Unless YOU have vast knowledge of the car you wish to purchase, or bring along someone who does to assist, in many instances it can be a wash. Let me explain. There are two types of sellers in both groups.
Dealers who primarily flip, and know little, care less.
Private owners who have something to hide, and misrepresent their car.
Dealers who take pride in their inventory selection, inspect and repair as needed, and are in in for the long haul.
Private owners who covet their cars, and know every nut & bolt, and represent all fairly and honestly.
The dealer who is category B, fair and proud, may mark up the car, no doubt, but likely purchased at a discount as well. There could be an offset, though generally, the car will likely be slightly higher, not always the case.
The seller in category B could be in a number of situations that benefit the buyer, hence allowing more negotiation on the price. But, as often, I have encountered folks who wish to re-coup practically every dime they invested, and have their car over-valued.
It really can swing either way. Much depends on the culture of the seller, if you will, and how fair-minded they are overall. No matter what, the seller will have a target range, and that is what you are trying to hit bottom on. I for one, do not fear dealers, and have successes with them. I am a good negotiator, and know a fair amount about cars. There are perks in either situation, but I do not subscribe to the blanket idea that dealers are dumb sharks, and I am their next victim. I carefully choose who I do business with, private, or not. All the tenants apply, in both cases. I might add, I had better success in having dealers transport the vehicles, when needed. That can be expensive, and often, they have the means to do so, and amortize it into their cost of doing business. Look for the CAR, not the seller, and go from there.
Dealer vs Private Seller
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