If you have made the big decision to buy a vehicle, whether you’re going for a new or used one, you know very well how crucial it is to choose wisely. Your vehicle will be with you for more than a few years, after all, and if you don’t choose correctly, it’s a decision that’s easy to regret. And it’s not just about the actual car, either, although the car you choose should be the most suitable one for your needs and preference. Choosing the best deal also means making sure the financing is feasible, and you have calculated the ownership costs properly and more. Buyers can make particular mistakes when purchasing a vehicle, and some are more common than most, so you should do your best to avoid them. So what are these errors? Here’s a close look at the top mistakes you should avoid when purchasing a vehicle.
- Concentrating too much on the car’s price
Many of us are understandably concerned about getting ‘cheated’ or ‘ripped off’ when buying a vehicle. The car’s price will matter, of course, and we want to make sure that we are getting the right deal, particularly for the year, condition, and make and model of the car. But there’s something more important than this: whether or not you are acquiring the car that’s most suited to your needs and making sure that the car is something you can afford. If you can’t afford that new model, you may want to think about a used car, and it can save much more of your hard-earned money. Many people are buying used nowadays, and there are plenty of used models in great condition, such as those from used car Utah companies like The Young Automotive Group.
- Not thinking enough about the financing details
Another frequent mistake buyers make is not thinking enough about the financing. Just consider this scenario: buyers tend to haggle for hours with a salesperson to get a mere 500 dollars off the car’s price, then decide to finance the car at an interest rate of 6 percent with no deposit for a four-year payment term. Many of us do this exact thing because we believe that the 500 dollars we saved is tangible, while the extra money we are paying for interest is not tangible or concrete. Try not to make the same mistake other people make on their car loans, and if you can settle a higher down payment, it will be better for you in the end.
Unless you are eyeing a loan with zero interest (which isn’t likely), it’s better to pay with cash. But if you have to take out a loan, be conservative, and shop around for the best rates. Your effort will be worthwhile in the end, and you’ll have fewer regrets. Here’s another tip: choose a loan that isn’t more than 36 months, and try your best to put down a 20 percent deposit.
- Underestimating ownership costs
It’s thrilling to be on the lookout for a new vehicle – but if you want to be practical, make sure you think about the costs of ownership, too. It’s not just about the gas expense – think about ongoing expenses, like insurance, taxes, and maintenance. Some cars are more practical to own than others, so consider this when making your final choice.