When shopping for an affordable used car, the first step is determining your budget and researching the market. You can use pricing guides like Kelley Blue Book to get a specific vehicle’s most accurate price range.
Look for a single-owner vehicle with low mileage and an accident-free history. Avoid the “Toyota or Honda tax,” as it can skew the value of an otherwise appealing model.
Know Your Limits
Before you even step foot on a car lot, know your budget. Determine the maximum amount you can afford and stick to it.
However, avoid getting so attached to your number that you miss out on a great deal. If a vehicle you like comes up that fits your needs and budget, don’t hesitate to strike a deal.
Fortunately, thanks to improving quality standards and more efficient engine design, buying used cars from Affordable Used Cars – Get More Value for Your Money with plenty of life is possible. In addition, used vehicles tend to depreciate less than new ones, and many come with the latest technology. This can be an excellent alternative for buyers looking to stay within their given budget, obtain something practical for a new driver, or bypass auto finance altogether.
Research the Market
Research is crucial for car buying, whether you’re working with a dealership or a private seller. You can negotiate confidently if you know what the car you want is worth. Start with a vehicle history report like Carfax or AutoCheck, which can verify the odometer reading and ownership records.
You should also check ads for similar vehicles in your area to see how much they’re selling for. This information helps you determine how much wiggle room you have when negotiating with the dealer or seller. You should also know what can’t be arranged, such as the delivery fee or other dealer add-ons. This information empowers you to walk away if the price needs to be corrected.
Look for Unwanted Vehicles
It’s no secret that used car prices are high, but it’s also true that not all cars are created equal. A few simple steps can make the difference between an affordable and costly vehicle that will leave you with major mechanical issues. Check a vehicle’s history report and inspect it professionally before purchasing.
Avoid the “Toyota or Honda tax” by staying open to other Japanese brands and older American vehicles. CR data shows that these models are often the best-value used cars around. The next step is to create a realistic budget that includes the cost of the vehicle, registration, and insurance. If you can’t afford to pay cash, try to get preapproved for a loan before heading to the dealership.
Know the Dealer’s Limits
A car dealer may sell used cars for profit, but most states limit how many vehicles they can sell in a year without a dealer’s license. This can give you leverage when negotiating.
A dealer’s willingness to accept less than the sticker price is often tied to the car’s condition, the dealer’s financial situation, and other factors. For example, if the dealer’s sales are down for the month and they need to clear out inventory to make ends meet, they might be more willing to negotiate than usual.
Similarly, you can use your research to help you determine a fair offer when buying from an individual seller. In many cases, this can save you money. The most crucial factor is to understand your budget and how much you’re willing to spend on a vehicle.
Make the Offer
You must bring everything you’ve learned about the vehicle when making an offer. This includes what you paid for the car, what you expect to pay monthly, and what extra costs will be involved, like fuel, insurance, and maintenance.
Make your first offer low, and let the dealer know you’re not willing to go above what your research determines is fair market value. Also, ask about the “out-the-door” price, including taxes and fees. Some dealers include bogus fees to cover their losses during negotiations, so it’s good to be prepared. This is especially important if you buy from a private seller with different resources than dealerships.
