Tips on buying a used car

[laedi]

I've never bought a used car before. We've been a one car family for several years but the kids started school this year and it's just impossible for us to live with just one car. DH works 2nd shift and I've been borrowing my dad's car until I have enough $$ to buy my own.

In February I should have around 5k to buy but I don't know how to do it. I don't have anyone to look at the car for me to make sure that I'm not buying a massive PoS. Is just getting a carfax report on the car enough?

Thanks in advance! =)

[cypher1]

If you already have a price range, the next question to ask is do you have an idea for what kind of car you had in mind? You mentioned kids, so I'm assuming more towards sedan, suv, van, wagon? Also daily commute avg for mileage? Carfax will help with background, confirming history, but a lot will depend on the name/reputation, models with specific issues, and various opinions from various people you talk to.

First thing is bring to your local trusted mechanic to look over. I could go into great detail on what to look for, but it can be challenging if you're not familiar with the components underneath the hood (just stating that for anyone in general). Besides checking the body, rust, dents, any mismatch paint on outside, cracks on glass, tire condition, underneath hood is more tricky. Also check in trunk where spare tire is, looking for any bent metal on frame from possible rear accidents.
Looking for anything wet on the engine (and bottom of car), IE oil, coolant, listen to knocking sound, screeching from belts. Look at any belts cracking when its not running. Inside the car, pay attention to interior, excessive wear down on gas/brake pedals, confirm mileage, any CEL codes(check engine light) on gauge cluster, check AC/heat work, verify all window switches, power locks operate.
Test drive, listen to make sure engine starts within no more than 3 seconds (depends on car). Make sure shifting is smooth on an automatic, no jerking, manual should have no grinds or hesitation, with clutch shouldn't be worn down to engage. Braking shouldn't be soft or hearing grinds, shaking (rotors), turn on all lights, hazards, horn. On the road drive straight and take hands slightly off wheel to feel if it goes to one side to check alignment. Freeway listen for unusual whirling sounds from front or rear (could be tires bald, or wheel bearings), any bumps or turning creating a clunk noise, could be axle or sway bar bushings/or links.
Questions to ask are clean title, any kind of history of accidents, maintenance reports if any, confirm if and when timing belt was replaced (pricey if it needs to be done, negotiate). In my experience, negotiating with private seller is typically easier, more flexible than small business or dealership. Also recommend check prices on carsoup, autotrader.com, cars.com, Craigslist and even ebay (if you know what you really want, and willing to travel), also consumer reports. That's all I could think of right offhand, I'm sure others will list more.

[Seeker]

A site that contains the info you seek:

Used car information - How to buy, check, maintain, sell a used car - illustrated guide

[MonkeyMama]

Good advice, above.

I highly recommend finding someone to look it over (even paying a good mechanic). A little money up front can save a fortune down the road. I've never bought a really used car without my mechanic looking it over.

That said, when you are looking at cars, look it over carefully, check under the hood, etc., etc. I have done a lot of private party car shopping. In general, if it looks well maintained, it is well maintained. (I don't mean it's waxed and shiny so go for it). The simplest trick is to look under the hood. Some of the more trashed cars I looked at were a MESS under the hood (low fluid levels, dirty engine, etc.). The used cars I have bought (the granny cars) had low miles and the engines looked completely immaculate (as did the rest of the car).

The truth is that any car I picked out, my mechanic has given me a thumbs up. There have been some obviously bad vehicles out there. I'd still get his opinion though - I am no mechanic and don't want to buy a vehicle with problems. Even the most well maintained cars can have inherent problems. (Doing research to find cars with high reliability is a good place to start to avoid these kinds of problems).

Along the same lines, take your time and look over any potential car VERY Carefully. I suppose the other easy red flag is a rushed or shady seller. Trust your gut.

Good Luck!

