Source: Pixabay Purchasing a car is a big commitment and a significant financial investment. A car is never considered an impulse buy unless you’re rolling in cash. According to a 2021 Statista research, new car buyers in America spend around 5 hours and 22 minutes researching their prospective vehicles. While it’s lower than the previous years, it’s still a considerable time spent on research. However, learning what a car, truck, or SUV has to offer is just the tip of the purchasing decision.

Photo by Felix Fuchs on Unsplash A dealer holdback is an amount of money that a car manufacturer effectively charges a dealership when they buy the car but then repays to the dealership at the end of the quarter or the year. This amount is typically around 3% off the MSRP of the vehicle, according to Edmunds. So, why would the dealerships be okay paying extra money to the manufacturer now only to get it back later?

Source: Pixabay Certified pre-owned (CPO) cars offer an ideal middle ground for auto shoppers. It’s a new-ish vehicle without the new car price and comes with a factory-backed warranty. Let’s explore CPO essentials and find out how much can you negotiate off a certified pre-owned car. What Is a Certified Pre-Owned Car? Before going further, let’s review what makes a certified pre-owned car. A CPO program provides extended warranty coverage for an automaker’s pre-owned vehicles that have passed an inspection process.