There are no flying cars, yet cars do fly off the shelves. 62.1 million cars were sold or leased to Americans in 2019.
If you are a first-time car buyer, this number may excite you. There is plenty of room for you to find the vehicle of your dreams. But the many options you have means you must spend a long time thinking about cars.
What should you do before you start examining cars? How can you perform research on vehicles so you find ones you like? How can you fend off an aggressive car salesman?
Answer these questions and you can hit the roads in your ideal vehicle in no time. Here is your comprehensive guide.
Set a Budget for Yourself
Take a look at your financial portfolio before you start thinking about cars. Think about how much money you can afford to spend on a vehicle.
It is okay to spend a lot of money if you have a lot of money to spend. Transportation is an important expense that you should cover completely because you rely on transportation for work and other important activities.
If you can cover the cost of a brand new automobile by yourself, you can go and buy that new car. But the odds are that you need to look at an affordable car. You may need to buy a used vehicle, or you may need to buy a small car that costs less.
You don’t have to limit yourself to an exact amount of money. But you should think of a price range that you will not exceed. Your first car can make or break your finances.
Figure Out a Means for Payment
You should cover the expenses of your car with the money you have on hand. If you can do so, you have no strings attached.
Yet you can take out a loan if push comes to shove. Researching loans takes a lot of work, and you need to be mindful of the fine print.
Americans have roughly $1.36 trillion in auto loan debt, in large part because of high-interest rates. Find a low-interest loan and be prepared to make regular payments into it. If you cannot find a low-interest loan, you should not take one out.
You may be able to pay for your car on a credit or debit card. Yet you need to cover the credit card debt at some point. Make sure you can do so without incurring substantial penalties.
Remember Additional Expenses
Your expenses are not done once you buy a car. The biggest expense you have to pay for next is auto insurance.
In order to find a low insurance rate, you need to have a good credit score and driving history. If you have neither, you will have to pay a lot for insurance, which can cost you in the long run. Take a look at Hummel auto insurance and other packages to see what services you get.
Maintenance costs can also be pricey. A new vehicle will cost less to maintain than an old one. But you have to pay for gas, engine oil, and transmission fixes.
You will have to pay taxes when you buy and fix your car. They may total thousands of dollars depending on where you live and what car you buy.
Find the Right Time to Buy
The automotive industry tries to have sales at different points in the year. You can buy your car on Presidents’ Day weekend or July 4th weekend at lower prices.
But as you might imagine, most car sales come during the holiday season. Some begin in October, but most dealerships start with aggressive sales toward mid-November. You should try to buy your car during this time.
You should also think about what day of the week you want to buy. Most people go to the dealership on the weekend, which can make it hard to negotiate with a dealer. Some dealerships offer sales on Mondays or Tuesdays to encourage people to come in.
Do Your Research on Different Cars
Once you have a strong idea of your finances, you can start looking at cars. It is okay to start looking at new cars, as long as you remain within your price range. Do not look at expensive vehicles because you might be tempted to buy one.
You may have a particular company in mind like Toyota. You can look at that company’s vehicles, but don’t limit yourself only to them. If you don’t find a car you like from the company, look at its competitors.
If you have a company you want to focus on, take time looking at its different makes. You should evaluate different brands and think about how they may meet your needs.
Look at American and foreign companies alike. It may cost money to import a car from another country, but you can do so if you don’t like American cars.
Draft a List of Car Features
Every company likes to mention the features of its various vehicles. There are dozens you can examine, yet there are only a few you should care about.
Car driver safety is paramount. You should be able to use the steering wheel with a full range of motion, and you should be able to reach the pedals. The car should start and stop as soon as possible.
The safety of your passengers is also important. Your car should have sufficient airbags, sturdy seatbelts, and comfortable seats that do not slide forward during an accident.
Your car should have several features to help with difficult terrain. Four-wheel drive is essential, as are backup cameras.
Safety and function are important, but you can consider comfort as well. Heated seats and a strong air conditioning system can provide maximum comfort during rough weather.
Take a look at the different features that are available in cars. Then write down a list of the ones you want, especially the ones that you regard as essentials or “have-to-haves.” You should buy a vehicle in your price range that has two-thirds of your essentials at a minimum.
You can pick a few different cars to consider. But don’t leave yourself with more than four options. If you have seven or eight cars to choose from, it can be hard to make a final choice in a timely fashion.
Examine Dealerships
It’s not enough to have a car you want to buy in mind. You also have to have a dealership in mind. You have to find a good broker who can offer you a price in your range and let you test-drive your desired car.
You may have only one or two dealerships in your area. But most major metropolitan areas have several, if not dozens of dealerships. Spend some time looking at each one.
Assess the experience of the dealership staff. You can call up staff members and ask them questions about the cars you are considering. You should also look at the staff page and see how long each employee has worked in the industry and for the dealership.
Figure Out Negotiation Tactics
Car salesmen are infamous for good reason. They try to use as many tricks in the book to get you to buy a car at a higher price than you are willing to pay for. Before you go into the dealership, learn about some negotiation techniques.
Hold firm to your price range. Do not go higher than the amount you are willing to pay.
Ask a series of questions that lead to a particular point. If the salesman tries to snake out of an answer, ask the question again. Assess what they are trying to hide or why they would want to avoid answering your question.
Test-drive any vehicle you are interested in. Your salesman may accompany you, pointing out different features of the car. You should ignore them and get your own impression of the vehicle.
When in doubt, walk out of the dealership. Under no circumstances should you sign a contract with terms you don’t understand or aren’t fair.
How to Become a First-Time Car Buyer
Being a first-time car buyer can be a little scary. You need to spend a lot of time thinking about your finances. You must figure out ways you can cover all of your vehicle expenses, including your insurance.
You can then look into different vehicles. Cast a broad net, examining different companies and features of cars.
Find a few dealerships you like, but make sure you hold your ground. Stick to a price range no matter what your dealer throws at you.
You can’t just drive off into the sunset. Learn about car maintenance by following our coverage.