What To Look For When Buying a Used Car

Things to Know Before Buying a Car For the First-Time

If this is your first car-buying experience, try not to be overwhelmed by the amount of research needed, vehicle inspections, and, of course, the dealership. Plus, never buy any car or truck on emotion; in other words, NEVER buy a specific vehicle at any cost. Shop for a specific brand or series, such as a Toyota Camry or Chevrolet Corvette. The key to getting a good or great car deal is flexibility in color, options, and mileage.

Apply the 20/3/8 rule as a general rule of thumb when purchasing. This formula requires a 20% down payment, three years to finance (36 months), and monthly payments of no more than 8% of your pre-tax income.

Paying For Your Car

The best advice for first-time used car buyers is to have their financing in place before heading to the dealership.This approach helps avoid decisions based on impulse and facilitates better negotiation terms. If at all possible, pay cash or put more than the required 20% down, which puts you in a better equity position.

Start your financing search with two excellent resources: Lending Tree Auto Loans and RoadLoans. Both companies offer competitive interest rates and loans to the full spectrum of credit scores.

How To Know If a Used Car Is Good

Good research and common sense are the keys to finding the perfect used car. Buying a great used car has nothing to do with luck. Knowing how to spot potential problems can save a lot of future headaches .To determine if a used car is a good buy, use all the available online tools, and try not to become overwhelmed by the process.

Researching the Car’s History

Use the GoodCar Vehicle History Search service to find any problems the dastardly car salesperson forgets to mention. Pay close attention to the odometer readings and compare those numbers to sales contracts, service visits, recall alerts, and so on. Make certain there are no adverse title conditions, such as a salvage or rebuilt title, flood, hail, or water damage title. Discard the vehicle if there are any problems.

Recalls are critical to researching a vehicle's past to see if it affects performance or value. Use the GoodCar Vehicle Recall Check. A recall combined with any other problems means you should look elsewhere.

Fair Market Value

Fair Market Value is the term used to describe the actual cash value of a used car or truck. Every aspect of a vehicle is used to calculate this number, including the buyer and seller’s individual circumstances, mileage, interior/exterior condition, replacement costs, and so on.

Mileage is everything when considering a used car. Because of the rise in engineering, it is not uncommon to see vehicles last well past 200K miles. Vehicle options and local market area dynamics significantly influence used car values.

Kelly Blue Book is the de facto standard for establishing the fair value of any used vehicle. Since 1926, KBB has been a trusted source for the automotive industry and consumers. The company analyzes hundreds of thousands of transactions weekly in real-world sales transactions for 1992 and newer vehicles from dealerships, auctions, and private party sales.

What to Check For When Buying a Used Car

When buying a used car, it's crucial to conduct a detailed inspection to ensure you're making a wise investment. This process helps identify any potential issues that could cost you money down the line. Here's what to check for when purchasing a used vehicle:

Exterior Inspection

When buying a used car there are essential steps for exterior inspection to ensure you are making a wise purchasing decision. Again, thorough research and a lot of common sense is the key!

• Approach the vehicle from the front, looking down to the rear. Notice any inconsistencies in paint color, especially on the doors and fender panels. Walk each side of the vehicle, pointing out scratches or dents. Examine panel alignments, such as gaps between fenders, doors, and trunks. Look for any inconsistencies!
• Rust and corrosion are significant issues in older, vintage cars and trucks.
• There should be no signs of an oil or fluid leak coming from the vehicle. If you notice a leak, keep walking to the next car on your list.
• Inspect the windshield and all glass surfaces for scratches or abnormalities. Ensure each window operates smoothly without hitches. Look for damage to the wipers and the antennae.
• You and a friend must check all exterior lights, headlights, taillights, turn signals, and brakes. Check the front headlight lenses for water damage and cracks.
• Examine all the moldings and trim. If any trim pieces have been replaced, ask the owner why.

Tires, Wheels, and Brakes

Tires and wheels are critical inspection items. Inspect the tire for uneven wear patterns, bulges, and cuts to the sidewalls. Make sure all tires and wheels are matched! The simplest way to check for adequate tread depth is the penny test. Insert the coin into one of the wheel's tread tracks. If Lincoln’s head is showing, the tread depth is less than 2/32, and it's time to get new tires. Tires must have 1/16th of tread depth to be legal.

• Be wary of used cars with freshly installed tires or wheels
• Make certain tread depth is even across the tire and the same for all tires
• Cupped tires may be a sign of defective steering, suspension, or brakes

Braking action should be checked thoroughly on the test drive. Listen for squeaking or grinding noises. Notice your stopping distance over several tries!

• Do the brakes feel soft after applying heavy pressure?
• Make sure to notice any unbalanced braking or veering.

