Best Car Dealerships
Motor Scout 🏆 2026
5.0Let Motor Scout take the haggle and hassle out of buying a new car. 100% free service!
Motor Scout 🏆 2026
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So glad I came upon Motor Scout. So fast getting quotes. Louella was amazing in getting us a great deal would highly recommend this service.
John Hughes Car Sales 🏆 2026
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Outstanding sales team, Matt and Geoff were brilliant, extremely helpful, friendly and supportive professionals. Thank you for your amazing service and positive experience.
Von Bibra

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Just picked up my new Crosstrek and couldnt be happier both with the car and Rob and Jamie . Very proffessional and not at all pushy . Their product knowledge is second to none .
Suttons
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When we launched our new business, we heard nothing but glowing recommendations about Adam and Troy (Suttons Trucks Arncliffe) from several trusted… Read more
contractors, so we knew we had to reach out. From the very first conversation, it was clear why they came so highly praised. Adam and Troy truly went above and beyond, investing time and effort to deeply understand our needs. They helped us select a truck that was perfectly aligned with our business model, ensuring it was the ideal fit from the start.
The first truck turned out so well that when it came time for the second one, we didn’t hesitate to have Adam and Troy design and build it for us.
Today, the second truck was delivered, and we couldn’t be more thrilled with the results. It’s exactly what our business needed—no compromises. The level of expertise and attention to detail they provided is unmatched. We're so grateful to them both!
If you're looking for the right truck, do yourself a favor and connect with Adam and Troy. They’ll make sure you get exactly what you need.
Thanks again to Adam and Troy!
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First time using this service and found it to take the hassell out of trying to buy a car. My deal was organised through Craig Cowan who was… Read more
immensely helpful and did an outstanding job getting a deal done that I am extremely thankful for. Will definitely recommend Craig and this service to anyone looking to buy a car.
OzCar
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couldn't even look a the cars in the yard. when I said just browsing for now, don't want hard sell, the reply was 'But you've come into my (!) yard' Well, that put me in my place so I left. Toyota yard was way more helpful and respectful
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Franc & Shaun were very patient and helpful with myself & my daughter each buying a car at the same time .
Carma
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They are professional and efficient. I highly recommend theirs services. They went beyond my expectations.
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This is my second purchase through a broker and this latest experience with OnlineAuto was as seamless as the first. Why would you even entertain… Read more
dealing with car dealers when this option is available to you- a no-brainer. After a serious accident and needing to acquire a replacement vehicle fast, Jay was there to provide fast, super efficient guidance over the phone whilst we were traveling home in a loan vehicle, with a substantial discount to-boot. I cannot recommend them highly enough.
Adam W.
carconnect
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I purchased a vehicle about a month ago and has been available through Carconnect, dealer has not been paid and I have been delayed delivery of my… Read more
new vehicle on numerous occasions now company has gone into voluntary administration. Took full payment fully knowing they could not delivery a vehicle to me, CEO and Directors should be charged with outright theft.
Best service and highly recommend impact motors if you are looking for new cars
Carbarn
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Three months ago, I purchased a used 4WD Toyota Hiace van imported from Japan from Carbarn. Despite having driven around 200,000 km, it was a… Read more
well-maintained vehicle. I was concerned about some surface rust on the underbody, but I was impressed by the strong need for 4WD and the low price, so I decided to buy it.
After receiving the car, I washed and dried the underbody. Then, I sprayed the rusted underbody with rust-preventing spray (Lanolin oil). I sprayed the rusted areas repeatedly whenever I had time, and now, three months later, the rust is no longer visible. If you spray the rust-preventing spray occasionally, rust will no longer be a concern. After receiving the car, I installed plywood and some barriers to facilitate delivery. These can be removed if necessary.
