The purchase of a new car is stressful for many people who are averse to haggling over the price.

Car dealers tend to be a bit pushy when selling their cars. If you want to get a good price and avoid being conned at the same time, you should look for a car broker.

This article contains some important tips that you should bear in mind when you contact a car broker.

1. Do some research

Car Broker

A car broker wants to earn a commission when he sells you a car. It is advisable that you perform a background check before meeting the broker. This includes finding out if the broker has built a reputation for buying cars.

You can also do research on the type of car you want to buy online. Find out at what price the online car dealers are selling the car. This will give you a solid basis when you negotiate the purchase price. You will want to know if the broker has a license and will deliver the car after the purchase. This will save you time and resources when choosing the car.

RELATED: How Does a Car Dealers Make Money?

2. Identifying the right broker

Car brokers are divided into two categories – retail and wholesale car broker clubs. Brokers are there to ensure that you get the best possible price from the car seller. They help you to save the time and stress that comes with negotiations. Individual brokers have previously held positions with car dealers or car manufacturer companies. They tend to know a lot about cars. These types of brokers often operate from home or have small offices near your city.

You also get the added benefit of personalized services. The car club brokers are larger, but they only offer their services to members who belong to their club. In some cases, you may find a dealer-broker relationship. Here the dealer offers the broker a commission for the sale of his cars.

RELATED: How to Buy a New Car when you have Bad Credit

3. The broker is on your side

Car Broker Purchase

You are busy and have no time to buy a car and negotiate a price. Car brokers offer a crucial service in handling the financing, taxes, vehicle inspection, and legal issues involved in buying a car. They are professional negotiators and do this on your behalf. Many clients have success stories of how they have bought a good car through the services of a broker.

However, you must be aware that some brokers work with a car dealership to sell cars. To be on the safe side, look at the broker’s recommendations and testimonials. Have many people dealt with them and would recommend them?

You can ask if random dealers have heard of a particular broker and take note of this. Also, get recommendations from car agents from family and friends. Ask them about their experience with a particular broker.

RELATED: How to get the Best Price from an Extended Warranty

4. Broker fees

Most brokers charge a flat fee for the purchase of a car. Avoid those that have certain fees that depend on the car you are buying. By charging a flat fee, the broker will only make money if he sells you a car. Online broker websites offer the same service, but at much lower fees.

You can get a contract with the broker by sending them an email or calling them. Brokers have connections to car dealers, and this allows you to get the best car at the best price. They will also advise you on whether you should lease or buy a new car.

5. Widen search

Do not simply settle for a local broker. It is advisable to extend your search to different geographical regions. This offers you a wide range of brokerage terms. When you find a car broker, you should check their experience and references before you hire them.

Keep an eye out for brokers who are connected to the car dealership. Knowing a car dealership is not a bad thing unless you are forced to accept a particular deal while there are other options on the market. A car dealer deals exclusively with the sale of cars, while the broker is the intermediary between you and the dealer. The broker is there to ensure that you get the best deal when you buy a car.

RELATED: How to Buy a Car Without a Title

6. Check documents

After the car broker has concluded the deal with the car dealership, make sure that all the formalities are completed. Check the engine number and see if it corresponds to the VIN. You may want to come with a mechanic to confirm that the car is in good working order before you close the deal. The broker receives a flat fee when he sells you a car, and you need to be sure he hasn’t sold you a more expensive model just to make extra money.

It is equally important to make your needs clear to the broker when buying a car. You must ask yourself why you need a car at all. Do you have a family that requires you to buy a particular model? You should also set a maximum negotiation price. Inform your broker how much you are willing to pay when you buy.

The car purchase should be based on similar offers that you have researched online. A budget will help you to limit yourself to certain car models. You should value your household income minus expenses. This is what is available to make monthly payments and maintain the car.


A car broker will help you find the right car if you do not have time to make the purchase yourself. When you contact a broker, research the broker’s services carefully. This includes finding out if they have good recommendations and referrals from other customers. You can choose either an individual broker or a car broker club. Brokers charge a flat fee for their services.

Research online about the purchase price of similar car models. This will give you a rough idea of how much the car will cost. Most brokers have worked for a car dealership before starting their own business. It is wise to ensure that the broker-dealer relationship does not lead to a conflict of interest.

Car brokers are useful if you have no negotiating experience or know little about cars.