First Car Purchase - Dealership Tips Please!

Hi All,

Hoping I can get some help. Live in the CBD (Sydney) so haven't needed a car for 10 years, but with a kid on the way it seems time to bite the depreciating liability bullet.

We don't have a car space, so will need something small for street parking. We were toying with the idea of getting something like a newish Mazda 2 ($18k with 25km on the clock), but that would require some financing which I'd rather avoid. Would rather buy the best thing we can for 8-10k cash.

Going to have a look at dealerships next weekend - can anyone recommend what prep I need to do first? (I don't know anything about cars!).

Anything you wish you'd done at a dealership, but didn't?
Anything you did and regret doing?!
Is there an expectation to haggle? I don't mind haggling, but what kind of discount is possible vs taking the piss?
Most adverts don't include Government costs - what are these?

Thanks for much for your help, a bit lost with all of this!

Comments

  • +1

    Definitely shop around for the best deal and service..
    Get an independent mechanic if needed..
    Make sure to look for log books to show service history..

    Maybe ask a friend or family member to go with you if you are a novice?

    Do not believe anything the sales people try to tell you..

    Be careful..

    • Good tips thanks - I might pay someone who knows what they're doing to check over a car if we find a winner.
      I work in sales myself (not car sales though, seems like a whole different beast), but I'm certainly wary of their tactics!

    • I was just talking to someone who went with the best deal. They are facing debt collection over a single $500 payment because of some mistake the dealer made on the trade-in. The deal still works out good on paper, and the collection was reversed by the dealer, but the total time spent dealing with the aftermath made the "cheapest" deal uneconomical. And apparently that dealer has a reputation of being one of the worst in town, despite being one of the cheapest. The other dealers said they couldn't match the deal because it was under their threshold or something

  • There is no on street parking in Sydney CBD?

    • Sorry I didn't mean LITERALLY in the CBD, but I walk in to work (I'm East).

      • +3

        Ah I see, so your eligible for resident parking permit.
        I’d buy a used medium Japanese or South Korean suv with reverse cameras. I think Mazda 2 would be too small with pram bags car seat etc. If it’s on the street near the cross I wouldn’t buy a new car.

  • If only there was some way of researching what others have done to get a good deal.

    This question has been asked way too often.

  • https://www.caradvice.com.au/875466/used-car-prices-australi…
    used car price is a little higher than pre-covid due to people who saved up for holidays etc were spent on items, home reno, new car/ toys etc.

    • thanks I did see that. Unfortunate timing, but want a car ready before child arrives.

  • +6

    can anyone recommend what prep I need to do first?

    Do your homework first;
    Know what you want roughly. Type, shape, size, fuel, budget, brand, model, country of origin, etc.
    Narrow it down to a few makes and models and go and try them all out. Do a recon mission first. Test drive the short list cars and narrow it down to 2 or 3.
    Go home and do more homework, this time on prices and what is reasonable and what you expect.
    Hit up forums for know issues and read what features it should have (MY vs build date)
    Search for different stealerships all selling the same car you are looking for. Have a list of them, the car and the prices each wants.
    Work out what you are happy to pay and that it is reasonable (if you owned it, would you sell it for your asking price)

    Anything you wish you'd done at a dealership, but didn't?

    Yes, left sooner.

    Anything you did and regret doing?!

    Not leaving soon enough.

    Is there an expectation to haggle? I don't mind haggling, but what kind of discount is possible vs taking the piss?

    Yes. Taking the piss is 50%, realistic, it depends, new or used. There is much less room to move on a new car than used. 10~15% on new is pretty reasonable. 15~25% on a used vehicle is reasonable. It also depends on what end of the price scale it sits in. There isnt going to be 25% on a used $10,000 Corolla, but on a $47,000 used Santa Fe, much more room to move. And dont listen to the drongos here that say they got $25% off a new Hybrid RAV4 on release day when there was already a 8 month back order. (Or bought the version without roof racks.)

    Most adverts don't include Government costs - what are these?

    Stamp duty, transfer fees, plate fees, registration fees, CTP insurance (depending on state), blue/pink slip and the "dealer delivery" fee, which is a bullshit fee they tack on top for doing your paperwork, cleaning the car and prepping it for you to pick up and has nothing to do with government costs, so you can safely cross that out as part of the negotiation.

