6 Things You Should Know Before Buying An EV From Costco

Known for its low prices and curated selection of goods, Costco sells everything from groceries to furniture to automotive items. Its consumer electronics portfolio is also pretty decent, with smart home products, televisions, laptops, phones, and more found in its warehouse clubs. But beyond the items you can see in its massive stores, the retail giant runs a program called Costco Auto that aims to provide a hassle-free car purchase experience to its members. However, it doesn't sell the cars itself; instead, the retailer has partnerships with dealerships around the nation to facilitate car purchases.

So, if you're in the market for some of the best electric vehicles (EVs), Costco can help you score a deal without needing to haggle with the dealer yourself. However, it's important to have a full picture of the Costco Auto Program to ensure your EV buying experience remains smooth and you are able to get the best price. So, here are the top 6 things you need to know before ordering your new EV through Costco.

There is a lot to like about Costco's Auto Program, especially if you are not a pro shopper and would rather have peace of mind while shopping for a car. One of the biggest positives of the program is its pre-negotiated pricing that saves you from haggling with the dealer for deals or discounts. As Costco has millions of members, it has the necessary leverage to extract good deals from dealers and car manufacturers. This is particularly helpful with EVs, as they tend to be more expensive than their gas-powered counterparts, and a good pre-arranged price can help a lot. Plus, the Costco discounts are in addition to any manufacturer rebates and government incentives available to EV buyers.

Moreover, Costco matches you with its hand-picked dealers, who honor the Costco price and keep the complete buying experience seamless, as they don't want negative reviews, which can jeopardize their relationship with the retailer. In addition to the pre-negotiated discounted prices, Costco sometimes runs special promotions for cars from specific manufacturers to offer even more discounts, and it can come in handy if you're planning to shop for a car from that company. Moreover, there are extra discounts for Costco's Executive members.

While you can get a pretty good deal using the Costco Auto Program, it's not necessarily the best possible price you can get if you are a good negotiator and are willing to search across multiple dealerships. If you're willing to make an effort, you can talk to multiple dealerships and potentially get a better deal. Additionally, the price advantage offered by Costco's program is limited to the car pricing and doesn't apply to financing, trade-ins, or any add-ons you may want to include. The dealerships can potentially add unexpected fees in these areas.

Another disadvantage of the Costco Auto Program when it comes to EVs is its limited selection. The program doesn't have all available EVs, all trims of specific cars, or even colors. So, if you have a specific model or trim in mind, there is no guarantee that you'll get it. This can be a bummer if you're looking for a cheap new EV or if you want a specific variant with a larger or smaller battery. Finally, Costco typically partners with only one dealership in one geographical area per brand, which further limits what you can buy and from where. Nonetheless, it's worth exploring Costco's options while also getting quotes directly from multiple dealerships yourself.