How To Prepare To Buy Your First Car

Learn more about the true cost of owning a car.

How to prepare to buy your first car. Once you have a few cars in mind visit the dealership with no intention of buying and weigh your options. On average a new car loses 11 of its value the moment you leave the lot. Take a realistic look at your finances too. Typically this is 20 of the total cost of the car. Before you venture out into any car dealerships take a look at our 8 tips you should know when you re buying your first car.

If you re satisfied with the above then the next stage of our first car buying guide is to take the car for a test drive. Neither one for a first time buyer should be out of balance in comparison to your other assets at this point in your life those assets are probably limited to your most recent purchase at. Buying a used car from another private party. Buying your first car may be the first major purchase you ever make. Don t get swept away by the excitement of getting your first car.

Buying from a dealership. Before buying a car make a list of things you want like used vs new fuel efficient vs fast ideal size resale value etc. Strongly consider buying used. Otherwise hop in and take it for a drive. If the owner or dealer doesn t want you to then walk away.

This strategy will help you avoid overextending yourself financially and getting deep into debt when buying a car. Set a budget then search car websites for cars that match your wish list and fit in your budget. Regardless of the route you take it s a good idea to visit a dealership to test drive the cars you are interested in. But for many buying a first car can be even worse. With some careful budgeting research and planning you ll have the confidence to negotiate the best deal and get the car of your dreams without getting taken for a ride.

Shop for a lender. Set your car buying budget. Your parent or guardian will need to guarantee the loan. That includes not just the purchase price but budgeting for use and care of your future car including maintenance insurance gas repairs and parking. You will also need a co signer on a loan.