5 Tips For Buying A Used Car

It is a well known fact that a new car loses up to one third of its value the moment that it is driven off the lot. In addition, the car will normally continue to depreciate faster than the car loan is paid off. With that in mind, buying a used car makes economic sense. However, buying a used car requires paying attention to details to ensure the car will not start falling apart as you drive away. These 5 tips for buying a used car can help you spot a good deal on a great used car instead of ending up with a pile of junk.

1. Get a vehicle history report 

One of the most popular brands in vehicle history reports is CarFax. These reports are very important to read because they contain proprietary information that pertains to that specific vehicle that may not be evident with the naked eye. For example, whenever a car is involved in an auto accident, the vehicle identification number (VIN) is entered into a central computer system with the details of the accident as well as any repairs made to the vehicle. The report contains other valuable pieces of information too. Most car dealers offer them at no charge. If you are buying a car from a private party make sure you ask them for the CarFax report.

2. Take a test drive

It is really easy to make a used car look shiny with a fresh coat of paint and a detailed interior. Taking the used car for a test drive of about three miles will give you an opportunity to see how the car handles. Be sure to listen for any unusual noises and vibrations. Many owners will play down the sounds of little pings and whistles and may tell you that its nothing, but it could be a sign of worse things to come.

3. Have your mechanic inspect the car

When my friend goes looking at used cars he always asks the owner to raise the hood. I have no idea what he is looking for under there since he isn’t a mechanic. I recommend having your mechanic inspect the car. Most mechanics will do it for about $100 and it will be money well spent. At the very least you will know if the car is in need of any expensive repairs. I always tell the owner that I’m buying the car from that I would like to take it for a test drive and have my mechanic look at the car and ask if he would like to come along. This can save you thousands of dollars in unexpected repairs!

4. Compare the asking price with blue book value

The blue book value is an approximation of what a particular car is worth for the condition that it is in. The blue book estimate considers mileage, factory improvements, overall condition and location. It is a good idea to compare the asking price with the blue book value for the make, model and condition of the car you are considering. Then compare that figure with other similar cars that are listed for sale in your area. This will give you an idea what the car is really worth so you don’t end up paying more than you should. Of course, you will want to make sure you consider any necessary repairs that you will need to make when negotiating the price.

5. Research consumer reports for vehicle make, model and year
Finally, go online and check to see if there are any consumer reports about the used car you are planning to buy. This will give you an idea if there were any major problems or recalls since the vehicle was introduced.