If you’re in the market for a new vehicle, buying a used car can save you a lot of money. Used vehicles are much more affordable than brand new vehicles.
This is because brand new cars depreciate rapidly in value. Did you know that a brand new car can lose as much as 30% of its value in the first year alone?
When buying used cars, you won’t be the one taking the brunt of this loss. You’ll also save money on auto insurance, registration, and more.
But how do you know if you’re getting a good deal when buying a used car?
Excellent question. Keep reading for everything you need to know.
Do Your Homework
First, determine what type of vehicle you want (car, truck, SUV, etc.). Then, identify your preferred make and model.
Do some research online to figure out the average costs of these vehicles. Based on your budget, you might have to buy a vehicle in this category that’s a few years older. And remember, several things affect price, such as:
- Trim package
- And more
With this information in mind, search online for similar used cars in the area. You can use your knowledge to negotiate with dealers to get a good deal for the used car you want.
Verify the Dealer’s Credibility
Vetting your local car dealerships is one of the most important tips for buying used cars. Shop for the vehicles you want online to identify the local dealers who have them in their inventory. But before visiting the dealer, look at their customer reviews to determine their credibility and trustworthiness.
If they have a high rating, you can shop through them with peace of mind. For example, check out this preowned inventory from a dealership in Jackson, TN that comes well recommended.
Shop Around for Auto Loans
Getting a good deal on used cars isn’t just about selecting the right dealership. A lot of your long-term costs will be determined by the auto loan you secure.
Shop around to find the best auto loan in terms of interest rates. You can also save a lot of money (long-term) by selecting a loan with shorter terms, though this will mean higher monthly payments.
Get Your Hands on the Vehicle History Report
Finally, to ensure you’re getting a good deal when buying a used car, get a look at the vehicle history report. A vehicle history report documents important information about the car’s past. This includes:
- Past owners and places of registration
- Commercial use
- Factory recalls
- Major repairs and accidents
- Maintenance history
- And more
While these aren’t always 100% accurate, they will shed light on the most important pieces of the vehicle’s history. If the seller won’t give you a vehicle history report, walk away.
We also recommend taking used cars to a trusted mechanic to get a professional pre-purchase inspection.
Looking for a Good Deal on a Used Car?
Buying used cars is an easy way to get a good deal and save a lot of money. Don’t pay for the depreciation of a brand new vehicle. The novelty of a brand new car wears off in a few short months while you continue to take the hit financially.
For more financial advice, car-buying tips, or lifestyle guidance, stick around. Our blog was created to provide helpful and insightful information for our readers.