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Q: Why should I negotiate sales price separate from trade-in allowance?
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Negotiating Price vs. Trade-in Allowance
Even though car dealers prefer to wrap the new car price negotiation and trade-in allowance negotiation into one big discussion, you're better off separating the two.
Your salesperson looks at your transaction on a global basis. The more you get for your trade in, the less give there will be in the new car price. Experts agree that you should complete the new car price negotiation first, and then discuss trade in value. And, of course, before having either of these talks with your dealer, arm yourself with as much information as you can.
