One of my passions over the years has been the art of automotive science. Throughout my life I have eagerly researched, studied and kept up to date with the latest automotive technology. My friends and I used to play the “game of naming that make and model of car” as we drove through the various highways of America. It was a competitive game between us to see who could correctly identify the make / model of a car approaching us before the other, all for bragging rights. This game may seem trivial to some people, but for any of you car enthusiasts, it makes perfect sense. So I thought I’d write a quick post and share some tips on what I’ve learned over the years from buying and selling multiple cars.
So you’ve made the decision to trade in that old junk that has served you and your family so well. With so many options in today’s automotive world, where do you start? Unfortunately, in my personal experience, there are more than a few car dealerships that still play high pressure games. Although with the advent of the Internet, more well-armed buyers have more than enough resources to level the playing field between themselves and the car dealer.
Hopefully, by the time it comes to looking for your new vehicle, you have an idea of the type / make / model of car you are looking for. If you need help with this, there are some great websites you can use. Edmonds.com is a great resource to help you research different makes and models and also has a consumer ratings / reviews section where you can read reviews from other car owners on that particular vehicle.
Once you’ve narrowed it down to the particular make and model, I would recommend using a top online car classifieds site like Autotrader.com, Autotrader is one of the best websites out there from my personal experience, although there are certainly others. Good sites I would start with as they seem to have the most extensive inventory of new and used vehicles of any site I have ever researched. A word of warning, unless you have a burning desire to be the first butt to heat up the leather … save yourself a lot of money and little used! Cars are NOT a good investment and depreciate up to 50% in a few years of ownership. I would recommend buying a used car that is two or three years old and has less than 30,000 miles on the odometer.
You may ask why it is two or three years old and less than 30 thousand miles. Good question, most manufacturers have a full warranty that covers any defects or problems for four years or 50,000 miles, whichever comes first. When you buy your car with 30k or less miles and two or three years old, you still have enough cushion to drive your new vehicle and still be protected. If you buy your new car from a new car dealer, they may even certify that particular car for a warranty of up to 100,000 miles, but that adds up to the retail price of the car.
Now that you’ve found a car that you really like and are willing to drive for the foreseeable future, it’s time to negotiate a price. With the advent of the internet, one can search the entire country to find the car of their dreams. I have personally purchased cars across the country and delivered them to my residence with great success. Shipping to most parts of the country costs between $ 500 and $ 1000 depending on the distance.
The price of the car can vary greatly from section of the country to another and whether the car is offered through a dealership or a private party. I would recommend using a site like Kelly Blue Book or KBB.com, you can look up the exact price of your car based on the particular year, make, and model. KBB will give you an estimated price range based on three price tiers; wholesale or trade-in prices, private parties and retailers.
If you decide to buy from a dealer, I would steer clear of the “our best price” model used by some dealers. Usually, with a bit of negotiation, you can find the same car for a little less elsewhere. I always negotiate the price I want to pay using KBB’s wholesale prices. It’s a good way to always outwit the dealership / private party and who knows, maybe they’re motivated enough to sell you the car at a wholesale price.
Another very important aspect of buying a used car, get a research report on the vehicle before you commit! Carfax.com and Autocheck.com are two of the leading auto history reporting services. They will run a report detailing your complete history so you have peace of mind regarding any accidents, title discrepancies, flood / hail damage, salvage title, service history for that particular car.
Below is a summary of a smart car shopping experience:
- If you can, buy a used or second-hand vehicle and save a LOT of money.
- If you are unsure of your next horseless carriage, use a good car research / review site.
- Use a good car classifieds service to search across the country as prices / inventory vary across the country. Look for cars that are 2-3 years old and less than 30,000 miles on the odometer.
- Look for cars that are 2-3 years old and less than 30,000 miles on the odometer.
- Negotiate the price using a car price guide service and start using the wholesale price.
- Before you buy your next bolt bucket, make sure it isn’t! Use a car search service to check your history or you may regret it.
- Don’t be afraid to buy your next car from someone out of state. Shipping is relatively straightforward and easy to set up.
I hope you find value in this article and in my personal experience buying and selling various cars over the past twenty years. If you enjoyed this article, feel free to tweet it again and leave a comment below. I really appreciate your comments.
Sincerely,
Jeff Wisuri