cars

Tips to Save Money on Buying a Car

Every car buyer hopes to get a car possible for the money they have. A car’s value will depreciate over the years therefore it’s important to get one that’s worth the time investment. Instead of buying a car cash, you can join elite competitions and win a car. The following are tricks to help you save money and get a functional car.

Buy a Used Car

Buying a pre-used car with a reasonable mileage is less expensive compared to a zero-mileage car. It will save you almost a quarter of the showroom price. It is highly advised to buy a second-hand car if it’s your first car. It will give you room to plan to purchase your future dream car. You will have the opportunity to get the features you want in a car at an affordable price.

A used car well maintained will save the same purpose as a brand new car. Some dealerships will allow trade-in for your old car, you can get an upgrade of your used car or purchase a new one. A certified pre-owned car is a good deal because it has passed a high-quality inspection and has a two-year factory extended warranty.

car buying

Strict Budget

It’s always good to always have a budget whether it’s your first car or not. A general rule of thumb is that your car price should be at or below 20% of your annual pre-tax income. Have a price in mind that you can afford before consulting your dealer. Remember the less you spend on your car the more money you’ll have leftover to spend on other things.

Keep in mind that apart from the car’s sticker price there are other expenses such as taxes, fueling, registration fee, licensing, insurance, car park, routine maintenance, servicing, etc. A car salesperson will convince you to get the most expensive option. However tempting it is ensure that you stick to your budget. Consider the models that can fit even the tightest budget.

Negotiate

Make sure you understand how to negotiate good deals. The main point is to be nice and do a thorough search on prices and financing options. If you are planning to pay on loan, go to your bank first to get the best loan rates. Compare the interests in different banks and pick the best deal.

If the dealer is not able to reduce the price, ask for other services instead like free oil changes, car mats, or even tires. Choose your language carefully and avoid confrontations if you don’t agree on something. Keep the conversation light and professional who knows you might get a break on the price.

buying a car

Research

There are plenty of platforms to research cars. For example, a smart buyer will research different models of minivans, compare the features, and have an idea of how much it’s going to cost. Research about the maintenance cost as well as the cost of spare parts and their availability.

Check the registration number and photos, if the same car is listed in multiple places. The price offered on the website might beat the ground price or vice versa. Comparing prices will help you save money than buying the first car you come across.…