I’m looking to purchase a car within the next month. Nothing new…but something in the order of a 2001 Ford explorer.
This will be my first car purchase (The other two were family hand me downs)
Now, this is one of those situations where I know I’m bound to get screwed even before I walk on to the dealership. So I’m wondering if anyone with some experience in this matter can tell their story and what to look out for.
I also hear all about 0% financing all that…What kind of deal should I be looking for in this kind of market. (Im a California resident)
I am the same as you in that I never know what to look for in a car. Luckily I have friends who can take the damn things apart and put them back together again. Whenever I am buying a car I ALWAYS take one of these guys along with me and I always end up with a reliable car. So my advice is to find someone you trust who knows cars and talk em into coming along.
I don’t know how likely you are to get 0% financing on a use car. Also, I suggest that when purchasing used and not able to use low-rate, “special” automaker financing that you do not finance at the dealer. Go to your bank, credit union, or http://www.peoplefirst.com and get a blank check first.
You won’t get screwed when you get onto the lot unless you let it happen. By having the money in hand, you’ll know exactly what you want and how much you’ll pay. If you don’t get emotional about a particular vehicle, it’s super easy to walk off of the lot when the dealer won’t play ball.
Go to a place like www.edmunds.com and look up used car prices for cars that you’re interested in. Yahoo has a similar service as well, IIRC. Also check out the classifieds to see what owners are asking for similar cars. Get an idea how much it SHOULD cost before you ever start dealing.
Always negotiate on Total Price, never on Monthly Payment. Always be willing to walk away, there are other cars and other dealers, especially in used cars.
Also, do lots of searching before buying. Know what the exact car sells for at other dealers and even privately.
Dealers make the most money (per car) by selling used cars. Therefore there is more room to fudge the price and more room to negotiate. The difference between what they gave for the trade-in and what they turn around and sell it for is quite a bit - more than what they make on new cars (generally speaking).
Dont be afraid to negotiate the lowest price and then walk away from the sale. Make them sweat a little. Then call back a couple of days later and see if theyre willing to go even lower.
Don`t fall into the trap of “what can you afford” or “what kind of monthly payments would you like to see”. This gives them the upper hand.
You won`t get special financing on used cars. Usually the lowest or 0% financing is for the new cars only.
I recently (February) purchased a car and found that Edmunds, Kelley Blue Book and NADA were all valuing cars way above true market (as in $8K-10K for the car I purchased). I need to get back to work now, otherwise I’d search for the thread(s) wherein I detailed my experience.
A few other dopers bought cars around then and there were some other useful threads.
Also, check the VIN history of the vehicle you’re considering through Autocheck or Carfax.
For around $100, you can get the car inspected by a mechanic - a great investment if you’re in any way serious about buying the vehicle. Make sure he does a “compression test” - I’m not sure what it is, but according to the books I’ve read it’s a useful test for guaging the health of a car.
I think if you finance through a credit union you can buy mechanical breakdown insurance that covers the vehicle bumper to bumper. Might be worth it if the car is out of warranty or nearly out of warranty.
Also, the auto club can refer you to places that do something like an 83 point vehicle inspection for about $89. A dealership might offer their own warranty. I’d research the dealer online to see if any complaints have been posted.
Well, it can tell a little bit about the health of the engine, but don’t depend on just a compression test! It’s a measure of how well the rings around the pistons function against the cylinder wall, i.e., the closer to the published compression specification the better mechanical shape the engine is in. If there is a leak (lower compression) around the rings, then there is some significant wear somewhere, and the engine may be burning oil. This also results in low horsepower.
There are so many other things that can possibly be wrong with a car that – unless there are a huge amount of miles – the compression check ought to be lower on the list of priorities.
With used cars this can be a wise test and its pretty simple. Many people will sell a car when a major engine or transmission rebuild is looming in the near future. Rather than bite the bill they sell the car. It drives ok, it runs, but for how long at what gas mileage.