Are you sure you know how to get a good deal on a car?
Several people are buying cars these days. I guess the Cash for Clunkers program was just the deal that many were looking for to get them in the car buying mood. However, I wonder, “Are they really getting the best deal?“
I think this question haunts us all when we go to buy a car. It seems that the dealers have so many tricks up their sleeves to milk us of every penny possible. That’s why it is so important to arm yourself properly before buying a car.
Knowledge is power in this game So, I’ve assembled this guide to help you get the best deal possible the next time you decide to buy a car.
7 frugal car buying tips to save you from getting ripped off
There is a lot you need to know to get the best deal on a car. Walking into a dealership or even going to a private seller without doing your research up front is a dangerous thing to do. Lack of knowledge and naiveté can cost you hundreds, if not thousands, of dollars.
This article is full of great resources to properly equip yourself so you won’t get ripped off. I have zeroed in on what I consider the seven most important things to consider to get the best deal. Here they are:
1. Decide what you want before you go to buy
As I’ve already said, you do not want to wander on to a lot like a sheep being led to the slaughter. It will cost you money. You probably already know in your head a short list of models that you’ll be considering. Research them online or visit car dealers when they are closed to gather information and to window shop. Develop a short list before you visit a seller. This will help you avoid getting swept off in the wrong direction.
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- Kelly Blue Book – Research and Explore
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2. Decide whether you want a new car or a used car
This is an important question to consider. Personally, I think that buying a car that is two to three years old with low mileage is the best way to go, but everyone needs to consider this question for themselves. In order to get the best deal, try to separate your emotions from this decision. Sure, it is nice to have a perfect new car, but is it the best deal? You decide!
- Please Let Me Talk You Out Of Buying a New Car
- 5 Reasons You Should Buy A New Car
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- My Evolution From the “New” to “Used”… Car, That Is
- Beyond CarFax: Tips for Buying Used Cars
3. Decide if you will be buying or leasing
A car is a major purchase. For most of us, it is the most expensive thing we’ll ever buy besides our home. That’s why you need to really put some thought into it. Of course, a part of getting a good deal is wrapped up in how you pay for your car. There are basically two options. You can either buy it or lease it. I think buying is the better choice. What do you think?
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4. Decide on paying cash or financing your car purchase
Yes, there really are people out there that pay cash for their vehicles. Paying cash saves you tons of interest charges. In order to get the best deal on a car, you have to look beyond your ability to afford the monthly payment. You have to look at the big picture. A car loan can cost you thousands of dollars in interest over five or six years.
- I’m Saving Up To Pay Cash To Buy A Car
- My experience buying a used car with cash
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5. Decide your tactics for getting the best price
Negotiating the best deal on a car is tricky, there is no doubt about it. The dealer is a very experienced at this process. They do this all day long and they’ve honed their skills over many years. This is their business and they know it well.
You must be prepared to spend some time and walk out if necessary to get the best deal. Also, don’t forget, the negotiating doesn’t end once you get to the finance guy. He is also going to try to sell you things like car loans, leases, paint coatings, accessories and extended warranties. Don’t let down your guard!
- Hard Core Negotiating Tactics for Car Purchases
- Buying a New Car? Skip the Negotiations
- The Art of Negotiating – A Crucial Skill For a Frugal Lifestyle
- I Don’t Want Your Freakin’ Extended Warranty
- Is A No Haggle Dealership for You
6. Decide if going green is worth the money
There is a lot of talk nowadays about more environmentally friendly cars. You can buy hybrids, electrics and plain gas engine vehicles that have higher fuel efficiency. However, in some cases, you may pay more up front for these vehicles. You have to decide if the benefits outweigh the costs.
- 25 Tips For Making Your Own Car Greener Instead Of Buying A Hybrid.
- Buying a New Car to Save on Gas Mileage
- 10 least expensive to own vehicles – not one is hybrid
- Will A Hybrid Car Really Pay Off?
7. Decide how you will insure your car and what it will cost
Don’t forget that you are going to have to buy insurance for the car you purchase. It is a good idea to research this ahead of time so there are no surprises after you have bought your car. You don’t want to find out after the fact that your new pride and joy is going to cost you hundreds of extra dollars in insurance.
- 11 Ways to Save on Car Insurance
- How Does Car Insurance Work?
- Frugal Living: Insurance Buying Tips To Save You Tons Of Money
- 5 Ways to Reduce Your Car Insurance Bill
These frugal car buying tips will help you save a boatload
It certainly takes time and patience to research your best deal on a car, but it is well worth the investment. You can literally save yourself thousands of dollars. I know you’ll find this list of resources a valuable aid in your next car purchase!
What is your best tip for saving money when buying a car?
Photo by ktylerconk