Ust what is an automotive broker? If he or she is like me, they’re basically a buyer’s agent—a personal shopper who helps to arrange every part of the vehicle transaction, watching out for the Jbest interests of the client. The three major parts of this role are:
- Finding and securing of the appropriate new or used car, truck or SUV
- Shopping any trade-in vehicle to maximize its value
- Arranging the finance or lease package.
We also often help with things such as accessories, service contracts, shipping, servicing, and cosmetic and mechanical upkeep. If someone has enough time, they can do much of this for themselves. However, the bottom line is that dealers negotiate hundreds of deals per month. Normal folk do it on average once every three to four years, putting them at a disadvantage, despite all the information available on the Internet.
A professional broker does enough volume to negotiate deep discounts through the fleet departments of new car franchises, and can make sure the savings are enough to cover their fee ($500-$700 in my experience) and still deliver a great deal to their client. And, since they work in the business on a daily basis, they are often intuitively aware of changes in the market and how these can affect people’s transportation needs—not just at the time of purchase but when it’s time to trade in, as well.
Another advantage to using a broker is the comfort and certainty that come of a long-term relationship. Many auto brokers have been in business for five, 10 or even over 20 years; they often work with generations of the same family. Normally, the chance that a consumer will ever work with a salesperson they actually like and trust (even if they can find one) more than once are slim, especially if they change the brand of car they are shopping for.
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As a result, every transaction is a new chance to be taken advantage of. Finally, because a broker isn’t employed by a specific new car manufacturer and isn’t limited to a certain used car inventory, they can obtain most any type of vehicle. Therefore, their interest is in what car is most appropriate for their client. Top auto brokers are good enough to work exclusively on a repeat and referral basis.