Cadillac vehicles are known for their high quality. But they’re not known for retaining their resale value. Compared to most other vehicles, Cadillacs depreciate very quickly, as luxury brands tend to. On average, a Cadillac retains just 74.83% of its sale value after three years.1 Therefore, you can find a great deal on a used Cadillac, but how do you negotiate at a Los Angeles Cadillac dealership to get an even better price?
How to Negotiate for a Used Car
Determine What You Need and Can Afford
When car shopping, know the features you want. Your budget will determine what is affordable. Also, consider your needs. How many passengers will you travel with? What is the ideal cargo capacity for you?
Consider safety features as well, such as adaptive cruise control and automatic emergency braking. The car’s fuel economy and mileage are other important factors. In addition, think about how long you might keep the car.
Know the Vehicle’s Market Value
Aside from your budget, the car’s market value will help you negotiate a price with the dealership. Use Kelley Blue Book or Edmunds (or our Edmunds True Market Value® estimator) to determine the average market value for your vehicle of choice. These can also help you calculate a vehicle’s depreciated value. Therefore, you’ll be informed once you meet with a seller or salesperson.
Compare the Cost of Similar Vehicles
Research the prices of vehicles like the one you have in mind, based on your local market. When you sit down with the salesperson, you can quote the prices you’ve seen. This tactic can be effective because you’re implying you’re looking for a fair price. If they can’t offer it, they know you may look elsewhere. Your knowledge may convince them to bring down the price of the car.
Learn the Vehicle’s History
Obtain a vehicle history report from the dealer or an online source. Confirm the reading on the odometer and check if the car has been in an accident, had major repairs, or has had flood damage. This information can help you decide to keep looking or give you leverage in negotiating a lower price.
Know What You Can Negotiate
Buying a used car comes with added costs, such as dealership fees. For example, documentation fees cover the cost of processing paperwork, while destination fees cover the cost of transporting the car. You can’t usually negotiate insurance, tax, title, and license fees. But you can talk down or avoid paying dealer preparation fees, VIN etching, extended warranties, etc.
Get Pre-Approved for Financing
When you get pre-approved, you know exactly how much of a loan you qualify for. You can simply ask the dealer to match the terms. Or, you can ask for a price reduction on the vehicle. Some buyers ask to have extras they like included in the final price. Dealerships often favor this approach as financing a vehicle makes them a profit.
How Much Can You Talk Down a Used Car Price?
The salesperson may have a price they’re not allowed to go below. But discounts can arise if the dealer is eager to sell or if the market is competitive. Your best bet is to make an offer based on the first quote or the information you’ve gathered. The dealer can accept it or counter your offer; then, you can accept or inform the seller you want to see a lower-priced car.
If you’re trading in your current vehicle, consider the trade-in value. Deducting it from the quote on a used car can yield a more affordable price. But don’t include it in your negotiation. You’re not required to tell the dealer about a trade-in upfront and can always inform them later. When negotiating the price of a vehicle, concentrate on the selling price first.
Shop for a Used Cadillac at Hawthorne Auto Square
If you want to find a high-quality used car at a Los Angeles Cadillac dealership, Hawthorne Auto Square has many low-mileage vehicles to pick from. You can find a used Cadillac Escalade, ATS, CTS, XTS, SRX, and other popular models with all the features of a new luxury car. We offer a six-month comprehensive warranty and stress-free financing regardless of your credit. For more information, call (866) 707-7664.