One of the most basic negotiation tactics is the lowball. One of the keys to getting a great price on a vehicle could be the buyer’s ability to lowball a dealer and resist the salesman’s offers.
While the lowball is typically thought of as offering a price substantially lower than what something is worth, dealers also use lowballs in a slightly different way. Inflated prices on vehicles and performance packages are just like a lowball in that they offer the dealer maximum profit. Many car buyers don’t bother to negotiate these prices down to their actual value. According to Edmunds, a dealer may also lowball a trade-in and try to distract the driver by giving them a reduced price on the vehicle that they’re looking at, only to make that money back and then some on the lowballed trade.
Buyers shouldn’t be afraid to lowball a salesman or dealer. This doesn’t strictly apply to the full price of the car, but also on options. Many salesman will negotiate to a certain extent if it means that they get closer to a sale. And even if a low offer is reject outright, a driver hasn’t lost any ground. The salesperson just knows that they’ll have to work harder to make the sale.
When buying a vehicle on a bad credit car loan, every dollar counts. By starting as low as possible and working up from there, buyers can maximize their potential to get a great deal.