How to Buy a Used Car
Discover how to buy a used car so you don't end up with a lemon, and get a great price. Today's economy is having an impact on larger purchases like new cars. Many people who have purchased new cars in the past, are now looking at the used car market for their next vehicle.
There are several advantages and disadvantages to buying a used car.
Advantages to buying a used car:
Lower initial purchase price. (Get more car for your money)
Lower sales tax, lower license plate fee (in some states), and lower insurance rates.
Depreciation is lower on a used car. (The original owner took the big hit on the depreciation loss)
Disadvantages to buying a used car:
No new car warranty remaining if the car is over three years old.
You are more vulnerable to the used car problems and headaches.
Could cost you money for repairs in the future and cost you time and peace of mind.
Here are a few precautions and tips that can reduce your risk of hassles and frustration from buying a used car.
1. Research is your greatest tool to ensure you know what you are buying. Decide on the year, make and model of the car you want. Buying a car that is three years old is your best bet because it has already depreciated quite a bit which will make it more affordable. Getting a car that is one or two years old will cost a little more, however these cars usually still have some of the manufactures warranty remaining. Most newer cars come with a three-year/36,000 mile basic warranty coverage and have an even longer warranty on the powertrain coverage on the engine and transmission.
Check into Certified, Pre-Owned (CPO) used vehicles: These vehicles usually have less than 50,000 miles and have been given an extensive inspection and any needed work as been done. These vehicles are usually clean and have been well-maintained.
2. The number one tip for how to buy a used car with less hassle is to always run a history report. You would be amazed at how many people don't do this because they don't want to spend the extra money. This report is inexpensive ($30) it is cheap insurance and can give you peace of mind knowing that there isn't any serious problems with your car.
Do your homework and research by doing a "background check" for indications that the car you are looking at might be a problem car. Look for an unusual record of either consumer complaints or recalls by the manufacture. You can check for recalls and safety-related defects at the National Highway Traffic Safety Administration web site, and check out JD Power & Associates for any consumer complaints. You can also do a simple search in Google or Yahoo. Consumer reports is another good source to check to see what people are saying about your car.
3. Have an independent mechanic do a safety inspection on the vehicle you are looking at. This could save you from a major problem down the road. Again, this is well worth the cost for your peace of mind. If the mechanic finds a problem you have two choices. You can go back to the seller or dealer and negotiate a lower price or you can just walk away from the car.
Source: www.PennTraffic.com
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