Considering buying from a dealer or a private sale and confused about which option is better?
Having worked in car yards for 18 years before going it alone as Quantum Vehicle & Equipment Finance I feel I am quite experienced in offering advice to my clients. There are pros and cons with both options and ultimately it’s up to you, the client, as to what you feel comfortable with, but I will do my best to guide you through the maze. If you feel uncomfortable negotiating with a dealer for a brand new car, you should consider utilising my new car buying service where pricing is sourced from various dealers and negotiated on your behalf saving you time and money!
Buying through a dealer Pros:
- The car comes with a statutory warranty
- You can trade your car in against the new car
- The car has a guaranteed clear title which means there is no money owing on it.
- Dealers have a variety of cars in one location
Cons:
- Dealer margins mean you can sometimes pay top price as they have to pay advertising, rent, administration and salespersons commission.
- The aftercare person will try and sell you a heap of extras at inflated prices. Before you know it you have spent thousands more than you budgeted and more than the car is worth.
- High pressure sales tactics = Impulse buying that can create anxiety after the purchase.
Buying Privately Pros:
- No dealer margin or overheads saving you more $$$
- Typically more flexible on pricing as they are keen to move on to their next car
- No games or high pressure selling techniques
Cons:
- The car may have money owing on it – so you need to do your PPSR checks
- There is no warranty
- You may need to pay for a mechanical inspection for peace of mind
- No trade in options
If you are looking at purchasing privately, I can assist with Car History reports that show if the car has money owing to a bank, been written off, stolen, had the speedo wound back and the owner history which can provide peace of mind. I can also offer warranties whether they are manufacturer extended warranties or mechanical breakdown warranties for older cars that are out of warranty.
So in closing, I welcome you to contact me via the form to your right if you require further advice or clarification around purchasing and financing your next car. I have access to numerous lenders and the knowledge and experience to find you the right lender and best interest rates for your situation.
All the best in your search for a new car
Lisa