2 weeks Ago By Rachel Dobkin
A DEALERSHIP owner has revealed the best time to buy a car if you want to avoid sky-high fees. New tariffs on foreign cars mean price hikes for Americans, but you can still get the best bang for your buck if you act fast. President Donald Trump 's 25% percent tariff on auto imports took effect this week.
Consumers will likely pay at least some of the additional cost imposed on foreign car manufacturers by this tax. But there's still a chance to buy a car without the hefty tariffs, depending on dealerships' inventories. Adam Lee of Lee Auto Malls estimates that his supply of cars that are not affected by the new tariffs will last one to two months.
READ MORE ON TARIFFS Lee, head of Maine's largest auto dealer, told the Portland Press Herald that he has about 1,000 new cars and 600 used cars left on several of his car lots across the southern and central parts of the state. This means customers have until June to buy that car they have been eyeing. Lee suggested purchasing your new ride as soon as possible if you can.
"If you weren’t planning to buy a new car, don’t rush out and buy one just for the heck of it," Lee said. Most read in Motors He added: “But I’m telling people, ‘If you think you’re going to buy something, buy it in the next two months.’ I wouldn’t wait.
” If you think you can avoid price hikes with a used car or an American-made car, Lee issued a stark warning. He predicts that there will be a shortage of used cars in Maine because new cars will get more pricey, leaving fewer people eager to ditch their current ride. This anticipated shortage will make used cars more expensive.
He warned that American-made cars could also be affected by the new tariffs because of the foreign parts that domestic manufacturers use. “I don’t know of any car that doesn’t have imported parts," he said. USED CAR MARKET WILL GO 'BESERK' Lee isn't the only car expert warning about the effect that Trump's new tariffs could have on the used car market.
Yossi Levi - founder and CEO of Car Dealership Guy, an auto retail media platform - said that consumers will start flocking to buy used cars. The "used car market [is] about to go berserk," he told CNBC . Here are some expert tips when purchasing a car from a dealership lot: 1.
Set your price: Ensure you've calculated your monthly budget before going to the lot. You should include the car's loan payment, insurance costs, fuel, and regular maintenance. 2.
Research: Make sure you know which cars you're interested in test driving before you reach the dealership. 3. Pre-approval: Secure financing before you go to the dealership.
Dealerships may give you a better interest rate if they are competing with an outside bank. 4. Test away: Get behind the wheel before making any payments.
A car purchase will be worth thousands of dollars - drivers should ensure they like the drivetrain, steering feel, and comfort of the car before taking it off the lot 5. Haggle: Drivers should always try to negotiate the price. There are so many good cars on the American market - buyers have a strong hand when negotiating price.
Source: Kelley Blue Book CARS THAT WILL BE HIT THE HARDEST Car brands like Mazda and Volvo are expected to be the most impacted by the new tariffs because they import a large portion of their cars into the US. Consumers could see price tags on new foreign cars surge by $6,000 to $16,000, according to iSeeCars, a car search and research company. Read More on The US Sun GMC Sierra 1500, Ram 1500 and the Dodge Charger are some models that iSeeCars expects to experience the highest price hike.
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