Advice for a Woman Buying a New Car

When it comes to buying a new car, the car itself makes no distinction between men and women. However, women may find that dealers sometimes do. An ethical dealer, of course, will treat all customers with honesty and respect. Women who are looking for a new car should be prepared to deal effectively with those few who do not. The fact is, a car dealer's goal with every customer is to take as much money for the sale as possible, and it's a generally accepted belief that more women than men are uncomfortable dealing with the hard-ball negotiation tactics that car salesmen and finance managers are trained to pursue. Truly, though, negotiating a car sale with an experienced seller such as a car dealer is intimidating for anyone, man or woman, who doesn't know how to do so successfully to get a fair deal.

Dealers

Ann Fleming, writing for the website Car Insurance Companies, says that, on average, women pay more than $1,000 more than men for a new car. This may be due to a combination of women feeling less confident in buying a new car and dealers taking advantage of this fact. Fleming writes that well over half of women take another person with them when shopping for a new car, and this is generally accepted as good advice. Approach dealers with confidence, let them know exactly what you're looking for. Don't settle for a car that's almost perfect. When you sit down to handle paperwork and negotiate a price, start at the invoice price and negotiate up. Four percent of invoice is generally accepted as a profitable margin for most new car dealers, but there's no guarantee a dealer will accept such an offer. Your best bet at this point in your negotiation is to stick to an offer that gives the dealer a fair, low-margin profit and remain patient as the dealer personnel work you over for up to a few hours. If you feel you can't get a fair price at a low profit margin, you have every right to leave the store.

Support

Having someone with you when you shop for a new car is good advice not only for women but for anyone who is seeking a second opinion and perhaps a more level head during negotiations for a very expensive investment. Be sure, many car salespeople would prefer you do not bring a wing man to the negotiation. But if you're new to buying cars, having a friend or relative with you to act as devil's advocate can benefit you on several levels.

Insurance

One area where gender is in a woman's favor is that of auto insurance. Because women are engaged in fewer traffic accidents than men, statistically, they can qualify for lower insurance rates. You should investigate the rates of various insurance companies before buying a car, and find out the impact of various models on your insurance rates. Minimizing your rates prior to buying your car is the easiest way to save your money for other things.

Mechanical Issues

There is a generalization that women are less mechanically inclined than men. What is certain, even in the new millennium, is that the majority of professional mechanics are men. If you're not a mechanic yourself and will be taking your new car to a professional mechanic for maintenance, be sure to develop a good relationship with a mechanic who will not try to take advantage of you because you are a woman. The best way to do this is to know as much about the mechanical functioning of your car as possible, and to invest in your local Better Business Bureau office's listings.

Financing

Most people who buy new cars do so with the help of a car loan, and as a result are generally paying for a car for years after they buy it. Acquiring a car loan with good, low-interest terms, either from the dealer or from a bank, can make a major difference in the amount of money that you end up paying for your new vehicle.