My current car is perfect in every way. I'm very happy driving it. I use it as a delivery vehicle during the week and take my family on picnics on the weekends. I can even visit rural Australia with my family at the end of the year. I used to be concerned about the high cost of full car insurance, but Carbarn introduced me to a low-cost insurance company, saving me over $2,000 a year. Thank you very much ❤️ "Carbarn"
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5 Stars – Highly Recommended! Zac and the team were absolutely fantastic to deal with. I test drove a car and instantly fell in love with it. I put… Read more
down a deposit, but unfortunately ran into some issues with finalising my finance. Even though I was past the 3-day cooling-off period, Zac and his team refunded my deposit in full—no hassle, no pressure. That level of honesty and integrity is rare to find. Although I didn’t go through with the purchase in the end, the entire experience was smooth, respectful, and professional from start to finish. The staff were a genuine pleasure to deal with.
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I took delivery of a new Fortuner just before Christmas without the bull bar and recovery points, with a promise they would be installed the… Read more
following month. When I returned, I was told the recovery points had been removed because they were the wrong ones and new ones had to be ordered.
It has now been 45 days with no recovery points installed, and my calls and messages are going unanswered. Very disappointing after-sales service. I expected much better communication and follow-through.
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Purchased a new Gwm Tank 300, from Max and Sami at Springwood. Both easy to deal with, and up front. Good communication messaging and ringing to… Read more
keep me informed regarding delays out of their control. Pricewise got a good deal, better than book trade in, few extras thrown in, overall price very competitive. No hassel at all
Tynan Motors
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Brendan was so helpful and easy to deal with in helping us buy our vehicle. Highly recommend this dealership for service and knowledge
easyauto123
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easyauto123 Hendra, Brisbane. Avoid: Major mechanical failure after 6km. Dealer refused to help and refund deposit. I had a deeply concerning… Read more
experience with Easyauto123. When I picked up the vehicle, and after driving only 6km, it suffered a major mechanical failure (throttle sensor) in the middle of a high-speed Toll Road. It was a dangerous situation that left me stranded for 3 hours.
When I called for help, the dealership refused to assist with the recovery of the faulty vehicle, forcing me to arrange my own towing back to them.
Under the Australian Consumer Law (ACL), a car breaking down within minutes of purchase is a 'Major Failure.' Despite this, the dealer is refusing to provide a full refund of my $500 deposit. They are attempting to misclassify a mechanical rejection as a 'change of mind' return to justify keeping my money for window tinting costs.
Not only did the car fail immediately, but the dealership is now practicing what I consider unjust enrichment. They have the car back in their stock—complete with the window tinting I paid for—yet they are still refusing to refund my $500. They will profit twice: once from my deposit and again when they resell the car with the tinting I funded.
It is unconscionable to hide behind a '7-day policy' to deny a refund for a major mechanical failure that occurred within 6km. In my experience, their '7-day guarantee' is being applied in a way that attempts to override my statutory rights under the Australian Consumer Law.
Prospective buyers should be aware that the dealership may try to use store policies to deny full refunds even in cases of major mechanical failure.
They have also refused to compensate me for the consequential losses caused by their faulty product, including emergency accommodation, return travel, and lost wages.
If you value your safety and your consumer rights, I strongly recommend looking elsewhere. I have been forced to lodge formal disputes with the Office of Fair Trading, AFCA, QLD/National Ombudsman and ACCC to recover my funds.
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I was contacted by Daniel from KS Motor Company offering to sell my vehicle, as I had it advertised privately but had no success. It was a unique car… Read more
so hard to sell. Daniel was great to deal with made it allot easer. I had my money in the bank. I had a positive experience & would recommend this Dealership. Friendly and communicative staff.
AutoTribe
Force you to use their finance. Rip off prices – Not sure where all their 5 star reviews come from as I doubt their validity. As someone else mentioned, they won't sell you a car if you're not using… Read more
their finance.
TLDR: will force you to use their finance. Rip off prices. Selling used cars for more than a brand new car (time to end the Covid tax)
Sent them an enquiry stating I was interested in a car through a lease arrangement. Never heard back from them. Called them up a few days later and asked for the first registration date of that vehicle as it would have qualified for an FBT exemption if registered after July 2022. Was told it was registered in June (how convenient) so I'd lose the FBT benefit of going through a lease and possibly opt for their finance.
Fact is that particular vehicle model was only released in Australia late August 2022 (maybe do your research if you're gonna bullsh*t). Unless you're telling me that this vehicle's a grey import?