Suspension and Exhaust Systems

Knowing how to spot minor problems will lead to a much better car deal. Look at the vehicle's stance from the front. Is it leaning from side to side or front to back? Any car should have a level stance. Check the shocks by pushing down on the right corner of the vehicle. Does it continue to bounce up and down?

Grab the top of each front tire and tug hard towards you. If there is considerable play, wheel bearings and suspension joints may be worn beyond repair.

Inspecting the Interior

You should use the same logical thinking and common sense approach to inspecting the interior as you did the exterior. For documentation, use the GoodCar Vehicle History report.

Open the door and notice any smells or signs of water damage to the carpets or seats. Closely inspect the front and rear seats for burns, holes, spots, tears, and stains. Sit in each seat to ensure that all controls, such as front-to-back movement, lumbar, and other controls, are working properly.

• Remove the floor mats and check for water spots
• If there is a family, are the rear seats adequate and working correctly?
• Do the seats stain or tear easily?

Odometer fraud is one of the most prevalent vehicle crimes; verify the odometer reading on your GoodCar report. Also, verify the VIN on the vehicle’s dashboard and B pillar to the report. If any discrepancies exist, move on to the next car on your list.

Note any dashboard warning lights that remain on after the engine has started, even for a brief moment. Make sure you check for a good headliner fit on the roof. Are there any smells or water damage in the trunk?

Double-check each control on the dashboard and every switch and lever to ensure they are in good working condition. You and a friend must ensure all turn signals, front and rear lights, and brake lights are working properly.

• Do not forget the little things, such as the tilt steering wheel, power outlets, horn, heat and air conditioning airflow, and mirror adjustments.

Engine Inspection

Non-mechanics can take simple steps to check an engine bay. Refer to your GoodCar History Report to see if the engine oil and other timely car services have been performed regularly. Ideally, oil and other fluids, such as transmission fluid and filters, should be checked or replaced every 3,000 to 5,000 miles. Air filters, windshield washer fluid, and transmission antifreeze should be checked or replaced on a timely schedule.

Hoses and Belts

Hoses and belts must be in good working order; if not, they can cause a lot of future headaches if not maintained properly. Squeeze the hoses to ensure the rubber is firm and supple. Air conditioning and radiator hoses should never be cracked or rock hard. Make sure drive belts are not frayed and worn. Belts should have a little up-and-down play when pressed.

Engine Fluids

Learn how to check engine fluids. Pull the oil stick to see if the tip is blackened or a natural honey color. If the stick is black at the tip, the engine is burning oil rather than circulating it properly. If the dipstick has a water or foamy oil consistency, this may indicate a cracked engine block or a blown head gasket. Both are serious problems.

Pull one of the spark plug ignition caps to check if it is in “black soot” condition. This indicates a poor sparking condition in the electrical system. Conduct proper research to find other mechanic “tricks of the trade.”

The Test Drive

When buying a used car, it is vital to take a test drive as no other aspect of choosing your next vehicle is as crucial. Getting behind the wheel and motoring down a familiar road can tell you everything about your future car or truck. The test drive gives the prospective owner a “FEEL” for the vehicle.

• How does the car compare to the other models on your buy list?
• Does the vehicle meet your expectations for performance, reliability, handling, and luxury?
• Are the controls easily accessible and within reach while sitting back in the driver’s position?
• Does the driver’s seat conform to your height and weight?
• Does the vehicle have the acceleration you need? Does the car have the pull or torque to handle the curves and terrain where you live?

Earlier studies show that the test drive is critical and is usually the last thing a buyer accomplishes before they purchase. However, over half of all shoppers purchase the first car they test drive.

Tips

• Once you are behind the wheel, evaluate the fit and feel closely. Does the car Feel Right?
• Bring the vehicle up to speeds 70, 80, and 90 mph. Are there any shaking or rattling noises? How is the alignment? Does the vehicle immediately veer to the left or right?
• Make certain the test drive includes a few radical curves. Again, check for alignment. Does the vehicle stay in the curve, or do you fight the steering wheel? What about the view from the driver’s seat? Where are the blind spots?
• Head to a deserted parking lot to check acceleration and braking. Get up to speed and brake hard; pay close attention to the stopping power and distance. Do you hear anything from the wheels and brakes? Are the shock absorbers working, or are they soft and bouncing the vehicle?

After completing the test drive, make mental notes of each issue you are concerned about. Bring these up when negotiating the price.

Documentation and Records

Dealerships and Used car lots do not operate without proper documentation of the cars they purchase and resell. Local, state, and federal governments have tightened the screws on fraudulent car sales to the benefit of everyone.

The Federal Trade Commission recommends you conduct a history search before making your decision. To expand your research, visit the FTC website's Resources for Auto Dealers and Buyer’s Guide.

Never limit your research to only the information dealers and car sellers want you to know.