As a cash buyer 100% of the time, I've actually found it more difficult to negotiate with dealerships.Dealers make a kickback on the financing, which can mean anywhere from a few hundred to a couple thousand dollars extra going back to the dealership on the back end, in the form of a referral fee from the bank. When you're paying cash, they're guaranteed not to get this fee - and as a result, they tend to have less wiggle room in the price.If you're trying to negotiate price, I've found it's better to do it before bringing up payment. If they ask how you're paying, just tell them you aren't sure yet - they arenu2019t expecting you to be a cash buyer, so when they hear that they will just think that means you havenu2019t arranged financing yet. If they push you to fill out a credit app before a final price has been agreed, push back and tell them you aren't going to bother with that until you know what the final price is.Walking in announcing you're a cash buyer limits your negotiating power - if you aren't ready to make a reasonable up front offer, don't reveal you're paying cash until the last possible moment. Truth be told, even then it won't always work - franchise dealerships will usually honor the agreed price, but I've had small and classic dealers back out of a deal once they found out I was paying cash, and claim they can't sell me the car at the agreed price unless I used their financing.Today I don't really haggle anymore. I pick my target number after doing my homework and walk in with a take it or leave it offer, u201cI need to be at $X out the door including all fees, cash deal, no trade. Talk to your manager and see if he will take it, I can't go any higher.u201d If they come back higher, walk away. Sometimes they take it, sometimes they don't.Sometimes theyu2019ll tell you that you should finance it and then just pay off the loan (so they can get their commission), but donu2019t do this since most auto loans have an early payoff penalty - usually equivalent to the commission they paid the dealer.