How To Buy a New or Used Car
Finding a good car today is not very difficult. However, getting a good deal on a good car can be tricky, especially if it’s your first car or if you are not very mechanics-savvy. Whether it’s a brand new car or a used one, your vehicle will most likely be with you for some time, so you must make sure you get a good piece of machinery without compromising your finances.
Here are some tips to help you get the right car for the right price.
Buying a Used Car
Used cars are excellent choices for low cost transportation, and especially suitable for doing business. If a car is a valuable tool in what you do, chances are that a used car will be more than enough to get you from place to place without drawing too much money out of your pocket.
Of course, if you buy the wrong car, you may end up spending much more money in repairs and getting it ready than what you estimated.
When buying a used car, always keep in mind these tips:
Always take a mechanic you trust to check the car before buying it. There are two main reasons because people sell their used cars: they got a new one, or it breaks down. If you know little or nothing about car mechanics, you will not be able to distinguish a car that was perfectly taken care of from one that will blew its engine up two weeks after you buy it.
A good mechanic can identify any major problem that the car may have had in the past, and tell you if it was correctly repaired or just “patched” in order to be sold quickly. Bring with you a mechanic you trust, and avoid asking advice from mechanics that are near the dealer’s. Some used car salesmen have arrangements with nearby mechanics to make their sales easier. It’s sad, but true.
Unless you need your car really quickly, try to get outside financing. A bank or credit union will generally offer you a better rate on your auto loan. Look for the creditor that offers you the most convenient deal, and when you find it apply for a loan. Approval usually takes a few days and requires you to fill forms and take care of the paperwork, but you’ll end up paying less money.
If, however, time is critical (for instance, if you work with your car and cannot afford not doing business for a few days), then the dealer’s financing will be a better choice. They will take care of all the paperwork and set all things ready for you, but be prepared to pay higher rates.
Find out the car’s actual market value. Many internet sites will tell you the approximate value of a used car according to the manufacturer and model, and the used car dealers generally stick to the average price, more or less. However, if you notice that the car is much cheaper than its market value, then it may be damaged, so tell your mechanic to pay special attention. If, on the other hand, the car is way more expensive than it should be, then don’t be afraid to ask the seller why its price is so above the average. If they doesn’t give you a convincing explanation or tell you about any extras that may be included in the total price, then tell them you’ll be back later, and move on to the next used cars dealer.
Buying a Brand New Car
New cars are less likely to have a failure, but you may want to take your mechanic with you anyway, just to be sure there’s nothing wrong.
Some things you must take special care with when buying a new car are:
Take a long test drive. If you drive a brand new car around the block a couple of times, it will surely be fantastic. But if you take the time to test it for more than 10 or 20 minutes, you may start noticing some things you may not like. Tell the dealer you want to take it out for a one hour drive. After driving for a while, you will find out if the seats are as comfortable as they seemed to be, if the engine gets hot too fast, if it eats-up more gas than you thought, if there are any noises you don’t like, and so on.
If the seller refuses to allow a one hour test drive, move on to the next. Remember you are the customer, so you should be the one who is right. Make them earn the sell.
Look out for any extra fees. Some dealers charge additional fees, some of which may not be applicable. For instance, some charge a certain fee for “getting the car ready” (i.e. oil, water, gas, taking out the plastic covers and a small test drive). All carmakers pay for it to the dealer, so they shouldn’t charge it to you.
If you are getting financing from the dealer, keep an eye open for any “tricks”, like telling you that to get financing you need to purchase insurance from them, or that an extended warranty is required. Of course, always read the contract, no matter how long it is, and review all papers before signing. It’s not distrust; it’s taking care of your money.
Don’t be afraid to negotiate. You are probably aware of this tip, but it’s never wrong to remind you. Always negotiate: the price first offered by a dealer can always be substantially lowered. Carmakers give dealers special prices, which are typically much lower than the ones they advertise. Bargain with the salesman as much as you can, and when you get an attractive price make him write it down. Then, go pay a visit to other dealers and see if they can offer you a better deal. Even if you get the same price from two dealers, one of them may offer some added value that makes the deal more interesting.
We hope you find this article useful, and that you find a great deal on the car you are looking for. Keep these tips in mind; you may end spending less than you thought on your dream car.
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