How to Buy a Used Car in 8 Steps
Auto Financing
Buying a used car can be a smart financial move—but it takes more than just picking a car that looks good. From budgeting to test driving and negotiating, there are several key steps that can help you avoid costly mistakes and drive away with confidence. This guide breaks down the process into eight simple steps to make your car-buying journey smooth and stress-free.
Step 1: Crunch the numbers
If you’re paying with cash, you already have a budget in place. If you’re taking out an auto loan, get your pre-approval before visiting the dealer’s lot.
Step 2: Create a target list of makes and models
Narrow down your choices to three or four model cars.
Step 3: Research
Look for listings of your vehicles of choice. When you have some options to consider, obtain their vehicle history reports from Carfax.com.
Step 4: Contact the seller
Verify the information you’ve learned about each car and see if it’s still in stock. If everything checks out, set up an appointment for a test drive.
Step 5: Test drive
During the test drive, pay attention to the acceleration, legroom and visibility of the car.
Step 6: Have it inspected
Take the car to a mechanic for a professional inspection.
Step 7: Negotiate
Make an opening offer based on what you have determined to be the average price for your car.
Step 8: Make it official
Read the contract carefully before signing and be sure to get insurance.
With a little planning and the right approach, buying a used car doesn’t have to be overwhelming. By following these eight steps—from crunching the numbers to sealing the deal—you’ll be well on your way to finding a reliable ride that fits your needs and your budget. Now all that’s left to do is buckle up and enjoy the ride!
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