Also selling the used vehicle for more than a new one would cost. Current wait times for this particular vehicle is 1 - 2.5 months (so not excessive).
Definitely do your research before approaching these lot as they'll scalp you if they can.
Disappointing because after all those positive reviews, I was hoping they'd be different and honest.
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We bought a 2021 Toyota Alphard Hybrid from Best People Movers and had a fantastic experience with Natalia. She was extremely honest and transparent… Read more
about the car, with all documents and paperwork well prepared. Nothing was hidden and everything was clearly explained.
What really stood out was how supportive she was during the inspection and loan process. As first-time buyers of a Japanese import, there were many things we didn’t know, but Natalia guided us through everything and made the whole process smooth.
It’s rare to find a dealer who runs their business with this level of honesty and care. If you’re looking for a Japanese import, I would definitely recommend talking to Natalia.
MotorMall
Big thanks to Daniel for the test drives and assistance in looking for my new vehicle. Made things quick and easy for me without costing me too much of my time. Cheers mate
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In short, Terrible, THEY DO NOT DO ANY SAFETY OR ANY CHECKS, THEY PUT CARS ON SALES FLOOR AS IS, this is a statement directly from one of the staff… Read more
members if they had said that before we purchases, I would have walked away, will never buy from this car yard again. only do something when forced will put your and your family's life at risk to safe a dollar, I would rather walk then buy another car from this place.
salesperson was friendly and said everything she needed to, to make the sale including saying the car was in A1 condition
we bought a Ute to tow our camper trailer to Kalberri about a 1300KM round trip with the family. when we looked at the car it wasn't to bad it had everything we wanted and it was described to use as in A1 condition. we found AC wasn't working, fan only worked on High and A coolant warning light was on the dash. which were supposed to be fixed before we pick it up. Mrs. picked it up and on the way home she noted the AC wasn't working correctly only blowing cold air on drivers side and the fan was still squeaking as it was the weekend I decided to call them Monday. I proceeded to drive it and put in a full tank of fuel which showed it had a hole in the tank. I messaged them and called them on Monday which was just Before new year.
we organised to drop it off tuesday morning with the following problems to be sorted AC, Fan, Fuel leak on the tank and Fuel filter, we were set to travel to Kalberri on Friday morning, they said we can pick it up on wednesday without of ANY repairs being done as there wasn't enough time to fix them. we said we would rather Higher a car than to take that on the trip.
we came back from the trip on the 7th Jan on the 9th of jan I got a phone call in the morning saying "The car will be ready for pickup 10th the AC guy will be fixing AC and fan around lunch time" we then recieved another call on the 9th in the afternoon someone else saying "the car will be ready for pickup today the mechanic will drop it off in about an hour and he doesn't know whats happening with the AC or FAN but we can pick it up anyway" I said ok and ignored it as I wasn't going to pick it up if the AC hadn't been done.
we then got a call on the 10th saying the AC and fan would be fixed around 3pm and it should be ready for pickup around 5pm. we gone to pick it up all seemed well enough noted out of the full tank that was drop off (120L) only a quarter was left was told by the person in attending that no one else was here and he wouldn't be able to do anything tonight. got home to see the fuel leak on the filter was not sorted and the Fan was now working but the AC was still only blowing cold air on the drivers side.
Then the Transmission started to slip and the Brakes Failed after having driven 500Ks since its been purchased that is a little short of the 1300km we would have driven it which means while going through the hills before getting to Kalberri we would have had no brakes while towing a 2T camper trailer.
I proceeded to contact the Consumer protection which stands firm on that the car yard should be getting it towed and fixing all Issues as per the consumer protection Guarantee. which stats the car needs to be ROADWORTHY, needs to be SAFE, Acceptable Quality, fit for its Purpose, match the description,
I contacted the Yard and told them what's going on including I contacted Consumer protection. They offered to fix all issues but not the brakes as they called it wear item. I had the brakes done, then dropped the car off and everything else was fixed. so they say I have yet to see proof of anything they say was done. there is no photo's no invoices from the mechanic.
