The automotive industry has a $104 billion market value and is growing at close to 6% today. Whether you need a brand new ride or would to buy something used, it can be a daunting process for a first time car buyer.
So what tips should you keep in your back picket when buying your first car? We’re happy to explain. Read on and use these tips so that you can drive off the lot in a vehicle that you’ll love.
Run Your Credit and Budget
Vehicle ownership comes down to dollars and cents at the end of the day. Whether you’re paying cash or intend to finance the vehicle, you must run the numbers.
Factor in your living expenses and reverse engineer them to determine how much you can pay per month if you’re planning to make payments. Pull your credit score to find out if it’s in good standing for an auto loan.
Any score in the 700+ range should get you the best auto loan rates. You can also get better rates by giving a down payment toward the card, or trading in a vehicle that still holds some equity.
Consider your reasons for purchasing a vehicle. If you were in a car accident and need a vehicle replacement, you likely have more sense of urgency. You can also go to this website if you need advice on how to pick up the pieces after a car accident case.
Choose the Best Automobile
Once you have a price range, start looking for the types of cars that you’ll be happy to own. Consider some of the following attributes:
- The type of engine, such as 4-cylinder, V6, and V8 engines
- Automatic or manual transmission vehicles
- Whether you want a coupe, sedan, pickup truck, or sport utility vehicle (SUV)
- The amount of horsepower, torque, and other power features
- Safety ratings and entertainment options
Find out what make, model and year has the combination of everything that you need and like, and begin hitting some dealerships.
Search for Dealerships or Sellers
Go to the dealership with some questions in your back pocket. Ask them if the vehicle you’re looking at is new or used, and take it for a test drive both in the city and on the highway.
If it’s used, get a copy of the prior maintenance records and learn whether you’ve been in an accident. Get a third-party mechanic to inspect it thoroughly to see if the vehicle has any issues that are dealbreakers.
Ask the dealer about in-house financing, or apply through your own choice of bank or credit union. Getting pre-approval also makes car shopping far easier.
First Time Car Buyer Tips
Let these first time car buyer tips steer you toward an incredible purchase. You’re just a few steps away from the car of your dreams. Do your research so that you can find the best fit.
Begin here and rely on us if you’d like to learn more about buying cars, real estate, and making investments that count.