Tips for Buying a Used Car

When getting ready to go car shopping, be aware of the power you possess. A salesperson does not make money unless you buy. Car salespeople have gotten a bad rap over the years. There are those typical car guys (or girls) who are hardcore salespeople every time and have some of the most complex and interesting sales tactics. You can take control of the sales process, set the pace, make an informed decision and come away with a car knowing you did the right thing.

Research and decide

This is probably the biggest mistake I see most people make - they will go to a car lot with an idea of how much they want to spend but no concrete idea of what they want to spend it on. Just as though you were buying a new car, take the time to look at what you need from a vehicle and look at consumer reports on different vehicles. Check gas mileage, repair costs, ratings on performance, and know common problems with that vehicle. Make a short list of the vehicles you most desire. I would say keep it to three. For example: When I was pregnant with our fourth child, we needed a roomier vehicle. I knew I wanted a minivan, preferred Honda or Toyota, and I did not need or want the electric sliding doors (too costly to repair). This left me with the Honda Odyssey LX or the Toyota Sienna LE.

Price it before you go shopping

Once you have your short list of used cars you like, determine the fair market value of the vehicles. The best place to check is the N.A.D.A. website. You can see there are different categories of determining value of vehicles. What to keep in mind is the dealer has to purchase the car either through a trade-in or at auction then typically the car is put through a service inspection where it may or may not receive services like oil changes, service updates, tire replacements, etc.. Often the dealer will also pay for dent removal, paint touch ups and so on. They may have purchased the vehicle for $3000 and spend another $300 or more getting it ready to sell. When shopping for a used vehicle, look at the retail value and work from there.

Shop online

The Web has made it possible for everyone to shop for everything online. Take advantage of this by searching the websites of car dealers near you. Many dealers now have internet sales teams who are available just as a regular salesperson.

Take your info with you

Take your list of cars and average prices for each to the dealerships. Notice I said dealerships. Do not limit yourself to one place. If you find something close to what you want, take the time to drive it and look it over but keep going. And, you will hear "What can I do to get you in this car today?" or "It will not be here long". Patience is a virtue. Tell the salesperson the truth. Say "I really do like the way this car looks, but I want to do some more research. Then, if I want to come back to this car, I will want to have a technician check it over first."

Make a list and check it twice

When you find a car you like, write down:
*Where you are *What year and make the car is *Mileage *Note the condition *Asking price *Warranty (if any) *Salesperson *Concerns on test drive or during check over *Rate on a 1-10 of how much you like the car overall

Once you have generated a list of no more than five cars, go home. Patience is truly a virtue. Go home with your list and really review the information. Make a top three list and get ready to buy your car.

Pay before you pay

Before you return to the dealership, contact a service technician or mechanic about inspecting the vehicle you want to buy. It may cost you anywhere from $50-$100 but it is money well spent. The technician will be able to look for any concerns and give you a list of what may need to be done. You will be able to see the whole picture and purchase (or not purchase) with confidence.

Negotiate

You have researched, shopped, checked and double checked. To buy a car, everything is negotiable: the price, the warranty, the finance rate and so on. Don't be so stiff as to not allow someone to make a profit but don't let yourself be taken advantage of.

Car buying can be intimidating to many but with these steps, you will be an informed and intelligent consumer. See future articles about the negotiation process and other car buying tips. Drive happy.