Shopping for a used car is an important financial decision. If you do your research and find one that will last for a while, you can budget for regular maintenance with relative confidence that you’ll be on the road for years to come. But if you take a lemon off the lot, you might end up having to buy a whole new car in no time at all.
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Though car dealerships are often seen as safe places for relatively savvy car buyers who know how to ask the right questions and look for the right features to get the best deal, there are reasons why even the experts don’t look to dealerships for their models.
GOBankingRates talked to Paul Knoll, marketing director of American Muscle, and Mark Beneke, co-owner of Westland Auto Sales, to learn about the circumstances where you might not go to a dealership for a used car — and where you can go instead.
Setting foot in any car dealership means you’ll soon attract the attention of staff — a lot of attention. Sometimes, too much attention. It’s easy to feel overwhelmed by the options, and you’re often in the position of needing to trust sales teams who could be incentivized to press options that benefit their bottom line and not your best interest.
“If you’re considering a used car, you might want to skip the dealership to avoid higher prices, high-pressure sales tactics, and limited choices,” said Knoll. “Dealers often push unnecessary upsells and warranties, and the car’s history might not always be clear.”
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Car dealerships are like any business, they exist to make money. Not only do they want to get cars off the lot, but they’re also invested in upselling features and warranties that might not be necessary for you.
“The biggest reason to avoid a dealership comes down to them valuing price over anything else,” said Beneke. “Dealerships are a business and therefore need to pay for overhead costs and make a profit to continue operating, which means a higher price for buyers.”
One of the biggest perks of purchasing a used car from a dealership is they operate with many regulations in place and handle most of the process for you.
However, according to Beneke, if you’re willing to put in the legwork to find your new set of wheels — which involves spending the time and money to pull history reports; test driving a car; paying for a third-party mechanic to thoroughly inspect the car and share a full report; and searching for any backed fees, emissions issues, and potential liens — you can find less expensive options elsewhere.
