Buying a new car is always extremely exciting, no matter what stage of life you are in. Whether you just finally got your license and are buying your first car, you are buying your dream sports car, or looking to buy a safe car when starting a family. It is important when going through the process of buying a new car that you do not rush it and take your time to consider all the important factors before making the purchase.
If you are not sure where to start in the process of buying a new car, we have pulled together some of the top items that you should consider.
Know your needs.
First, figure out exactly what it is you are looking for. What do you need out of your next car? Are you looking to accommodate a family, or will the car mostly just be for you? Do you feel more comfortable driving an SUV or a Sedan? Do you need a lot of trunk space? Would you prefer a hybrid or gas car? These are just some of the questions that you should consider when deciding what your goal is with your next car. Once you have an idea of what you are looking for, it will help to easily narrow down what your options are currently on the market.
Review your financial position.
Next, take a look at where you stand financially. It is important to have an idea of how much you are going to want to spend, how much you have saved, and what you think you will be able to afford each month. When reviewing your financial position, this can also help to determine if you are going to want to purchase a vehicle and fully own it or if it makes more sense financially to lease the vehicle.
Know your credit score.
If you do not regularly check your credit score, now is the time to do so! Look at what your credit score is to get an idea of what your interest rate will look like on an auto loan if you choose to go that route. The higher your credit score is, the easier it will be for you to negotiate a lower rate for you to pay monthly. If you are finding that your credit score is not as high as you would like, take this time to look into some ways that you can raise your score before moving forward on a new car.
Decide if you are trading in your current vehicle.
Whether you are currently leasing or if you own your car, determine what makes the most sense in terms of trading it in. If you decide to trade in your car, do your own research ahead of going to the dealership so you have an idea of what your car is really worth. When doing this research, look at every aspect of the car, including what year it was made, what make it is, how many miles are on the car, as well as its overall condition. Getting an estimate on what your car is worth to trade in can also help be a deciding factor on what car you would like to purchase or lease!
Look at your budget.
Next, look at your budget. What are you most comfortable spending per month? When you arrive to the dealership, if you are able to give your monthly budget upfront, it will help the salesman determine what options you have and will also allow them to see if there is any room for negotiation.
Determine new or used.
If you are set on buying a vehicle, depending on your overall needs and your budget, you can decide on whether it makes more sense for you to purchase new or used. If you are purchasing used, make sure to do a little extra research so you are aware of exactly what it is you are getting.
Don’t forget to negotiate.
Last but not least, do not forget to negotiate! Remember that salesmen are always willing to work with you to make sure that you are able to leave the dealership with exactly what you are looking for.