Some Tips For Car Buyers: Buying A Demo Unit Or A Leftover? Why Not?

The first mistake people make when buying a car is that they don't know what they want. They let the salesman tell them what they want when all the salesman wants is a commission. The first thing you need to do before you buy a car is decide what your needs and wants are. Do you want a 2 door or 4 door? Automatic or manual transmission? 2 wheel drive or 4 wheel drive? Leather or cloth seats? The questions are endless but you need to decide what you need based upon how you will use the auto. Do you spend a lot of time in your car? Do you need a lot of room for children, adults? Do you need to tow a trailer? Do you need namely a new car that has zero miles on it? Did you hear about demo units and leftovers? Demo units are not always cheaper than a new vehicle. Some manufacturers will give the dealer some type of incentive for using the car as a demo and then selling it. This helps the dealer sell the auto cheaper than a new auto by using the incentive to lower the sale price. The challenge is that not all manufacturers do this. Some dealers do not have the ability to price their demos better than a new car. The only way they can discount the price is to lose money on the sale of the car. If you are looking at a demo unit for a possible car to buy, make sure you look at a new car too. Eventually, if you don't want that demo, you may get as good of a deal on the new car as you would have on the demo that has 5000 miles on it. The dealer wants to sell the demo, but they won't lose the sale over you not wanting the demo unit. Leftover vehicles are cars from the previous model year that are still on the lot. The manufacturers usually start sending out their new model year in the fall. For example, a 2009 model year car may show up in September or October of 2008. Once the 2009 models start arriving on the lot, the 2008 models are now considered to be leftovers. The manufacturer will not put good incentives on them at first but they will as more new models start to arrive. You will see them have special financing and big rebates until the end of the year and sometimes into the New Year. The rebates and incentives arc even greater if the model was redesigned and the old style is a leftover. The manufacturer needs to make it worthwhile to a customer to buy a model that is already outdated. The downfall to buying a leftover is that your choice of autos will be somewhat limited as all the most popular colors and models will be the first to go. The least popular trim levels, option combinations and colors are left for last. If you are not as picky and are just looking for a good deal, then a leftover may be perfect for you. They do not always lease well, but you may be able to finance one with a good rate and some big rebates too