Finding the best price on a new SUV can be a difficult process. So many brands and models compete for your attention, making it difficult to pick the best one at the best price. However, the 3-dealership rule can simplify the process and ensure you get the most for your money.
The “3-dealership rule” recommends shopping around at least three different dealerships before making a purchase. That way, you can learn more about the offerings at each dealership, compare prices, and negotiate better deals. Use our handy guide to help you choose the right SUV before you make a final decision. Then use our 3-dealership rule to help you find the most affordable SUV while also giving you confidence that you’ve considered every possibility.
Reasons to use the three-dealership rule
Consider these arguments in favour of the 3-dealership rule before making your next SUV purchase:
Improve your negotiating skills
With three bids at your disposal, you’ll be in a better position to negotiate a lower price or higher trade-in value. You can also use the information from one dealership to ask for a lower interest rate, a longer warranty, or more features from another dealership.
Avoiding buyer’s remorse
You can narrow down your options for the perfect SUV by visiting dealerships and taking test drives. Also, you won’t have to worry about giving in to the sales tactics or pressure of a single dealership that might lead you to buy something you don’t need.
Expand your market knowledge
You can learn more about the local SUV supply and demand by checking out three different dealerships. Find out more about the SUV models and brands available in your area, as well as their unique features, options, and rebates.
The 3-dealership rule is a straightforward method for getting the best price on a new SUV. It can help you make a well-informed choice while saving you time, money, and stress.
Exactly what is the “three dealership rule,” anyway?
The three-dealership rule will come in handy once you’ve chosen which SUV to purchase as your next car in order to procure the best possible price and deal. This easy tactic can help you compare costs and even bargain for better terms. The process is as follows:
- Find three dealerships that sell the SUV model you want and are within a reasonable driving distance of your home.
- Ask each dealership for their best price on the SUV you want, including all applicable fees, taxes, incentives, and financing terms, either over the phone or in person.
- Do not commit to any of the dealers until you have received a printed copy or email version of the price quote from each dealer.
- Evaluate each bid to determine which one offers the best value. You can use online calculators and other tools to compare things like monthly payments, interest rates, and the total cost of ownership.
- Get back in touch with the dealer who made the lowest offer and let them know you’ve received two other, better bids. Tell them what the other offer is, and see if they can beat it. Be nice, but firm, and show them proof of the other offers.
- Continue doing this with the other two dealerships until you negotiate the best price for your SUV.
If you’re not mentally ready, this process can be stressful
The 3-dealership rule is a simple way to compare the prices and features of different SUVs. You can learn about the average price, different options, and the dealers’ negotiating styles in this way. While this rule is generally helpful, there are a few caveats to keep in mind:
- Unfortunately, not all dealerships are forthright and honest about their pricing structures. Some businesses may entice you with low prices over the phone or online, only to try to sell you or covertly add extra dealership-provided services when you reach their business office to finalize the contract, driving up the real cost.
- If a dealership doesn’t have the SUV model or trim level you want in stock, they may pressure you into purchasing something else. If you let yourself get sidetracked from your original goal, you might end up purchasing an SUV that is less suited to your needs and preferences and has a lower resale value.
- Dealerships may use limited-time offers, fabricated scarcity, or emotional appeals to get you to buy now. They might also make you feel bad about wasting their time by discouraging you from going to other dealerships.
Use the 3-dealership rule to ensure you get the best price on your next SUV purchase. Having this knowledge at your disposal can also boost your self-assurance and give you more leverage when haggling with salespeople to secure the best price on your next SUV.
By taking this approach, you can make an informed choice and maybe even save money in the process. So don’t accept the first offer you get from a dealership; instead, shop around and negotiate a better price.