Vehicles are among the biggest purchases many people make, and it’s worth putting time and effort into getting the best possible deal. If a brand new car isn’t a financially feasible option, but the uncertainty of buying a used car makes you anxious, you’ve probably considered buying a certified pre-owned (CPO) vehicle.
Sold directly from dealerships, CPO cars tend to be newer models with low mileage that have undergone an inspection, and come with some sort of warranty—and a higher price tag than other used cars. The good news is that it’s possible to negotiate your way to a better deal on a CPO vehicle. Here’s what to know.
How to negotiate when buying a certified pre-owned car
CPO cars may cost more than ones you’d buy from a used car lot or the previous owner, but there are ways to save money on this major purchase. Here are a few negotiation strategies to consider when buying a CPO vehicle:
Do your homework
This may seem obvious, but knowing what you’re talking about when attempting to negotiate is absolutely crucial. At the bare minimum, this means looking up how much your vehicle is worth using Kelley Blue Book or Edmunds.
Use the inspection and vehicle history reports
An oft-touted benefit of CPO cars is that they’ve passed a supposedly rigorous inspection, so you know it meets certain standards. Always ask the salesperson for the inspection report, if they haven’t provided you with a copy already.
But don’t stop there: Also ask to see the vehicle history report, which will tell you if the car has been in any accidents. In addition to being a possible red flag, if the dealership denies your request—or says that they don’t have one handy, or some other excuse—you can order a copy yourself through CarFax, Bumper, or another service approved by the National Motor Vehicle Title Information System.
Carefully review both documents, and if you notice anything that will require maintenance relatively soon—like replacing the brake pads or tires, for instance—ask the dealership to take care of it for you free of charge as part of your deal. Saving money doesn’t always mean driving down the sticker price.
Don’t overlook the extras
Other than the higher cost, what sets CPO vehicles apart from non-certified used cars is the extras from the dealership, ranging from a basic warranty, to roadside assistance, to service loaners when your car’s in the shop. These services also have a monetary value, so don’t forget to include them in your negotiating strategy.
