The number of vehicles sold worldwide reached 90.3 million last year. Before you become one of these car-buyers, it’s essential to develop a smart shopping strategy.
That way, you can learn how to buy a car without getting taken for a ride by a silver-tongued salesperson.
Here are the six steps you need to take to buy a car. With this guide, you can purchase your new ride without blowing your budget!
Keep reading to discover the smart steps you need to take to buy a car properly!
1. Get Preapproved for a Loan
First, get preapproved for a car loan from your bank or a credit union before you head to the dealership. Getting a loan from a lender will help you determine how much you can afford. It’s essential to decide on your budget before you fall in love with a car.
Getting preapproved will also reveal any issues with your credit. You can then take the time to improve your credit score before you start car shopping.
Take the time to shop for the best interest rate, too.
You can use your preapproval as a bargaining chip when negotiating your down payment.
2. Take It for a Test Drive
This year, analysts expect US car sales to reach between 16.7 and 17.1 million vehicles. Take the time to test drive the cars you’re interested in before you buy a car. You might find your dream car is missing key qualities once you buckle your seatbelt.
Make a list of your must-haves. For example, you might want a rear camera.
How does it drive? What issues do you notice? Taking notice of these details now can help you narrow down your options.
3. Consider Your Budget
When you visit a dealership, start with the price of the vehicle you want. Don’t discuss whether you’re trading in a car or need a loan. Only focus on the price.
After negotiating the price, the salesperson might try to increase your interest rate or low-ball your trade-in. Make sure to agree on the price of the vehicle before discussing these terms.
Consider researching pricing guides online before heading to the dealership.
4. Beware of Car Loans
When learning how to buy a car, make sure to avoid seven-year car loans. A longer car loan means lower monthly payments. However, it also means more interest.
5. Avoid Add-Ons
Avoid buying add-ons while you’re at the dealership, such as extended warranties or tire protection plans. That’s how dealerships make extra money.
Instead, keep your eye on the prize to discover how to buy a car properly.
6. Consider a Used Car To Save
You don’t need to buy a brand new car. Instead, consider a reliable used car. You can find your dream car without blowing through your budget.
Make sure to read online reviews to learn more about your car of choice before you buy it.
Now You Know How to Buy a Car in Six Easy Steps
Ready to discover your dream car? With these six steps on how to buy a car, you can get a new ride without blowing through your budget.
Searching for your new ride? Contact us today to start your search!