I had the car checked with a computer the car has 11 fault codes 5 active phones which includes the coolant system and the ABS, EBS and traction control, which my mechanic is currently checking.
besides the fault codes that are being looked into, oil leaks, brake failure, transmission slipping, bold spare tire, no High beam. I would have expected these issues from a car costing $8000 not $15000. what this car yard has shown me they will do nothing unless forced to they will put your life and your families life at risk to safe a Dollar.
If you do decide to buy make sure you get it checked by an external mechanic.
I've booked an appointment for 09:50 AM on 22nd December. When I arrived, there is no place to park the car which led me to park it half a kilometer… Read more
from the service station. The call to the service center, to inform about the delay took more than 10 minutes and was still on wait. When I arrived at 10:00 and waited my turn for around 5 minutes to be assisted, I was told that all bookings for that day were full as I was 15 mins late.
The next available appointment was only at the end of Jan. That is some next level stupidity.
If they work based on appointments, how did they accept additional customers in that 15 minutes?
This is the most unprofessional service center I've ever been to.
They arrogance is probably due to them being the only jeep authorized service center in the area.
I had the best experience with this dealership. Arnie was incredibly honest, transparent, and thorough throughout the entire process. He took the… Read more
time to explain everything clearly and made me feel completely comfortable with my purchase. I truly appreciated his professionalism and integrity highly recommend!
A great all round experience! – I was in the market for a second hand car and came across the Carizma website in my search. I had my mind on a couple of vehicles that I saw on the… Read more
site. I took my relative along as she too was looking for a vehicle. We had stopped at two car yards before going there. We were amazed by the help we received at Carizma. Alex and Hyula were fantastic. We both found vehicles we liked. She needed finance but ours was a straight forward sale. They helped us from start to finish. No pressure from them. Just good vehicles to choose from.
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It’s been a month and a half asking a quote for installation and a charger , no one has responded . Was recommended by a friend but looks like hopeless
I was looking for a car for the kids a few weeks ago and starting about 12k and looking at a few private sales realised the budget was too low so… Read more
upped it to 15k while out with my daughter we stopped into a couple of car lots while still looking a private sale but nothing in our price and more about getting in a car the right size. but the team at village motors kippa ring offered us a car for 16k by dropping the price by nearly 3k, she is so happy with the Haval h6 with 70 000 kms and still has 18 months left on the factory warranty with extended warranty (as long as its service is done there) even done the big bow photo shoot for Youse young people that have to put your whole life on line
Satisfied customer – I recently brought a car at Valley motor Auctions and am very pleased with their professionalism… I dealt with Jay who was nothing but pleasant to… Read more
deal with. He gave me great service, and a good deal, he kept me informed as things progressed … Thanks Jay and thanks valley motor auctions….
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Picked up the brand new GWM Tank 500 from Pacific Hyundai. Firstly. Wow, what a car is the Tank. Fabulous. My dealings with were David and I couldn't… Read more
have asked for better service from him. Very professional in his approach and knowledge of the vehicle. My 4th GWM from Pacific Hyundai. Nothing better than getting a great car and getting looked after from a knowledgeable salesperson at a really great dealership.
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Shoutout to Thomas, Ken, and Rica at MCC. They turned a complicated process into a breeze. Great price, great car, and even better service. I’ll definitely be back for my next one!
Motor Scout 🏆 2026
5.0Let Motor Scout take the haggle and hassle out of buying a new car. 100% free service!
What is a car dealership?
A licensed car dealership is a business that buys, sells, and/or exchanges motor vehicles as a retailer or wholesaler.
Dealerships are typically privately owned franchises, or they operate based on a licensing agreement with car manufacturers.
Many dealerships are mainly made up of a larger new car lot, and a smaller used car section. Others are dedicated solely to selling second-hand cars.
A much smaller percentage are online car dealerships. These let you browse various car makes and models, provide information on pricing and a location to view the car in person.
How do car dealerships make money?
Dealers make around an average of 5% profit on new car sales. In the case of new cars, the manufacturer is more likely than the dealer to make the lion’s share of profits.
