These days, new cars come with the best safety features and tech gizmos compared to models that were used before.
Let’s be real. Trading in beat-up clunkers with those grimy seats can be a very enticing idea. However, most Americans make mistakes when buying a car.
Take this, for instance. You take a new purchase with a trade-in option. And then a second buyer rolls over about $6,000 in debt. That means you will be paying for a vehicle you are not driving anymore.
If you didn’t know, this is a bad winning finance strategy. But worry not, as experts at D Wells Auto have suggested the following tips to ensure you easily buy your dream car:
-
Due Diligence
It is important to make a list comprising three or four cars, which have descriptions of all your needs. However, before you get right to it and make a final decision, you would want to research. This will ensure you get the best model, make, and year.
If possible, go through buyer reviews. Consider reviewing crash test ratings as well as safety reports. Pay also attention to maintenance ratings.
And if you plan to buy a used vehicle, ensure you have a history of the car. This needs to include any accidents and how many owners owned the vehicle. A perfect way for you to do this is to research the VIN of the vehicle. You can use AutoCheck and Carfax as tools for that purpose.
-
Set a Budget
Unless you want to pay in full and cash for the car, you would want to think of financing the asset. Consider knowing what you can afford so you can be allocated some funds towards a car payment every month.
The rule of thumb for this is to ensure your monthly car payments don’t go beyond 15% of your take-home monthly pay. Used cars are less expensive. However, ensure the same rules applies too.
-
Negotiate with the Dealer for a Great Deal
Negotiating can be much easier with great car purchasing tips from the pros and thorough research of the amount you may afford to put in the investment.
If you opt to trade in, consider negotiating the cost of the new car plus the worth of the trade-in car separately.
Ensure you also know the average rate for selling trade-in cars and your new automobile. This will help determine whether you are offered a good deal.
-
Consider Test Driving
Once you find your ideal or dream car, email, text, or call internet dealership of the dealership to schedule a time or a day for a test drive.
Internet salespersons of the dealerships are amazing and great allies. They don’t just cater to an informed buyer. They are also more upfront when it comes to pricing.
The Takeaway
Buying a used or new car be enjoyable when you learn the ropes. Finding your dream car will ascertain that you stick to your budget. And more importantly, you will enjoy driving your car for the longest time possible.