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If you're thinking about an automobile purchase in the next 12 months, this publication can help you make a better decision. With the average price of a new automobile hovering around $25,000, it's important to make the right decision. There is a lot of money at stake, and it's a choice that can impact your life for several years.
Deciding on a Car to Buy
The first factor you'll want to consider when thinking about your next car purchase is how much you want to spend on an automobile. The second item on your list should be the type of car you need, and the options that you want.
If you show up at a car dealership ready to purchase an automobile, and you're not sure what you really need, then you might go home with a car the salesperson thinks you need. That's the nice thing about auto dealerships and their salespersons. They are always glad to help you make a purchase decision on a new car. That is, as long as it helps to line their pockets with your money.
So what exactly can you do to help protect yourself?
Research Your New Car
Do as much car research as you can before visiting a dealer. Visit a local library or bookstore in your town. There is a lot of good online information to help you research a new car. The most logical way to conduct your research is by following these steps:
- Calculate how much money you can spend on a car
- Decide on the features you'd need in a new car
- Analyze car safety and fuel economy information
- Negotiate a good deal on the car
How Much to Spend on a Car
Buying a new car is a big expense, and the monthly payments can be a significant portion of your household budget. If you're trying to figure out whether you should lease or buy a car, or how much you can afford to spend on a car, we have several online calculators that can help.
In fact, we have an entire section of this website dedicated to auto loan calculators, including:
Once you've used an online car calculator to help you figure out how much you can spend on a car, it's time to decide on the features you need.
New Car Features
There is a difference between what we "like" and what we actually "need." We might like a two seat convertible. We really need a car with five seats so we can drive the kids and their friends around town.
Think about how you're going to use a car, and develop your wish list of features. If you're trying to figure out if buying a certain option in a car is worthwhile, then take a look at the following articles:
- Car Accessories - this publication helps you figure out which car options provide a higher resale value in a used car.
- Car Safety Features - fundamentally, cars really need to do two things well: get you from point A to point B, and do it safely.
- Car Safety Ratings - will give you a feel for some of the safest cars on the road today.
Car Safety and Fuel Economy
We just provided a link to learn about some of the safety features found in modern-day cars. But with the rising price of gasoline at the pumps, part of your research should also include a quick look at fuel economy numbers.
Once again, we have some good fuel economy information that can help with this part of your new car research:
- Fuel Efficient Cars - provides information on some of the most efficient cars, trucks, and SUVs on the road today.
- Fuel Efficient Car Technologies - an article that provides an overview of some of the more recent engineering advances in automobile fuel efficiency.
Negotiating a New Car Deal
Before you start negotiating with a car dealership, you will need to narrow your choice of makes and models by doing some comparison shopping. After you have a good feel for what you believe is a good price to pay for a particular car, then you're ready to start negotiating.
Comparison Shop
After you've decided exactly which cars you'd like to purchase, you may need to do some shopping around to make sure you really get the best possible price on that new automobile. Once again, you have a couple of options to help you do some comparison shopping:
Visit several of the online car dealerships, or car pricing services, over the Internet. Figure out the selling prices these companies are willing to offer. Once you understand what online automobile dealers are willing to do, it's time to start physically visiting local car dealerships.
New Car Negotiations
When you talk to a salesperson at a car dealership, you should always be prepared to negotiate. Make it known that you have researched your new car, and you know what you are looking to purchase. If you are going to trade in a car, make sure you negotiate a price on your new car first. Try to make one deal at a time, and don't get your new car purchase mixed up with your trade-in.
Let the dealership know that you've already shopped for a car online. Your online price then becomes the price to beat. If the car dealership really wants the sale, they're going to negotiate, and will beat the online car price. If they don't, then you can simply go back home and order the car over the Internet. Don't let the dealership tell you that you will never get the car for that online price; people do all the time. That's what keeps those online car dealers in business.
Ordering Your New Car
If you're convinced that you're going to buy a car at a dealership, then you should consider ordering a car if they don't have the exact color and options package that you want. This can help you to avoid purchasing an automobile with too many options. Remember, you are the one paying for all those features, and they can add up quickly.
Finally, make sure you are happy with the color you are getting. We know this sounds silly, but you are going to have to look at that car nearly every day for at least a couple of years. If you settle on a second choice in color, we can tell you exactly what will happen. Every time you are on a long trip and the same car with the "right" color passes by, guess who is going to make a comment?
About the Author - Automobile Purchase
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