For used cars sales, the profit margin for dealers is higher, at around 15%. In this case, dealers usually buy the cars cheap and sell them for a higher price. The dealer may buy the cars cheaply through customer trade-ins, or from a wholesaler that only sells cars to licensed dealers.
A dealership often makes most of its money on: old cars that get traded in, dealer’s finance, car parts and servicing or service packages. All the added extras that you get offered at the end of a sale can add to the dealer’s profit.
Is it better to get a car from a dealership?
Let's take a quick look at how a buying a car at a dealership compares to two other popular purchasing methods - buying a car through a private seller, or getting a car at auction.
| Criteria | Car dealership | Private sale | Auction |
| Price | ‘Drive-away’ price is more expensive | Cheaper - but plenty of added costs post-purchase | Can snag a bargain - but less flexibility to back out |
| Price negotiating | Can negotiate price | Can negotiate price | Fixed price once agreed to |
| Mechanic inspection allowed | Allowed before purchasing used cars | Can request pre-purchase inspection | Independent inspection before sale is uncommon |
| Test drive | Test drive is standard | Test drive subject to seller agreeing to it | Can’t test drive car |
| Trade-in for old car | Can usually trade-in old vehicle | Must sell old car independently | Must sell old car independently |
| Cooling-off period | 1-day cooling off period | No cooling-off period | No cooling-off period |
| Title guarantee | Clear title guarantee | No clear title guarantee (need to do a PPSR search yourself) | Clear title guarantee |
| Guarantees and warranties | Dealership guarantees apply for most cars sold | No guarantees or warranty, car sold 'as is' | No guarantees or warranty, car sold ‘as is’ |
| Australian Consumer Law guarantees | ACL guarantees apply | State-based consumer protection laws apply | State-based consumer protection laws apply |
Car dealerships
Dealer guarantees - The main difference
Any licensed car dealership is required by law to provide a dealer guarantee (previously called a statutory guarantee). These are provided in addition to a new car manufacturer’s warranty and in addition to the Australian Consumer Law or ACL guarantees.
Dealer guarantees make a car dealership responsible for fixing any major defects on a car that weren’t revealed in the course of a pre-purchase inspection by a mechanic. This requires the dealer to get the car back into a reasonable condition. This can involve making repairs or remediating - ‘diagnosing’ the problem in order to fix it.
Always check how long the dealer guarantee lasts for - known as the limitation period. The limitation period could be a time period or the distance driven. Once this is elapsed or reached, the guarantee no longer applies - but you can look to the manufacturer's warranty or ACL guarantees for help fixing the problem.
Used car dealer guarantees
If you’re buying second-hand, dealer guarantees also include a requirement to guarantee the second-hand car has the following:
- No hidden debts: Guarantee that there's no money owing on the car by a third party.
- Any pre-existing damage must be disclosed such as flood or hail damage, or major modifications.
- Clear title guarantee: This means the car comes with full title in your name, and ownership.
Used cars sold 'as is'
Note that some used cars at a dealership are advertised and sold ‘as is.’ These cars are sold unregistered and without any warranties or guarantees. These cars may be cheaper but they are riskier to buy. However, you can hire a certified mechanic to inspect the vehicle before purchasing, to ideally identify what needs to be fixed. If repairs won’t be too expensive, you may score a bargain - if you're okay with purchasing without a warranty or guarantees.
Private sales
Private sale guarantees
If you buy a car privately, the seller is under no legal obligation to guarantee that they’ll fix the car if there are any defects that present themselves after purchase. The seller is also not required to provide a warranty.
This means you’re on your own if the car has latent defects, or is the subject of a barely-disguised bad repair job. What's riskier is that you won't be covered by Australian Consumer Law in the event that something does go wrong. ACL only applies to businesses, and private sellers are usually individuals.
Private sale prices
While buying a car privately initially seems cheaper than buying at a dealership, it's likely to end up being more expensive than buying from a dealer.
When buying privately, you’ll need to tack on costs like a transfer fee, and stamp duty - calculated as a percentage of the car’s market value, not the sale price.
