The Beginner’s Guide to Buying a Used Car

Posted Monday, May 22, 2023

Buying a used car requires a lot of due diligence, but when you do your homework right, it can be well worth your time. The first step, of course, is to look for a reputable used car dealership near you. The next step is to figure out where you stand financially.

Here’s an overview of the process involved in buying used cars.

1. Determine Your Budget

You could buy a car by taking out a loan or paying for it in cash. At San Auto Dealer, you can access a wide network of lenders with a straightforward application process for securing a loan.

You could pay out with cash if you have enough saved. In general, most people prefer to take out a car loan to help protect their savings and buy a more expensive car. You can also try to get preapproved for a car loan because it will improve your prospects of getting a better car at the dealership.

• In general, you should try to put about a 10% down payment, which will decrease the amount you’ll need to finance as well as the interest rates
• Aim to pay off the loan in three years
• Adjust your budget so that your monthly auto payments, such as car payments, insurance, and gas, don't take up more than 20% of your take-home pay.

2. Determine a Fair Purchase Price

The car’s price will depend on where you buy it. In general, you should look up the car’s price on various online forums and compare it with the price at the used car dealership. This will ensure that you are being charged a fair price. You can check the prices by simply looking up the dealerships online.

3. Look for the Features in a Car That You Need

With so many options out there, it can be difficult to choose the right used cars. A good place to start would be to consider your immediate needs for the car. For example, if you have a family with little ones, you'll need a car that provides you with plenty of cargo space.

If safety is a priority for you (which it should be), check out the car’s crash tests at the Insurance Institute for Highway Safety. Most cars are equipped with advanced safety features that are often reserved for luxury vehicles.

Create a list of must-have features and then look for models with those features on used car websites like San Auto Dealer. Eventually, you’ll have enough information to narrow down your field. You can also consult a salesperson at the used car dealership for help picking the right used cars for you.

4. Check to See if the Car is Reliable Enough

No two used cars are the same. Some have gone through more wear and tear, while others have racked up more miles on the odometer. In general, you want to choose a model known for its reliability. Additionally, it is important to consider the overall cost of ownership. Some cars may be cheaper to buy upfront, but the long-term costs can add up due to maintenance expenses, costly repairs, and depreciation.

If all that sounds complicated, a simpler choice is to look up the car in an online forum such as Reddit and ask the user base about their experiences with the car. In general, you will find that users on online forums provide more honest insights and straightforward answers.

5.  Check the Car’s Vehicle History Report

Unless you are buying a car from a trustworthy friend or family member who can take ownership of the car’s history, you should always try to get the car’s vehicle history report. This is essential because it will give you all the details you need to learn about its past.

The reports indicate vital information about the car, such as the number of miles on it and if it has a salvage title (which means that the car was declared a total loss by an insurance company). You will also need to see the car’s vehicle identification number (VIN) to get this information.

6. Test Drive the Car

Test driving is the best way to tell if the car is the right choice for you. It is also a good way to get a feel for the car’s interior and exterior. The used car dealership’s salesperson will usually accompany you for the test drive to give you more information about the car. During the test drive, it is vital to focus on the car and check for the following things:

• Do you find it easy to enter and exit the vehicle without hitting your head in the process?
• Is there enough legroom and headroom? Don't forget to check the space in the back seat.
• Do you feel comfortable in the driving seat? Do you have to sit too high or low to see the road ahead properly? Can you adjust the steering wheel to improve control?
• Do the seats appear to be comfortable and easily adjustable?
• Smell for any burning oil or gas
• Check the tires to see how old they are and if there is enough treading left
• Make sure the brakes are working as they should be, providing the car with a good stopping power
• Speaking of the brakes, do they squeak?
• Pop open the hood to see if anything is leaking or coerced in the oil, in which case, it's time to ask questions
• Does the air conditioner work? Do the headlights and brake lights work? Test them to be sure.

Wrapping Up

So, there you have it, a quick look at the process involved in buying used cars. At first, it can feel slightly overwhelming to go over all these processes, but doing so will ensure you are getting a reliable used car that will stay with you for years until you are ready to upgrade.

Ready to buy a used car near you? Contact our experts at San Auto Dealer for more information.