Car buying: dealership or private seller?

Dealership

Heading to your local dealer has more perks than the coffee, donuts and giant air dancers. It can be easier to get financing from a dealer than a private seller. Also, a dealership can live or die based on reputation and word-of-mouth, so they’re more likely motivated to provide you with a good car-buying experience than Joe Schmoe. On the other hand, dealerships can be high-pressure environments, and your bottom line price may be higher because of the dealer’s need to maximize profits.

Private dealer

Making your purchase in a one-on-one situation can be a relief when compared with showroom stress, and you’ll probably end up paying less. Also, who better to give you detailed information on a car’s history than its previous owner? That said, trust may be an issue with a private dealer you don’t know, and you usually can’t count on a warranty. Whichever car-buying route you choose, make sure to do as much homework on the front end as possible. Form a clear idea of what you’re looking for in a vehicle – and how much you’re willing to spend for it. The more preparation you do, the less chance you’ll suffer from sticker shock – or any other nasty surprises.