Why You’re Paying a Premium on Used Cars
Motorists used to be able to get a beater for under $1,000 so that they could at least go to and from work. Now, cars that are nearly 20 years old might cost closer to $5,000. So, what happened to make used cars go up in price? First and foremost, drivers are keeping their used cars for longer. Not everyone is wanting to part with their trusty used vehicles anymore, especially if they’re still in good shape. Next, subprime auto loans have increased. This means that fewer consumers are buying used cars in cash and are using financing instead. If you have the time to search Craigslist cars, you may find that you can negotiate for a better price on used cars if you go to the right sources. Check out what vehicles are for sale by looking beyond the most well-known auto dealers in your area.
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Invest in a Little Auto Work
If you’re expecting to get a used car that runs well and looks good, you’re going to have to spend more money. Sometimes it works out best when you’re prepared to buff out some scratches on a vehicle that comes with a strong engine. The same goes for vehicles that are missing hubcaps or have some other type of body damage. On the other hand, a car that isn’t in top tip shape might just require some automotive work. Find out what’s wrong with the car and determine if it makes sense to invest in mechanic fees.
Negotiate on the Price
Private car sellers will come down on the price they have listed for their vehicles, if you are well versed in negotiations. Don’t make an offer so low that it is insulting, but do always start at least a few hundred dollars lower than the asking price. Hopefully, you and the seller can meet somewhere in the middle and you’ll be able to drive off in a car that you own free and clear. Feel free to negotiate on used car prices when you visit auto dealerships as well. If you have the cash or a cashier’s check the seller will know that you are a serious buyer.
Watch and Wait for a While
Around tax season, used cars might disappear in the blink of an eye, but during the rest of the year they can take months to sell. No car seller wants to have a massive inventory of vehicles that aren’t moving. If you know what kind of car you want, and you see one that has been sitting for a while, see if you can swoop in and get the vehicle at an unbelievably cheap price. Used cars can still be purchased inexpensively but you have to show that you have some knowledge about the industry.
Don’t buy a used car impulsively. Pay attention to the interior and what’s under the hood more than the body. Last but not least, look at vehicle histories or at least have a mechanic with you when you go for a test drive. Many used cars are still under the manufacturer’s warranty, so it can still be easy for you to get major work done.
Author: Carol Trehearn
