Buy a small car. Automakers tend to price them lower so they can sell more cars and meet government quotas for average fuel efficiency. Mark-up is much higher on full-size, sports and luxury cars.
Negotiate for options rather than dollars off. Dealers can be more flexible when they negotiate with options because of the high margins involved.
Avoid brand-new models during their first few months of introduction. Dealers don't have to bargain for new market innovations because they're usually in high demand.
Keep in mind that good deals are often available at the end of the year as dealerships make room for the new models. Check into the availability of demonstrator models.
If you're responding to an advertised sale, keep your mind on the model that's discounted and don't be distracted by other models on display.
