Getting a new car is everyone’s dream that often is the second dream after the dream of a beautiful house. Some people even buy car before they buy or build their house. Buying a car is like buying your dream machine but there are certain instances when people often get dissatisfied due to some petite mistakes that they skip to buy a car. As, it is an expensive affair that involves your hard earned time and money, you need to be too cautious and well-informed before you spend the money on your dream machines. So, if you have plans to buy a car in 2014, and you have already saved enough to meet the price tags you’ve been trying hard for a long time to reach, then there are some wise tips for you. These tips may not assist you to divert your choice but it can certainly help you to make it firmer without any doubt so that you won’t have to regret on your decision later.
Don’t just make it your dream, but make it an effort you can succeed
How many cars have you selected in the list? If the cars are highly priced that is quiet out of your affordable margins, then it’s of no use dream hunting your dreams. The best idea you can build to select your car is to check your household income and allocate just the 20% of it for your car loans. If the 20% amount falls under the margin price of your selected cars then you should prioritize those cars for purchasing.
Are you always a ribbon cutter or you are having exceptions for used cars?
It’s not always new cars that have ruled the market. Instead used cars too have remarkable demand in the automobile market. You can just make you choice between used cars and new cars, but before you also need to understand few pros and cons before making your choice for used cars. Used cars can give you an experience of owning and driving more expensive cars at an affordable rate further not avoiding the fact that you always have a skeptical mind towards the history of used cars. The deal may end up leaving you frustrated when you find yourself at the mechanic’s garage with your car more often than you expected. The choice of new is again a reliable hunt where you do not have to worry about repairing expenses for good 2-3 years, but again in case of model and standard you get what you pay for.
After you have prepared a good list of all the cars, you can now start doing the market research for all those cars. The things you need to research are the features, dealer price and invoice price of the cars. Cut off the names of those cars that do not meet your requirement about features and prices. It is always recommended to keep 5% of you allocated budget in hand that will be used for other expenses like insurance, gasoline, maintenance and repairs.
Check the geography of your area:
There are different cars that work in a different manner in different geographic conditions. Such conditions include hilly terrain, plains, cold zone, traffic, and urban and rural areas. So, select the cars that have a good feed back in your areas. Also check the mileage of the cars running on your preferred terrains, some cars give good mileage only on plains while such cars may give extremely bad mileage running on hilly terrains.
Estimate the down-payment:
Once you have the cars in your list you now have to hunt for different information sites, brochures and manual inquiries to know the exact ownership price of the cars. You also have to keep in mind the insurance quote that should be best depending on your usage. The Down-Payment will decide other financial aspects like monthly premiums for your car loans. Get a quote that is best for you to afford after keeping aside appropriate amount of funds that you will need to spend on other things for the car like fuel, repairs etc.
Hunt for financial institutions that provide you with the best interest rates:
There are many financial institution that may lure you with their attractive low interest rates, but it all depends upon your credit scores calculation, your monthly income and in some cases your financial reputation with financial institutions. Do not just opt for the institutions that can approve your car loan instantly, but keep some options readily available and do your own calculations. You should opt for the rates that can best fit into your monthly budget, and also your future prospects of income growth. Select an institution that you are familiar with, and where you have a good reputation of timely transactions. All these will help you to ascertain your credit scores, future financial risk and many more.
Dealership finance or bank finance:
This is one of the most important calculations you need to make before you buy the car. It should always be remembered that dealership finance through direct sales agents will not only give more emphasis on selling you the car but also to make you sign a car loan that they would be commissioned for. Such dealership finance will always show you some confusing figures that will look great but overall it can be an expensive deal in comparison to bank finance.
Hunt for the discount offer, their discount time and car model
Apart from a hard core negotiator, you also need to be a discount savvy person. So look for the best time when the automobile companies launch their discount offers for the cars you have selected in your list. Normally, it happens during the festive seasons or during the end of financial year. Look out for their brochures or you can extract the information from other sources as well. The manufacturers sometimes either give a flat discount on the price of the car or lower their interests on the car payments. Once such discounts are available in the market, keep your formal documents ready to grab the discount offer.
Check your preferences for the best features of your car.
A car is a long term investment where you would not like to compromise with the quality and standard of its features. So, go for the test drives, check the comfort level of the seats, and driving experience. Also look for the occupancy of the car depending on your family needs. The size of your car also matters a lot that depends upon several other things like parking space available at your home, the size of your family, etc.