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Haggling Advice


jonlarge
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First off...love v2.0.

Anyway, I need some haggling advice. We're looking to trade in the Mrs' Golf for an A4 Avant (2.0 FSI S-Line SE). It's on the Audi website for £21k, so we popped into our nearest for a mooch and a drive.

The sales fella checked his system and it said if was £23k, so a reduction had happened within the past few weeks. I'd seen the car on the website for the past 10 days, but the sales bloke said it had happened within days as their "Used Car Stock List" booklet, printed on the 7th April, had the old price in it.

This bit is relevant as the salesman announced that forecourt prices were non-negotiable as they'd been reduced so much already.

So the car wasn't around for gander and a drive, but we're hoping to pop in next week for a drive, plus he'll be able to make his part-exchange offer for our Golf.

So when he does should I haggle, and if so, has anyone got any tips? I have already admitted our budget is £17k, and to reach £21k would be a push. As a result he's getting two Avant's in for us to try - the one above and a £17k one.

He also mentioned that he could do some finance at 4.75%. No details yet but that does sound cheap doesn't it?

Anyway, thanks in advance if anyone can help!

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They've had for a long time, a new A4 is out, he doesn't know what price the car is currently at.

Do you need finance?

Do you have any other A4's to see? You could always get out a list of A4's you need to see and let him 'accidentally' see it......

It's not as if the A4 Avant is not common. There are plenty to choose from.

Show interest, drive and talk figures, don't sign anything and do not give him a deposit. Go home and wait for him to call you with a better deal in a few days!

There'll be many more, more experienced hagglers along to give you some tips.

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Sorry, forgot to mention the choice of car. It's a family decision and we're after something a bit more practical, with a bit more space.

The Mrs' Golf is a 1.6 Match so it's a step up isn't it?

No questioning the B7 A4 Avant - great machine. Just that the 2.0 FSI isn't the most wonderful plant available. You not fancy a 2.0 TDI 140 fwd?

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Best advice if you want to haggle is get his name and give him yours, make him feel like a friend. Do your homework on what deal you want and what the car is worth, is there a similar model around for less if so find out.

And then silence, tell him the deal you want and leave it to him to speak, don't feel the need to fill the silence. Don't go daft with that but you get the picture, oh and don't split the difference if he is a fair way from what you want to pay it takes the price closed to his figure then not yours. Oh and be prepared to walk and say he hasn't got close enough but thanks for your time, you really wanted to do a deal but not at that price etc. etc. etc. +++

Good luck. :cool:

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One more point to consider.

Don't be taken in by the "Your car is worth £15000 and our car is for sale at £23000..." etc. The trade in value and the new car value are both part of the same deal, and what you want to be looking for is a figure called "Cost to change". You'll find that dealers will offer a varying price for your car dependent on what their profit is in the other vehicle. One dealer might offer you only £10k for yours against his at £18k, while another will offer you £13k for yours against his at £21k. Guess what? If the 2 cars you're viewing are similar in spec and age etc. then they're both offering the same for your car, just that one is juggling figures at a higher level.

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4.75% is a flat rate, which is around 10% apr, so pretty ****e imho.

I would want to be at sub 4% flat, which is about 8% apr, but it is only 8% apr if you see the full term out, if you try and end early the percentage figure will be completely different.

The finance deal is probably more important than your trade in price and the price you pay for the car, you could end up getting that car for £18k, but if they claw back the extra £2k in interest then is it still a good deal?

Some of the agreement quotes I see are bordering on criminal these days, seems like most dealers know they make nothing on the car and screw you over on the finance instead.

Speak to someone like Gareth who is a broker and gets a flat fee for setting finance up, not a percentage of the interest made from you.

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The pricing issue you first talk about is a "sales tool" that loads of dealers use, and it really PISSES me off. Numerous dealers do it and it is verging on crooked.

They have the car at a price at the dealers, but use more agressive web pring to get you in. Once in you get the "error/just reduced" excuse and that in theory shuts down the case for further negotitation.

As has been said earlier - the important figure is the cost to change. Look at Autotrader to get an idea of values in the market for both the car you are selling and the car you are buying.

The fact that you need finance actually makes you more attractive - since they will make money on that too.

Bargain hard, and dont be forced into making a decision on the spot. Make sure your Golf is clean and polished, and pick every makr blemish and fault on the car you are buying as negotiating tools.

Once you have got as far as you can on the cost to change, push for a service, mats, full tank of fuel, tax and so on.

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Just a quick update, for you all. Thanks for all your advice.

The salesman wasn't moving much, but each time I said we wanted to think about it, he offered a touch more. We get some extra for our Golf, which equated to £700 off total, plus 6 months road tax, so I was happy. There's always some satisfaction when you feel you've got somewhere no matter how small.

We paid the deposit (£1k) and will hopefully 'complete' this Friday the 18th.

There's some extra food in the mix though. We look on the Audi website today back at work (after we'd done the deal) and see that they are offering 2 years free servicing on the car, provided you purchase it from the 18th April to the 28th. So I've phoned the salesman back to see if this offer holds too.

He said he would try and blag it but the deal was already 'skinned to the bone' and that such things cost money.

Can anyone let me know what the potential costs to the dealer would be for this free servicing? I know it's dependent on parts required but it would be good to know how well I've done with the £700 off.

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If Audi are offering the deal then it's not for the salesman to say no really. He's not doing you a favour by "trying to blag the deal" for you, because it's not connected to the sale in any way. I've a suspicion that his eagerness to work with you to secure a sale has suddenly turned into a dismissive attitude, because you've paid a deposit now. However, as the deal isn't complete until Friday then in effect the sale will go through on the day to hit the free servicing. I'd expect it to be valid, and if not I'd like an explanation from Audi as to why their sale staff are refusing it.

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If Audi are offering the deal then it's not for the salesman to say no really. He's not doing you a favour by "trying to blag the deal" for you, because it's not connected to the sale in any way. I've a suspicion that his eagerness to work with you to secure a sale has suddenly turned into a dismissive attitude, because you've paid a deposit now. However, as the deal isn't complete until Friday then in effect the sale will go through on the day to hit the free servicing. I'd expect it to be valid, and if not I'd like an explanation from Audi as to why their sale staff are refusing it.

Agreed. Dont take no for an answer - the deal is there. You expect it to be part of it. Dont show ANY weakness on this point, as it isnt in his interest to get you the free servicing.

Ask him to confirm it is included or you'll speak to Audi UK.

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4.75% is a flat rate, which is around 10% apr, so pretty ****e imho.

I would want to be at sub 4% flat, which is about 8% apr, but it is only 8% apr if you see the full term out, if you try and end early the percentage figure will be completely different.

I agree with your first point - the deal offered is pretty poor if they are talking about 4.75% flat rate. However the relationship between flat rate and APR is very much dependent on the term of the loan and the way it is paid back, so APR does not necessarily equal flat rate * 2 (or sometimes even close to that).

The finance deal is probably more important than your trade in price and the price you pay for the car, you could end up getting that car for £18k, but if they claw back the extra £2k in interest then is it still a good deal?

Agree !!

Speak to someone like Gareth who is a broker and gets a flat fee for setting finance up, not a percentage of the interest made from you.

Strongly agree - Gareth is your man for finance!

:beer:

Sidicks

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