Nobody questions the importance of having a car. But things can get a little tricky when it comes to buying a car, be it new or used. Things aren’t as transparent as they may seem. You may get a low interest rate, but there are many things you need to take into account when buying a car.
You need planning in advance!
Here are a few things to keep in mind when buying a car…
Think of a budget you can realistically afford and stick to this price range Better yet, buy a car that’s a little under your budget. As long as it’s reliable, that’s all that really matters.
Speaking of reliability, that’s another big thing to consider when buying a car. Be sure to check out the reviews for any model you have in mind. Other people’s experiences can give you a good idea of what to expect.
New vs. Used
Buying a car that is brand spankin’ new has many obvious advantages, but the price you have to pay might make it a bit hard for you. But at least you won’t have to worry about mileage, accidents, year of manufacturing when buying a new car. These problems arise only when you think of buying a used car. You will save plenty of money, that’s for sure, but you’ll still be spending some cash when it comes to different repairs.
Buying vs. Leasing
It’s better to save money and lead a frugal life till you can afford buying a car without having to apply for a loan at the bank. But if you need to buy a car right away, leasing may be a good option, especially if you don’t do much driving. Monthly lease payments may be much less expensive than the monthly payments when buying a car brand new. Keep in mind that leasing vs buying a car also carries hidden costs, so make sure you know what you’re getting yourself into before signing on the dotted line.
Practical vs. Flashy
We are all attracted to flashy cars, right but are they useful? Do they suit our needs? I mean, sure I’d love to tool around town in my cherry red ’66 Chevelle SS or a brand new Charger Hellcat, but com’on. Let’s get realistic here. I really can’t afford either of them or the gas needed to run them. And, even though I’m sure my kids would love getting picked up from practice in one of those bad boys, where are we going to stuff all of that equipment? In my case, practicality trumps flashiness…at least for now.
When you’re buying a car comfort matters! Not just to you, the driver, but also to your passengers. Don’t drive off the lot until you and your passengers has sat in and ridden in a vehicle.
Other Incurring Fees
The price tag you see when buying a car isn’t your only cost. You need to take into account other incurring costs that you’ll encounter while you own the car. Take into consideration the interest rate of your auto loan, gas mileage, insurance costs, and even the price of parts for your new car. It might seem like you’re getting a smoking deal on a vehicle, but you may be in for an unpleasant surprise when it comes time to repair something.