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How to be a Savvy Bargain-Hunter
when Buying a Major Appliance
by Kimbery Griffiths
When shopping for major appliances consider researching your options
before walking into your local appliance store. Whether you're in the
market for a computer, refrigerator, washer/dryer, or a vacuum, the
process for comparison shopping is the same. Save yourself at least 10%
- 80% on appliances by planning your purchase – this could equate up to
$1000 or more a year in savings.
To save money on any appliance you are going to purchase, answer the
following questions:
What features do you want?
When do you really need to have the appliance?
Will you consider buying a second-hand unit?
What price range are you willing to pay?
My objective is to walk you through my recent purchase for a
refrigerator so that you can use the cost-saving tactics when you
purchase your next major appliance.
What features do you want?
There are so many different varieties of refrigerators that it can be
difficult to choose what you want. From least to most expensive there
are top-freezers, bottom-freezers, side-by-sides, as well as
cabinet-depth and built-in models. It was helpful to search online to
read the customer reviews of appliances at www.eopinions.com and the
consumer reports review, www.consumerreports.org. You can find the
latest consumer reports at your local library for free.
Interesting Fact: According to a Consumer Reports article, Frigidaire,
General Electric, Kenmore, and Whirlpool account for 75% of top-freezer
sales!
Even though the top-freezer models are much more space efficient and
generally less expensive and the bottom-freezer refrigerators are all
the rage, I decided I wanted a stainless steel side-by-side model with a
filtered water and ice dispenser. As long as the unit was a major brand
with at least a 1 year manufacturer warranty, it didn't really matter to
me who made it. I don't particularly need the spill-proof, slide-out
glass shelves and temperature controlled compartments, but if a
mid-priced refrigerator came with it, I would welcome it.
To become familiar with what the features are of appliances, you can do
begin your research at some of the national appliance stores:
www.BestBuy.com
www.Sears.com
www.HomeDepot.com
www.Lowes.com
When do you really need to have the appliance?
Depending on your financial situation, you may wish to hold out another
year with your existing appliance if you can. Visit the Repair Clinic,
www.repairclinic.com, which offers help in identifying how to repair
your existing appliance.
If you are replacing an older model refrigerator, you may save money in
electric bills with a new more efficient model. The best time to replace
an old appliance is when it is still working! Hopefully you will have
time to research this major purchase so that you can be sure you get the
best price. Fortunately, I knew I had a couple weeks to plan for the
refrigerator purchase and its delivery.
Will you consider buying a second-hand unit?
As frugal as I am, there are some appliances that I just want to buy new
– a refrigerator is one of them. If a friend, neighbor, or colleague was
moving and luck would work in my favor that they were selling newer
model, I would have seriously considered buying it. However, I wasn't
interested in looking for a second-hand unit from someone I didn't know.
If you really are tight on money and need the appliance now, some of the
national rental centers in your town may sell used appliances.
What price range are you willing to pay?
Here are the price ranges of what you can expect to pay for the
different types of models:
Top-Freezer: $350 to $2,000
Bottom-Freezer: $650 to $2,000
Side-by-Side: $800 - $2600
Cabinet Depth: $1,500 - $3,000
Built-In: $4,000 - $6,000
Don't forget to measure the space that you have for a refrigerator in
your kitchen before buying the new appliance. This may help you
eliminate a lot of your choices depending on the size space you have.
For the features I wanted, I knew that my hope of paying $700 was going
to be unlikely. I was astounded to find out that "mainstream"
refrigerators can cost upwards of $3000 with the average retail cost
settling around the $1400 mark. I decided I was willing to pay up to
$1000, but anymore would not be within my budget. I just don't need all
the bells and whistles that come with these high-end units. I figure the
more gadgets it has, the more likely something will break down. I want
it to be functional and a good investment.
Buying last year's car model can be a tremendous bargaining tactic, and
buying last year's appliances can save you a bundle too. Shops are
looking to move merchandise, especially when the new models are coming
into the marketplace. Research the competition in your neighborhood
versus buying the appliance online. Sears Outlets are cashing in on
selling appliances that have been discontinued, refurbished, or damaged,
but unfortunately, my city doesn't have such an outlet. Although the
choices are more limited at these types of outlets, the appliances are
discounted between 15%-50% off the retail price.
Be a savvy bargain-hunter and inquire at your local appliance store if
they have a scratch and dent section of their store. If you don't mind a
little cosmetic blemish on your appliance, you could save some money.
The scratch and dent section I uncovered had appliances reduced at 10%
off the retail price. I wasn't impressed with the price reduction so I
began looking at their sale items.
Although getting the appliance on sale is good, I wanted to find a new
refrigerator at a much deeper discount. I scoured the appliance stores
for one-of-a-kind 2005 floor models that they were trying to unload
since the 2006 versions were filling the showrooms. As luck would have
it, I found one; exactly what I was looking for, a stainless steel
side-by-side unit with a filtered water and ice dispenser. The retail
price was $1200, and I was able to negotiate it with a locally-owned
appliance store for $881.95 with free delivery -- there are definite
advantages to working with a locally-owned appliance store!
I was assured by the sales associate that if I found the same unit
advertised by one of their competitors within the next 30 days, they
would refund me 110% of the difference. He was convinced that I wouldn't
be able to find one but I will continue to look! After you make the
purchase, be cognizant that the appliance store you bought it from
doesn't put the item on sale. If they do, make sure that the store will
reimburse you the difference.
Buying extended warranties is always a challenge for me. Of course I
don't want to have any problems in five years, but I also think that
paying the appliance store $99 for this insurance is a waste of my
money. This topic is very controversial. Do what you feel most
comfortable with but be sure to submit the manufacturer's warranty
information right away since this doesn't cost you any additional money.
Remember to apply these cost saving strategies to any appliance purchase
you make. By searching for the best price on these items, you can spend
your money on getting out of debt or begin saving for a rainy day.
About One Paycheck at a Time
One Paycheck at a Time Inc. is the leading source for sensible debt
reduction solutions. Its products include the One Paycheck at a Time
paperback (ISBN: 1591133327), as well as an e-book format, and the
e-Tools program. The author of the book and president of the company,
Kimberly A. Griffiths, has been through the vicious cycle of debt
herself and has made it her personal goal to share her experience to
help others. More information can be found about the company and its
products at www.1PaycheckataTime.com.
Note: The above article is intended for educational purposes only and it
should not be interpreted as financial advice. For advice that is
specific to your circumstances, you please consult your tax and
financial adviser.
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