In comparison, dealers usually quote you a ‘drive-away’ price that includes everything in one figure. This includes dealer fees, stamp duty and registration. It’s worth shopping at multiple dealerships to compare the drive-away prices, as they can be quite competitive to get your sale.
Buying direct from the manufacturer
This is another way to buy a new car, however it’s more common for high-end car brands such as Tesla or Genesis. There are a few more everyday brands that are starting to offer this too, such as Honda.
However, a major drawback is that you can’t haggle on price when buying direct from the manufacturer. Also expect to wait some time before getting your car, as it’s rare to find available on-the-floor models.
For luxury cars, showrooms and experience centres let you browse cars and enjoy the experience without the pressure of a salesperson hovering over your shoulder.
Auction
Most cars sold at auction are sold ‘as is’ - without a warranty or guarantees, and are unregistered. This is the same situation as a car bought through a private sale.
Top 10 tips for buying a car at a dealership
1. Do your research first
You’ll definitely feel more confident walking into a car dealership if you know what you’re looking for. This helps you stay firm about your priorities and reduces the likelihood of becoming swayed by emotion when you’re charmed by cars that aren't in your wheelhouse - practically or financially.
This includes choosing the specific car you wish to buy beforehand. You can check the following so you know buying that particular car is the right decision for you: manufacturer websites, online car dealerships, car pricing sites like Red Book, expert reviews, buyer’s guides, reliability surveys and ANCAP safety ratings.
In terms of ongoing future costs, it will also be useful to check the following: fuel efficiency, car insurance costs, and resale value (this is based on the build plate date - the year the car was manufactured in). Also check that the model has a manufacturer-backed warranty.
Getting a fair trade-in price
If you're planning to sell your old car, most dealers will accept a trade-in.
Do some research on your car value and how much you’re likely to fetch for it through a private sale. This way you’ll be able to easily compare this figure with a dealer’s offer for a trade-in. The price you’ll get depends on a few factors, such as the popularity of the model and the condition the car is in. Keeping receipts from car servicing can help you get a better price.
When determining the trade-in viability at a dealer, ask for the changeover price. This is the total amount you’ll pay for your new car, minus the amount the dealer gives you for trading in your old car.
2. Organise your finances
Having your finances sorted out before you agree to buy a car helps you know whether you’re getting a good deal or not.
Dealer finance is often offered, and dealers make money on securing a successful loan arrangement. You can’t trust promises from a car salesperson that ‘this is the best interest rate you’ll get’, because it’s just not objective financial advice.
Again, do your research beforehand on how to find the best car loan. Compare interest rates from banks, loan companies and credit unions to see what the most competitive rates are. This will let you apply sound judgement when a dealer offers the ‘best interest rate’ - you’ll know whether it actually is or not.
3. Get a Pre-purchase inspection
This is especially important if you’re looking for second hand cars for sale. It’s not as crucial to inspect new cars as they’re covered by the manufacturer’s warranty.
However, for used cars a full mechanic check is required to make sure the car is roadworthy. Used car dealerships will often do reconditioning on a car - making cosmetic enhancements to the car body so it looks shiny and inviting. You want to make sure there are no nasty surprises under the bonnet.
An inspection reveals any obvious defects, like damage from a car accident, hail damage, a bad repair job, etc. This is part of your due diligence as a buyer. Being aware of any problems from the outset can avoid the financial burden of costly repairs later.
It can also strengthen your bargaining position - if you’re aware of any issues needing fixing, but still decide to buy the car, you can use this knowledge to negotiate a lower sale price with the dealer.
4. Go for a test drive
Used cars
The test drive is especially important if you’re buying a second hand car. Hand in hand with a pre-purchase inspection, a test drive is one of the steps to take to make sure you’re not buying a lemon.
While it won’t alert you to all a car’s problems, it’s a good way to check the car isn’t plagued by obvious problems such as the car giving off smoke or having a rattling engine.
New Cars
For new cars, the test drive is about making sure the car feels right for you. It should feel comfortable to drive. Also keep a mental note of what you need in a car, and check that a prospective car ticks those boxes. For example, you might need enough storage space in the boot for soccer gear, or a built-in GPS that’s easy to use.
