There are many things that you need to consider when looking at buying a car. These include simple personal challenges such as how well the vehicle suits you and your needs, affordability, cost of insurance, and other issues about the car such as fuel efficiency, warranties, how old it is. You will be happier with your car choice if you make sure you consider these things.
If you’ve ever purchased a car before and have experienced car dealerships, then you will already know that there can be a certain amount of pressure to make a purchase. Make sure you have all the information and have done the research you need to ensure you aren’t pressured into a purchase before you do your homework.
It’s crucial to make sure you have a checklist of your wants and needs and have made considerations with aspects such as road tax, insurance, and how you’re going to be using the car too. There’s no use getting pressured in buying a four-seater sedan with sports trims and alloys if you are really looking for a crossover for five kids. Think about things such as your budget, your requirements, and look up the value of your car as a trade-in before you even step foot into a dealership.
Have a look at this handy guide to things you should be considering before buying your next car.
Having a car can open a lot of doors for a person; it gives you the freedom to travel comfortably and makes every day just a little simpler for getting about. It’s great thinking about owning your vehicle. However, you have to make sure that you are selecting a car that is budget friendly for your budget ( everyone is different). That expensive top of the range BMW might just not be sitting in the ideal price range for you. However, there may be similar cars that you can look at purchasing that can provide the same uses but are also budget friendly. You will find that most people aren’t able to buy a car straight in cash, and the best option is to research your financing.
To do this, you need to think about your budget. You should look to work out a budget and figure out a plan. How much of your earnings are going to be realistic for you to contribute towards a car payment? How much are you going to be able to afford on road tax, insurances, roadside cover, and services or repairs as these are all factors that will contribute towards costs? If you already have a vehicle that you’re paying these for it’s worth considering the price difference once you change SUVs as you could end up paying more, especially if you are upgrading.
If you’re able to pay for a car outright, then that’s brilliant however that’s most definitely not the case for the majority of people purchasing a truck. The majority of people will be looking towards a loan. Whether it’s a specialized car loan or a loan from a bank, it’s essential to make sure you carry out research and find the right loan and best rates available to you.
Before you go looking for your next pickup, it is a good idea to not only figure out your budget but gather a sense of what you can get help with via financing. It’s no use looking at a car that’s out of the funding you can receive. You will find that a lot of dedicated car financing websites will have a handy tool where you can insert your credit report level, your monthly budget, and term length and it will give you an estimate of what you’re able to afford in your budget to finance a car. Some car dealerships ask for a deposit so it may be useful to have some money put aside for this purpose, as it will most likely improve the rates you’re eligible to obtain.
It’s wise to be up to date and be regularly checking your credit score regardless of if you’re purchasing a car or not. It’s one of the best tools you can use to see where you stand when purchasing anything on finance or credit cards. A lot of the credit reporting websites now have features that allow you to search for available loans and finance without it affecting your score. Those websites can give you an indication of the rate, amount, and likelihood of being accepted before you even apply. Use them as it will damage your rating if you apply without checking this, especially if you’re turned down.
Some of the things to watch out for with your credit rating if you are going to be looking to get finance would be:
These can hurt your score.
These have a negative impact on your credit score and can stay on your file for 12 months or more.
County Court judgment (CCJ)’s
These have a massive impact on your score and can dramatically reduce it; they can stay on your record up to 6 years.
Level of Credit
It’s best to be somewhere in between with this, potential lenders don’t want to see high usage of amount of credit or no usage, as it doesn’t allow them to know how you’re paying your debt.
Although it doesn’t have a significant impact on your score it could be the difference between a yes and no when applying for finance if more information such as your full name, DOB or address doesn’t match your application.
It’s now time to start thinking about the car that’s going to be best for you. Try making a list of all your requirements, wants, and desires. Remembering your budget and financial situation here is wise. Take the time to shop around for what kind of car you can get on your budget. Some of the things to consider when shopping are:
New or Used?
Your budget and your requirements will determine the answer to this question if you want some tips to check out, this list of Top 10 Reasons To Buy A Used Car has some useful information.
It may not seem like an important factor however some vehicle finance companies have requirements for what the age of the car should be, they usually will state that the sedan can’t be a certain age by the end of the term of the financing.
When buying any vehicle it’s vital that you ask about and try to receive information regarding any prior work the car had done, such as any crashes, significant repairs, and services that the vehicle has had. It will give you an idea of how it has been running and if you can expect anything to crop up in the near future. It may be a good idea to ask for or organize a private inspection of any car you’re purchasing.
Best rule to follow before buying a car is to TEST DRIVE IT. It’s never a good idea to just look at the outside of a car and then sit in it to decide if it’s right for you or not, you should test drive it to see how it feels, identify any problems and make sure it’s comfortable and the engine is what you’re looking for. Every type of car drives differently, even if you’re upgrading to a newer version.
Miles per gallon (MPG) is becoming a more and more important fact for people when purchasing a car, for one they are more concerned over their carbon footprint but also looking to get the best value for their money. Try searching for a car that’s specifically designed to be good economically if this is important to you.
This isn’t important to every buyer; however, the choice between manual and automatic is forever an ongoing debate for motorists. Manual drivers tend to focus on enjoying the drive and the ride whereas automatic drivers are looking for something that is going to be easy to drive, especially if they get stuck in bust road traffic on a regular commute.
Even if you think you’ve found the ideal car for you don’t just accept the price. It’s a good idea to become familiar with what you can get for your money and then you have bartering power with the dealerships.
Buying any car, whether it’s new or used is a large financial purchase. One of the biggest mistakes that people make, next to funding college and buying a house is overspending on a car. This means that it is important to make sure you’re spending your money wisely. Following this guide will help you. The key point to follow is to make sure you research everything, treat it like a mini project, at the end of the day you want to make sure you’re spending your money on something that is going to be reliable, do the job intended and be financially viable.
Is there anything else that should be on this list? Please share them in the comments section below.