Used car purchases can be an excellent way to save money, but it is crucial that buyers understand the process and be mindful of any red flags.
There are certain times of year when it’s easier to find deals, like November and December when dealers try to move off older model-year vehicles off their lots.
Do Your Research
As with any vehicle purchase, whether from dealers or private sellers, several elements should be carefully evaluated when buying used. Make sure that a thorough inspection and service check have been conducted by an unbiased mechanic so as to avoid purchasing unreliable or overpriced cars.
Before purchasing a used car, apply for financing from multiple lenders so credit reporting agencies only see a single transaction and won’t penalize your score with each new application.
Used cars often make financing easier, since new cars lose value the moment you drive off the lot and banks tend to approve loans easier when financing is available on pre-owned models.
Know Your Budget
Used cars can save you money, but be sure to factor insurance and maintenance costs into your budget before purchasing one. Also keep an eye out for mileage considerations as vehicles with higher odometer readings may require more repairs and service in the near future.
Private sellers typically offer lower prices than dealers and can often negotiate. But be wary of sellers who won’t allow for a thorough inspection or who try to pressure you into purchasing extras like extended warranties or maintenance plans.
Ensure the warranty offered by sellers is backed by their manufacturer and covers common repairs; otherwise it might be wiser to move on and look elsewhere. VIN tracking sites like Carfax can help reveal details on past ownership history for vehicles.
Know the Make and Model
As people move toward buying used cars due to their lower costs, many opt for used ones due to their more affordable prices. When looking for one however, other considerations must be made such as model year and mileage – modern cars tend to be much more reliable than their predecessors of even 10 years ago and usually can last much longer without needing repairs or replacement parts.
However, when purchasing a vehicle it’s wise to opt for models and manufacturers with proven track records and which suit your individual needs – for instance a compact sedan may not be ideal for someone with multiple car seats while full-size pickups may not be practical options for city commuters. Furthermore, be sure to get the car’s odometer readings checked as well as its vehicle history report from its seller.
Do Your Homework
Before shopping for a used car, it’s essential that you conduct extensive research. This includes researching its make and model as well as its value in the market.
Also be sure to identify any trade-ins attached to the car, and run a car history report through CarFax or another online service in order to detect issues like odometer fraud, accidents and potential problems that might exist with it.
Speak the car sales lingo so you understand what is being said and why, which will aid the negotiation process. Don’t be intimidated into leaving if a seller refuses to work with you; another vehicle could always come up!
Take the Car for a Test Drive
Once you’ve set a budget and established what type of car you want, the next step should be assessing vehicles within your price range. Take any used cars you like for test drives before buying – avoid salespeople pressuring you into buying immediately; additionally it would be wise to have it inspected by a certified mechanic of your own before signing any contracts or purchasing anything immediately.
If you’re taking a car for a test drive, try driving along routes with both small streets and highways so you can observe how it handles under different situations. When taking out for a spin, pay close attention to its smells and sounds; listen out for any clunking or squeaking sounds which could signal mechanical problems in the car.