    And remember, it's not a pissing competition. The only person that should care what they paid and what they got, is you. It's your car, and you are buying it. No one can or should tell you what value you put on your car. Just buy what feels right at the price you are happy with and enjoy it.

    • +1

      Yep, OP, don’t impulse buy.

      Transfer your OzB KnowHow to compare prices, only thing is there is no upvote to help you at the dealership 😄. Maybe come back with your car with prices options and we can critique it for you, don’t sign “under pressure” and get burnt.

  • +5

    Definitely don't spend $18k on a car that will live on the street. Bird crap, leaves, dust, other people, etc, you'll get too stressed!

    • no that's my thinking too - will buy something outright that we're not too precious about (8-10k)

  • +2

    Mazda 2's really cost $18k used?

    I need to get out more.

    • Seems like sadly used car prices are up 20-30% due to covid. Wouldn't get one now if we didn't need to, seems to be the worst possible timing!

      The one I was referring to is under 2yrs old and like 18,000km on the clock (as well as not a standard model)

  • +1

    Long handshake which goes for 30-40 seconds

    • haha holding eye contact throughout, right?

  • Definitely do NOT wait until the child is near due to do all the groundwork and rush and buy anything to just cope.

    As someone mentioned having a baby means many added items to carry in a car, first a bassinette type restraint, a stroller , those things are not tiny, you need to think on rear door opening size, that is: do the doors open only to a 60 degree access or open more to a 90 degree?

    Older cars may not have all the access points for restraints? I just think you're not going to get anything big enough in a modern car for 10 k. But wish you well

    • +1

      thanks Shannon. Sadly it does need to be small as we'll need to find street parking, but I honestly don't think we'll use it all that much. We have a travel pram ready, as well as a decent compact car seat.

      child is due in Feb so looking to purchase soon so that we're comfortable with the car and driving, it's been a while since we've both driven regularly.

      Interesting point about the opening angles, didn't think about that.

      • +1

        Try a nissan micra, friend said his daughter had one a while back and had both a 3 yr old and 8mth old and with careful planning could get stroller babyseat bassinette etc all in without too much fuss.

        There are some 2014/15 models on carsales around the 10k mark

        before you inspect any car either take a stroller with you(presume you have gotten a loan car off family) and bassinette, put them in any car you want to test if they fit its on your list, if not quickly cross it out

        Wish you luck and a safe trouble free pregnancy and delivery

  • +1

    I think u should go to online car sale website , then toy around there , see what u like, or more important what missus likes, let her choose the one she like ..And that usually is the right one ..Choose a Japanese or Korean car will tend to have cheaper maintance cost then European car, u also need to buy insurance that is a must …don't trust what dealer say, see it yourself.. if u like it go test drive , hear any abnormal sound or shaking ..And last advice don't just buy a car because u think u need a car, buy it when u actually need one, the cost of owning a car is actually quite a bit , ctp, insurance, rego, petrol, maintance, toll etc if u are under 30 or new driver that will cost u even more

  • depends if there are lots of stocks. no one would discount their last one or two remaining stocks. i probably contacted a dozen dealerships.

  • -2

    I recommend Tony Lahood Motors, they include a free 3 year warranty You van see a full description of each car on their website

    • If they include a “free” 3 year warranty, you’re paying for it somewhere else, usually in the over inflated purchase price, or the terms and conditions of the warranty is usually something like service every 5,000km or 6 months at their dealership and it’s usually way more expensive than somewhere else. Also, go over by a day or a km, and there goes your warranty.

    • my wife did actually add them to the shortlist yesterday, we will stop by and have a look.

  • Take a look at Hyundai i30, very good small car, reliable, zippy

    • I like them, but there's not too many below $10k, and the ones that are seem to be have done north of 150,000km which seems like a bit of a red flag?

  • Does anyone have any experience with paying for an independent mechanic to come out and expect the vehicle?

  • Please please look up 'White board finance' on YouTube and watch his video on buying a car from dealerships.
    Invaluable tips there!

    • +1

      I will, thanks!

Login or Join to leave a comment