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BMW Xenon Uppgraderingar
October 4, 2009
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Buying a used car can feel like a major hassle for most people. Learning how to save on your next used car by using this easy to follow guide will help you through that process. Don’t let buying a used car overwhelm you, print out this article and bring it with you the next time you go car shopping.
How to Save on Your Next Used Car
Why do people buy used cars? Because overall, buying a used car is far less expensive than buying new. When you buy a new car, the moment you drive it off the lot, you’ve just lost 20 to 30% of the value of the car. That’s like throwing good money out the window. Instead of buying the car that just rolled off the factory lines, buy a car that’s just a few years old, with under 30,000 miles under the hood, and you’ve just avoided that horrendous depreciation. Add to that the fact that used cars are now lasting owners to well over 150,000 miles, and the fact that it costs much less in registration costs and taxes on a used car, and you have a perfect list of reasons why buying a used car makes much more sense financially.
Paying Less for a Used Car
In its simplest form, used car dealers make money by buying cars from auction houses or from other wholesale sources, and then marking up the price in order to generate profit. In general, dealers mark a car up $2,000 for every $10,000 in price. This amount can vary from dealership to dealership, so check with an auto broker for a more accurate projection in your own local area. In addition, some dealers even tack on a “processing fee” which can range from $100 up to $500 in some cases. Some dealers will cave in and remove the fee if you ask nicely. Others won’t budge. If they won’t remove the fee, either demand a reduction in price elsewhere, or walk out and shop somewhere else.
Paying Less for a Used Car
The one aspect to buying a used car that you don’t have to deal with when you buy new is whether or not there are existing problems with the car, and whether or not any work was necessary to get the car to proper working condition. If the dealer claims that the car required a certain amount of work, ask for service records that show the actual cost of the work. Secondly, check the basics before you even bother entertaining the notion that you’re going to buy the car. Check wear on tires, if wear is very uneven, there’s an alignment issue. Check the oil, if it’s very dark black or oddly discolored, walk away very quickly. The car has either rarely had the oil changed, or there’s a serious engine problem. If all of the basics check out, then you’re ready to negotiate.
Step 1 – Test Drive
The dealer says the car runs great. That’s wonderful, but don’t take his word for it. Take the car for a fifteen to thirty minute ride on both side streets (to test the acceleration and braking), and on a highway or on a road with a speed limit over 50 (to test for good alignment and steering.) The odds are good that if there are any problems, one of these driving conditions will reveal it.
Step 2 – Check it Out
Just because a car runs great doesn’t mean there could be problems down the road. Particularly if the vehicle has been in an accident or comes from a region of the country that was flooded, you could experience system problems only months or a year down the road. This is where the value of a Carfax report comes in. Make sure to submit for a complete report on the car, based on the VIN number on the dashboard under the window on the driver’s side of the car. The Carfax report will reveal any accidents the car has been through.
Step 3 – Negotiate
Yes, negotiate. This can feel like a nightmare for people who aren’t used to it, but the process can be simple for someone who is experienced. You pick a price and stick with it, regardless of what anyone says. If you’ve done your research, you know the actual value of the car and what the markup of the dealership is, so you know how much flexibility they should have. Don’t let the dealer start talking about payments, ultimately you want to get the overall cost of the car to the lowest value possible. Payments simply don’t matter. Decide on a price, ask for it, and stick with it. If they will not cooperate, simply leave and find a dealership that will. Leave your phone number though, because they will likely be calling you back.
Step 4 – Use an Auto Broker
The single most effective way you can save the most on your next used car purchase is to contact a used car auto broker. Brokers have the industry experience, the negotiating ability, and the insider information to obtain the best possible deal on the car that you want. In fact, most brokers are able to obtain prices that most consumers could never get on their own, and the broker passes those amazing savings on to you for a minimal fee. An auto broker will save you the time it would take you to find the car that you want, and the frustration of trying to negotiate the price that you want. Ultimately, if haggling for a used car price sounds like far too much trouble than it’s worth, then an auto broker is perfect for you.
For more information about quality used cars, including vehicle listings, vehicle information and even used car credit information, visit Harry Coker at www.blueskymotors.net.
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