If you are looking to purchase a used car, you are far from alone. Between dealership and private-party sales, millions of used vehicles change hands on a yearly basis. But, given the number of choices you have, finding the right car for you can sometimes be a challenge. That’s why we’ve listed down some key steps that you can follow to find and buy the perfect car for you.
How Much Can You Afford?
A rule of thumb: if you are taking out a loan to buy a car, your car payment should not be more than 20% of your take-home pay. In case you are sticking to a tight budget, it’s best you spend even less.
Build a Target List of Pre-Owned Vehicles
Next, we recommend building a list of vehicles that appeal to your tastes and have features you would like in a car.
Check Prices
Prices are based, in part, on where exactly you are shopping. You will find used cars in dealerships, independent used car lots, websites, and sold by private sellers. Check the prices quoted by different sellers for the car models that you like.
Check the Vehicle History Report
Unless you are purchasing the car from someone you know, it’s important that you check the vehicle history report. This will tell you if the car has had any problems in the past.
Test Drive the Car
If the vehicle history report is clean, you can go ahead and test drive the car. Make sure to thoroughly assess how the car handles and drives, how comfortable it is, how the visibility of the vehicle is, and assess the tire quality. Also, ensure that you don’t smell burning oil or gas. After the test drive, ask the dealership or owner of the car if you can go through the service records of the vehicle.
Have a Mechanic Inspect the Car
If you like the car, consider getting it inspected by a mechanic before you make your purchase. If you don’t have a mechanic, look for one on Yelp or Google. While the prepurchase inspection will cost you between $100 and $250, it will alert you to problems you don’t catch during the test drive.
Once the mechanic gives you a go-ahead, you can pay for the car and drive home in it!
