Ten steps you should follow when buying a used car
If you want to buy a used car, you are by no means alone. Nearly 40 million used cars are exchanged between private parties and dealers every year. With so many choices, finding a car that suits you is a challenge. So we created a list of steps to help you easily find and buy your perfect used car.Step 1: How many cars can you buy?
Rule of thumb: If you borrow a car, your car should not exceed 20% of the time you take home. If you insist on tightening your budget, you may want to spend less. Used cars need extra attention from time to time: new tires, repairs, etc. There are other cost of ownership, such as fuel and insurance, and shoppers sometimes forget to explain.
Step 2: Establish a list of used car targets
The Honda Accord and the Toyota Camry are excellent used cars. But their price may be several thousand dollars higher than the equivalent Ford Fusion or Kia Optima, even if these cars are also very good. So if you want to save money, consider multiple brands. We recommend listing three cars that meet your needs and are within budget. Edmunds comments have good information to guide your choice.
Step 3: Check the price
The price depends to a certain extent on your shopping location. You can find used cars on the website of a new car dealer's used car area, a second-hand car area, a used car retailer (such as Carmax) and a private seller listing the car. Of the four cars, the price of a private car is usually the lowest. CPO cars are usually the most expensive, but we have noticed the reasons. To understand what other people are paying for the models you choose, Edmunds offers a quick way to see the average price of a car in your area.
Step 4: Find used cars for sale in your area
A simple place to start building a list of targets is the Edmunds used car inventory page. In order to accurately find the car you want, you can filter your search by a number of factors, including the mileage on the car's odometer, the price and features, and the dealer's distance from you. Save time by using other sites mentioned in the used car market.
Step 5: Check the vehicle history report
Unless you buy the car from a close friend or family member, they can provide a guarantee for its history, otherwise plan to get a vehicle history report. This is a necessary early step. If the car you are watching has a bad historical report, the sooner you know the better.
Step 6: Contact the seller
Once you have found a good future car, don't run out to see it. Call the seller first. This is a good way to establish relationships with sellers and verify vehicle information. You can ask why the seller of the private party is separated from the car or if it has any mechanical problems. If you bought it from a dealer, calling (or texting) is the best way to make sure the car is still in stock.
Step 7: Test drive
Test drive a used car is the best way to find out if this car is right for you. This is also a good way to assess the condition of the car. So don't be distracted and focus on the car.
Step 8: Check the vehicle
If you like this car, consider having the mechanic check it before you buy it. If you don't have a mechanic, Google and Yelp are great places to read reviews from local stores. The cost of pre-purchase checks is $100-$200, which can alert you to issues you may not find. This is a wise investment.
Step 9: Talk about a good price
Will the idea of "saying numbers" make you full of fear? Should not. Negotiation is not necessarily a prolonged, painful experience. If you are reasonable and have a plan, chances are that you can close the deal very quickly and easily. Decide in advance how much you are willing to pay for a car. But don't start with this number in the discussion. The opening price is lower than your maximum price, but you should investigate based on your average price in step 3. Explain that you have done research on Edmonds or elsewhere, so you have facts to support your proposal. If the price of you and the seller sounds good and is close to the average price, then your situation may be good. Remember, the other party may also hate negotiations (even if they are working).
Step 10: Complete paperwork
If you are in a dealership, you will sign a contract with a financial insurance company. There, you may get extra items such as warranty, anti-theft device, prepaid service plan or fabric protection.
Some people want to extend the peace of mind, so this is something you might want to consider (unless the car is still covered by the manufacturer's warranty or a CPO vehicle). Thoroughly review the dealer sales contract. In most states, it lists the cost of the vehicle, the documentation fee, and may be a small portion of the cost of the smoke certificate, sales tax, and license fee.
