Beginner's guide to buying your first car
Buying your first car can be daunting and stressful, but it is also something you should celebrate. With these 6 easy steps you'll be able to plan ahead and glide through the entire car buying process, which means you'll have more time to spend exploring with your new-found freedom.
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1. Set Your Budget
The cost of buying a new car can be daunting, especially for those who have just barely graduated high school. Since you've just gotten your license, you're bound to get dents and dings on your first car. Buying a cheaper car as your first car to train your driving skills first may not be a bad idea since it's going to hurt less when you're inevitably going to scratch it in a parking lot. Most people only look at the purchase price of the vehicle when they're getting their first car, but you should also budget monthly for maintenance, parking, insurance and petrol.
2. New vs Used
After you've set your budget you should think about whether you're going to get a new car or a used car. Used cars are significantly cheaper but they probably won't come with a warranty. Used cars also offer lower car insurance rates since they're older and less expensive. In addition to this, new cars usually depreciate significantly faster than old cars, which is something you should keep in mind. However, there are also lots of benefits of getting a new over over a used car. New cars also come with the latest safety features and technology, and they often offer robust warranty packages that last for 5 to 8 years.
3. Lease vs Finance
Leases allow you to only do payments for part of the vehicle, with the option of paying off the remaining amount at the end of the lease; while financing requires you do payments for the full amount of the vehicle. For the same monthly payment, drivers can usually afford to get a more expensive vehicle when they lease instead of finance. However, leasing means that the car is not yours and you will have to return the vehicle to the dealer at the end of the lease. Moreover, leases often come with a limit of how many km you can drive per year and charge a hefty premium when you exceed the limit.
4. Do Your Research
You should also think about your needs when you're setting a budget. Whether you're going to use it for your daily commute or just for weekend adventures, whether you're going to be driving on rough roads or through heavy snow in the winter, are just some of the few questions you'll need to ask yourself when you're setting a budget. You should learn about different features and options that may help you in those conditions and how they might affect a car's price. You should also familiarize yourself with the most popular brands and read reliability reports to see what cars you should go with so that your car won't be stuck with the mechanic when you most need it.
5. Go on Test Drives
You should never buy a car without test driving it, especially if it's used. Before test driving, you should inspect the car to see if it's in good shape, just to make sure it's in good shape. You should research the route you'll be driving before-hand to ensure that there is a mix of different driving environments such as stop and go traffic, highway driving and how it performs over potholes. You should also bring along a friend or family member so they can provide a 2nd opinion and catch things you may otherwise have missed.
6. Negotiate and Close The Deal
With the used car market being as hot as it is right now, there might not be a lot of wiggle room when it comes to the price. However, you might be able to persuade dealers into providing extra services free of charge such as an oil change, extra winter tires or a car wash. You should also not hesitate to bring up any concerns you might have with the car and try to haggle with the salesperson. Lastly, you should be prepared to walk away if you feel you're not getting the best deal.
Now that you have a grasp on what you should do when you're on the search for your first car, you can learn more about what used cars you should get, and what new cars you should get here on my blog. You should also follow my blog for more car related content!
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