subject: 5 Essential Points To Evaluate When Purchasing Used Cars [print this page] Car sales cover a lot of groundCar sales cover a lot of ground. There are a multitude of options available when shopping for a deal on used cars. Budget conscious shoppers can find an excellent deal with a little research before going to a dealer. Doing the homework will result in getting used cars at the best possible price. With this idea in mind, let's take a look at 5 tips when researching used cars.
True Cost To Own
Nearly every vehicle will have a different sticker price due to the make, model, mileage, and options installed. However, that ticket price doesn't say anything about the true cost of ownership. Many shoppers know that pre owned car sales result in lower insurance premiums when compared to a new vehicle. However, the cost of ownership goes further than that. Depreciation, interest on financing, taxes and fees, insurance premiums, fuel, maintenance, repairs and any federal tax credit all contribute to what you will pay to drive a vehicle per mile. All of these factors contribute to how much an owner will pay after they leave the dealership.
True Market Value
Many shoppers like to negotiate during car sales. The most important number to know before going in to any negotiation is the true market value of any vehicle that you have your eye on. The market value is calculated by comparing the final sales price of the same vehicle and similar models across the state and country. This price is then used to establish the market value. If you want to negotiate the sticker price, this number will let you know if you are getting a good deal.
Used Cars' History
When narrowing down the choices to one or two particular vehicles, it pays to purchase the vehicles' history. Some dealers offer these as a part of their sticker price, but other dealers will require that you purchase the report on your own. Take down the used car's VIN number and get the report; it will tell you if it has a salvage title or if the odometer has been rolled back. Especially in the aftermath of Katrina, there are a number of salvages out there in the market.
Car Condition
There are a few ways to gauge the condition of a car. Since most of us are not mechanics, we usually cannot do an inspection ourselves. Buying a certified vehicle will ensure its condition in writing from the dealer and is usually the best method. Bringing a mechanic along for a cursory inspection or test drive might reveal any major problems, but a mechanic would have to spend a day testing the vehicle.
Warranty
Nearly all new car sales come with a warranty. When buying used cars, check to see if the original warranty is still in effect. Used cars that are less than three years old or have less than 36,000 miles have a good chance of the original warranty still being active.
When you know what to look out for, buying a pre-owned vehicle can be a smart way to save money on your car purchase while getting the reliability of a new vehicle.
