How to Shop for a Used Car

How to Shop for a Used Car

Purchasing a used vehicle can be anxiety-provoking for many people.   Whereas a purchaser of a new car has the assurance of a new car warranty in the transaction, buying a used car or truck doesn’t always come with such a guarantee.   Many people are also concerned they could be buying “someone else’s headache”.   

Here are some ways you can help increase your chances of getting a good value that you will be happy with for years to come. 

  1.  Consider the reliability ratings of the vehicles you are looking at.    Although there is no “Crystal Ball” that can tell you exactly what car will last longer than another, some vehicles do tend to have a better repair record than others.   Consumer Reports latest “Used Brand Reliability” rankings has Lexus, Toyota, Mazda, Honda  and Acura as the leading reliable brands for used cars from 5-10 years old.  
    Used Car Reliabilty Ratings According to Consumer Reports

    This doesn’t mean that every one of the vehicles from these manufacturers will be trouble free, or that you can’t find a Chevy 1500 that won’t be great for 300,000 miles, but just that on the average, for the millions of cars on the road and hundreds of millions of recorded repairs, these manufacturers faired the best.
     

  2. Tools for your car or truck Search:   You may be a person who feels the best deals might be found as coming from private owners.  In that case, you might be looking on Facebook MarketPlace, or Craigslist.   However, as a buyer, you need to be wary of the numerous scams unscrupulous people run on such sites.   Furthermore, there is little recourse if you buy from a private owner and find there is something seriously wrong with the car after you got it home.

    A very popular resource many buyers use is the value ranking or badging system  as found on some car listing services, like CarGurus or Cars.com.  On these sites, they will rank a vehicle's relative value compared to the other comparable ones on their site, after factoring in trim, miles, Carfax report, and other mitigating factors.  Tools like that can tell you whether you are getting a good deal, or whether the vehicle is overpriced for its class.
     

  3. Take the time to carefully inspect and test drive the vehicles you are considering.  Be ready to ask the seller a lot of questions.   Even on late model cars, there are many features that are not apparent, which may or many not be on the one you are looking at.   Things like Android Auto/ Apple CarPlay or safety features like automatic braking and cross-traffic alert are desirable options, but not on every make and model.  

When test driving, make sure you are  allowed enough time and with varied conditions to fully assess the vehicle.  At highway speeds, listen for excessive wind or road noise, or any discernible shudders or shimmeys.  Pay attention to the smell of the interior - a musty or moldy smell could be a sign of a water problem. 

If you are buying from a dealer, and particularly if you are looking at a manufacturer’s “Certfifed” vehicle you should ask for a list of whatever maintenance was done on the vehicle since it was acquired.  And of course if you are buying from a dealer, you should ask for the Carfax or Autocheck. 

  1.   Negotiating The Price:  If you happen to have come across the vehicle in question on a car lot, make sure you first look to see if there is an advertised “Internet” sale price.   It is not uncommon for a dealer to have a higher price on a window of a car on a lot, and a lower advertised price online, in order to attract business on the internet.  

Some dealers will not discount a car below their listed online “Sale Price”.   Others may have some “wiggle room”, and still others may say they don’t have any wiggle room-- but they will work with you on the price since there is a persistent pressure with dealers to be turning over their inventory.   There may be a number of factors affecting the possible sale price at that time. 

  1.  If you reach an agreement on price, make sure you discuss terms of payment and delivery of the vehicle.  If you are financing, the dealer may expect you to finance with the banks they represent.   If you have your own financing, or paying cash, clarify exactly when the seller can expect payment in full.  If there are any outstanding items the seller needs to take care of, make sure that is in writing. 

In all things, it is good to show caution and take your time to understand any sales or financing contracts.  A dealer may have a documentation fee, which is not negotiable, but other add-ons may be purely voluntary, so carefully weigh out if any after-sales items (ie. warranties, insurances) are something you consider a good value. 

Keep in mind that in most cases, if you make a hasty decision on buying a used car, and regret making the decision, you likely don’t have any recourse to return the vehicle once it has been registered to you.   There is normally no “return” policy on a vehicle once you have taken ownership.