How to get dealers to compete for your new car

Dealers price a new car differently when they know you're comparing. One dealer on its own has little reason to move. Several dealers asked for the same car, in writing, at the same time, have every reason to sharpen their figures. This is how to set that up.

Choose one model and one trim first

Dealers can only compete on the same car. If you ask one for a mid-range trim and another for the top trim, you can't compare the answers, and neither has to try very hard. Settle the year, model, trim, the colors you'd accept and your must-have options before you ask anyone. Our guide to choosing a new car helps you get there. If you're torn between two models, run the process for one, then the other.

Ask several dealers at once, in writing

Email, or the contact form on each dealer's website, works better than calling or walking in. You get answers you can keep and compare, and nobody can talk you round in person. Ask five or more dealers if you can. Looking a little further from home often adds dealers who are keen for the sale.

Keep the request short and complete:

• the year, model and trim, with acceptable colors and must-have options
• roughly when you plan to buy
• your ZIP code, so they can work out taxes and fees
• a request for an itemized out-the-door price, with the car's stock number or VIN

Insist on the out-the-door price

The sale price alone hides too much. Doc fees, dealer add-ons and markups can swallow a discount. An out-the-door total, with every line listed, is the only figure that compares fairly. Our out-the-door price guide explains what it should include. If a dealer replies with an invitation to come in and talk numbers, ask once more in writing. If they still won't put a total in writing, move on.

Compare like with like

Before you rank the offers, check they're for the same thing. One dealer's car may carry a protection package or extra accessories; another dealer may leave out a fee the rest include. Ask each dealer to quote the car without anything you didn't ask for. Our guide to dealer add-ons covers the usual ones.

Use each offer to improve the others

Once you have a few written totals, go back to each dealer with the lowest one and ask whether they can beat it. You don't have to name the other dealer. Keep it factual and polite: you have a written out-the-door offer for the same car, and you'd like to buy from them if they can do better. Never invent an offer. Dealers often ask to see it, and you'll lose their trust if you can't show one.

One or two rounds is usually enough. After that, the offers tend to settle close together, and pushing further mostly costs you time.

Know when to stop

Choose the offer with the lowest total that includes everything you asked for, from a dealer you're comfortable visiting. Get the final figure in writing before you go in, and check the paperwork matches it before you sign. If the model has a waiting list, expect less movement: competition still helps, but mostly against markups.

How we do it

This is the method we follow for you. We charge $399 flat. You tell us the exact new car you want, we contact several dealers and negotiate, and within 1–2 weeks you get a report with at least five negotiated offers and each dealer's details; you choose one and buy directly from that dealer. We do our best on every search, but dealers decide what they accept, so we can't promise a particular price.