[buildmybudget]

Chances are you have a friend that can help you identify a good used car. I would start by asking your immediately and extended family and then branch out to your friends. Online research will also help you identify the key features and factors to consider in your search. Personally, through a friend we learned of a private dealer that goes to used car auctions on behalf of people like myself. We got a fantastic price for a great used car because the dealer knew what he was looking for and didn't charge us any extra fees beyond $200.

[laedi]

Thanks guys! I'm going to check out that link and start asking around for a good mechanic. I never even thought about paying one to go check out the car. /facepalm

I knew you guys would know how to do this! =)

[snafu]

Coincidentally, I shocked myself and my family by buying a [new to us] used car yesterday. It wasn't on my 'To Do' list but I happened upon it and had been researching. My list started with the features I need in a used car. For example, do you need a car for long highway commutes or stop & go city driving? What kind of car do you need [not just want] sub compact, compact, full size, mini SUV, lg. SUV, van or truck? Do you have a 'Brand' preference? Is price the most important factor? Is reliability the most important factor? Do some research, Consumer's, Lemon-Aid and on-line reviews. Decide if you are willing to buy privately from owner, or feel better buying from a dealership or small proprietor. Curbsiders are illegal and can be dangerous. Too many scammers. No matter what you are told, unless it comes with transferable factory warranty, remember you are buying AS IS.

Before spending $$$ on a mechanic's review, check the body for ripples, check the wheel wells and exhaust with a flashlight for signs of rust. You want to look like you know what you are doing. Before the test drive, open the hood and look at the innards. Squeeze all the hoses to see if thy're sticky. Take tissue and check every fluid dip stick you can find, oil, transmission, brake, window washer. Pay attention to the battery & cables, try to ascertain the date. Look at the tread on every tire. Quality tires are expensive. Ask for maintenance records. You don't have to answer questions the seller asks, just smile and non your head acknowledging you heard. The seller is trying to size you up as to how much profit he can make. You want to convince the seller you know lots about car buying.

When you get in the car turn on everything. Operate all the windows, all the doors, radio,CD player, AC, heater, vents,lights/electricals. Pay attention to interior cargo space, head room, leg space. If you are still interested in the car, note the VIN numbers, generally found on the door jam. Carfax can tell you the entire history of the car based on the VIN.

There is tons of info on doing the test drive. Ask the seller not to talk as you are trying to listen for car noises. If the car is what you want, at the price you want to pay, make arrangements to go to a mechanic for an on the hoist inspection.

Price negotiations go better the more you know about the average selling price of the chosen vehicle plus and minus for features you need. Lots of features aren't worth paying for. You can ask for anything you want like quality tires. In our region sellers must supply a mechanical inspection.

[seen]

Great tips, I have just 1 more to add (I wish I had done this before I bought my used car 2 years ago). If you already know what kind of used car you're going to buy, google it. Do some research into the known problems that particular year/model has so it'll be easier to spot when you're inspecting it.

For me, among other problems which I'm waiting on to happen, I found out after the fact that the trunk/gas lever on my car has a tendency to rust out and snap due to how close it sits to the door on the floor. I never knew about the problem until I tried to pump gas for the first time, and the freaking door wouldn't open. I didn't even think to inspect it when I was buying. I was lucky it didn't turn out to be a costly issue (dealer wanted $250 to switch out the cable, so I bought the part and took a few hours to change it myself) but you never know what you might miss unless you do the research first.

[jIM_Ohio]

For $5000 you can buy a Honda or Toyota with around 100k-120k miles on it- that would be better (IMO) than an American car with only 50k miles on it.


Here is what I would do
1) know that any good used car value is a temporary place on lot- some dealers might see used cars disappear within 8 days. You need to window shop now so you know what you want (make-model-milage-price)

2) keep saving as you are now

3) When you look, try to create a value in your head which is something like this
For $5000 you can get a honda (accord?) which is years 2002-2004 with between 80k-120k miles
For $5000 you can get a toyota (camry?) which is years 2001-2003 with between 90k-140k miles
For $500 you can get a Ford (focus?) which is years 2005-2006 with about 50k miles

I made up the numbers, makes and models above- what you are researching are the price points and number of cars available on each lot. If you see 10 focus on a lot with same price range, you have room to negotiate down. If you only see 1 accord in that range on another lot, you have much less room to negotiate down. You need to know what value $5000 has so if you need to make a quick decision you can do that knowing you already did homework.

