Purchase a new car or used car? Car buying tips
March 16, 2012 9:22 am Consumer
At the time of this post the 1967 Mustang was listed for $27,500.
© DenLorsTools.com Summary: Car buying tips when considering the purchase of a used or a new car. Used car prices are at a premium now, which means new cars should be considered. What to look for when car or truck shopping to help insure that you don’t end up with someone else’s headache.
Everyone has heard that as soon as you drive off the lot that a new car depreciates drastically. This may be true but the amount you pay can greatly affect this number. Go in and pay full “list price” also known as sticker price or MSRP (Manufacturer’s Suggested List Price) and you will surely be disappointed in the cars re-sale value soon after it’s purchased. In some cases buyers pay higher than list price. Higher than list you ask? Yes, I remember when the New VW Beetle was coming out. People were on waiting lists and paid more than list to have the privilege to purchase one. At CarMax, where I worked at the time – used VW Beetles were being sold at new car MSRP. This was because the cars were in such demand.
When new models come out, the excitement can drive prices through the roof. Some cars like certain models of the new style Mustang (when it first came out) were ordered ahead of time for MSRP and then taken directly to car auctions where in many cases they sold for even more!
Buying a car can be a very emotional matter. If someone’s too caught up in the emotional aspect of it, they will surely pay too much. Car salesmen can sense your excitement and the most successful ones are experts at knowing what to say to close the deal. It’s best to have someone there with you to help keep you grounded if you think that you may become too excited to make a good decision. This applies to purchasing a new or used car.
Like the 1st Mustang this 2012 was also listed for $27,500 (autotrader.com).
When deciding to purchase a new or used car, it’s best to consider the age of the used vehicle being looked at. The maintenance record should also be a consideration. Was the car well maintained? Used cars can be involved in accidents and sometimes it’s very hard to detect. A Carfax is one way to look up history of accidents. If the car was damaged enough for an insurance claim there should be a record on file. A Carfax report also can reveal if the car has been in a flood, how many owners the vehicle has had, if it was ever a rental car etc. Of course when purchasing a new car or truck the Carfax is forgone.
Hire an Inspector
A vehicle inspector can be contracted to do a complete inspection prior to purchase. This is especially helpful if considering a purchase of a used vehicle that is located in another state. They will email you tons of pictures and an inspection report. Typically, inspectors are seasoned pros. Most that I’ve known had twenty or more years experience as a Master Technician, so they know what to look for. Since they are working for you, you can be sure you’ll get an honest evaluation.
There was a recent newspaper article chronicling the writer’s horrible experience purchasing a car found on craigslist that was located in different state. He unwittingly flew a 1,ooo miles away to purchase the car and drive it home without knowing anything about the car. The car was perfect until nightfall, when he discovered the headlights did not work. He ended up paying to have the car brought home on a train. He could have avoided all of this by having the car inspected before he made that long expensive trip. He probably could have negotiated the repair of the headlights if he would have known that they didn’t work in the first place.
Use the Internet
The Internet is one way to comparison shop at many car dealerships without leaving home. I once bought a 4 door extended cab Chevrolet Silverado on-line. The vehicle was brought to the closest GM dealership for delivery. Many car dealerships have Internet specials because they know they have to be much more competitive to make sales online. Dealers know that the person that comes in without first shopping on-line is naturally less knowledgeable about pricing.
A final thought is to compare apples to apples. Features can make a big difference in cars, regarding price and convenience. Just make sure when making the decision to purchase a new or used car/truck that it has been well thought out and well researched on-line. See links below for more information
Auto Consumer Articles