5. Be wary of optional extras
Dealers don’t make too much profit from the actual car sale, but they do pocket more cash on the extras.
Commonly, these can include fabric proofing, floor mats, as well as rust and paint protection. As a rule of thumb, if you don’t understand what’s being offered or haven’t heard of it before, don’t accept.
Some ‘extras’ like paint and rust protection, as well as capped servicing packages, are already included in the warranty, so if you opt for these without doing research first, you’d be handing over more money for no reason.
6. Carefully consider whether you need an extended warranty
There are two types of car warranties - manufacturer warranties and extended warranties.
Manufacturer warranty
Almost all new cars will come with a manufacturer warranty, also called a factory warranty. These typically cover repairs for mechanical failures due to design defects or faulty car parts. They usually last 3 years or 80,000 km as a minimum (whichever comes first), however the exact warranty details depend on the specific car and manufacturer in question.
Dealer/Extended warranty
You can also choose to buy an extended warranty, which is provided by the dealer. This kicks into gear after the manufacturer's warranty expires. For example, if you buy a Fiat 500 with a 3-year standard warranty, and then a 3-year extended warranty on top, you’ll be protected for 6 years.
Extended warranties are usually bought to give the buyer extra peace of mind. You might never have to make a claim for the entire warranty period.
It may be useful to keep the following factors in mind when making your decision:
- Dealerships usually get a big chunk of commission from selling an extended warranty: sometimes up to 50% of what you pay.
- Coverage in an extended warranty won’t neccessarily match what’s covered in the manufacturer’s warranty. Extended warranties are rarely manufacturer-backed.
- You’ll still have protection under the Australian Consumer Law guarantees, even if you say no to the extended warranty. ACL guarantees ensure cars must be of an acceptable quality and provide remedies if they're not.
Used car warranties
If you buy a pre-owned vehicle at a dealership, you get a used car statutory warranty. This is provided the car has less than 160,000 km on its odometer, is less than 10 years old and doesn't exceed the luxury car tax threshold ($77,565).
This warranty is valid for 3 months or 5,000km from the day you purchase the car - whichever comes first. The statutory warranty covers major defects, but excludes ordinary wear and tear.
7. Only talk about price at the end
This gives you more bargaining power and allows you to negotiate the best price. One of the benefits of buying from a car dealership is that you can haggle on price - so don’t be afraid to do it.
8. Question the fees and charges
These fees or item lines may include dealer delivery fees, documentation fees, and processing fees. Always question these fees, especially if you're paying for dealer delivery fees on a car that was already on the lot of the dealership (for example, a demonstrator model or floor stock).
9. Don’t succumb to pressure
Don’t buy into common selling traps, such as a dealer saying a certain price is for a limited time only.
Play it cool and don’t worry that an attractive offer from a dealer will be taken back or ‘expire’ if you don’t say yes and sign the papers straight away. It’s okay to take your time and have a think. This may be an exception if the car is a limited edition - for example limited by how many models are being produced, not limited edition by name. However, in the vast majority of cases there’s no reason you need to shake hands on the spot.
Car salespeople know how to put the pressure on - but if you’re well-prepared for this beforehand, you can resist this, even when under the guise of charming customer service.
10. Shop around
A car is usually the second most valuable asset a person will own, apart from real estate. Making a financial commitment you’re confident you can keep is likely to save you from stress in the future.
Shopping around is usually the best way to do this. Get quotes from at least three dealerships, and make sure you’re comparing the drive-away price for all three - with all costs included. Don’t sign anything until you’re absolutely ready to, and make sure that any deposit you pay is fully refundable in case you change your mind.
The bottom line
If you're in the market for a new or used car (but new to you), visiting a car dealership to make the purchase has a number of potential plus points. To make sure you get the best possible deal, always make sure to take a few precautionary steps.
These steps include knowing the make and model of car you're interested in buying beforehand, organising your finances, and being flexible. You don't have to sign anything on the spot, and always be prepared to shop around to compare prices. This will all help avoid a headache when buying a new car, and help keep the fun in it.