As part of this value, try to see what 1 year costs you. If you think you will put 7500 miles on car per year, see if you can find two cars which are the same, with 7500 miles difference, and see what the price difference is. This is the paper value of one year of car usage for you.

For example if you see a 2002 accord with 80,100 miles and a 2003 accord with 87,000 miles (6900 mile difference) and the price difference of the cars is about $2000, you know the milage you put on the car in one year costs you around $2000. It is a good number to know, even if that just represents some fictitious number to you.

This way when you compare cars, you can see the amount car will (or will not) hold its value. For example Honda might drop car $2000 for that 7500 miles, but a Ford might drop $2200 or something. This helps you compare the makes/models.

4) When you negotiate, you want to know the following:
a) suggested cost of car (on the lot or as advertised)
b) the amount of time the car has been on a lot. This info is tough to get, but if its close to 60 days, the dealer needs to move the car or starting paying interest on it. You learn this by watching ads or visiting the same lot over a period of a month or 45 days.
c) the car's value to you (that $2000/year or $2200 year which is the cost of the milage you put on the car).
d) car fax on the car (shows you repair history if car was ever in an accident).

[nick__45]

Can you find something from private sellers? There are plenty of deals now because people are getting rid of 3rd or 4th cars. Get a Honda and be prepared to pay extra for better quality. Be upfront with the seller that you are dead serious about buying and take a extremely long test drive and leave it running about you're talking with the seller. Often, car problems show up when the car warms up. For example, my Corolla used to starts up fine but won't start again after running for awhile and shut off for more than 2 mins. I got that problem fixed and it was an expensive fixed.

A big tip, don't buy from people you know because there is that feeling that you should not bargain. I buy from complete strangers.

[bjl584]

If buying from a private owner ask a few probing questions to get a better feel for how the car was maintaned. Do they keep it in a garage? Are they the original owner? Do they have all the service records? If so, take a look through them to make sure the car was maintenced at regular intervals. Look in the records for possible recurring problems.(this may indicate a lemon.) Do they have teenage children that use the car? (Not that all teenagers are bad drivers, but many tend to be harder on a car than adults.) Take a look around the rest of their property while you are looking at the car. Is the rest of their possessions in good condition?

These are all things that will help you determine what type of owner they are and how they treated the car.

Usually a private owner that doesn't need to sell their car is the one that you will find to be in better condition. Ask why they are selling. If they say that the car is on the verge of a repo, then it's probably best to steer clear.

Lastly, take a good look at the car. Underneath the hood, the interior, underneath, etc. Listen to it run. Take it for a drive to see if it makes any strange noises. If you aren't able to determine this then take a mechanic with you.

[Dave Drew]

Do your homework

The best thing for you is make sure you do your homework on the type of car you want. The more homework, the better.

Research vehicle types. If you have a mechanic friend, ask them about the best cars with the best engines. If you don't, find an old time mechanic and ask them to advise you on the best cars or trucks with the least troubled engines.

If you really want to save a lot of money be sure to get away from the emotional side of the purchase. You will do this by thinking logically about your purchase and not to impress others. People tend to lose a lot of money when they allow others to influence their spending. Oh yeah, my friends will think I'm all that in this hot vehicle ... is not the way to think when buying a vehicle, unless you want to lose money.

The more homework you do, the more you steer away from the emotional side of the purchase.

I bought a one year old Isuzu Hombre extended cab with a V-6 and saved $4,000 right up front, because it's the knock off of the Chevy S-10 and it's cheaper. It's actually the Chevy S-10 with a different name. Go figure. I've had it for ten years and I will have it for another ten years, maybe more.

My mechanic said I will get 500,000 miles out of it if I take good care of the engine. She's still running great.

I hope that helps.