Used Car Buying Guide

Things which are important considerations when buying a used car such as insurance bracket, age of the car, the seller, and much more to help you avoid a lemon.

When you are considering the purchase of a new care there are many points to consider first. Are you buying or leasing a new car? Or one that is a few years old? Or do you want to buy a car that is very old but a great price and runs well? Of course if you are leasing a brand new car there is not much that can go wrong. The dealership usually covers all the repairs for the car that are incurred for the first three years. The only problem with this type of purchase is whether you are going to want a different car. It might be hard to get out of the agreement you have with the dealer and you might come out of it at a loss. Also make sure the dealer doesn't have a high financing rate. The usual rate is at 1 or 2 percent financing. Some dealers even sell cars at zero percent financing which is even more profitable for you. Make sure you understand all the points of the deal, especially about how many kilometers or miles you are allowed to put on the car for every year. It can become very expensive if you have to pay 50 cents for every additional mile you put on the speedometer if you are planning to drive the car to work in the town 100 kilometers away from where you live.

If you are buying a car that is a few month old already chances are you are getting a great deal. The car will still be "brand-new" and the price will have dropped several thousand dollars. But in some cases the car was sold back to the dealer because of some hidden defect. That is not necessarily true in all cases but you have to make sure you are not getting a lemon. Make sure you know a mechanic that you can take along to the dealer to look for some common things that can go wrong with a new car. The problem is that often the things that are wrong with the car can't be detected in a few minutes. Check with the dealer if there is a period of time in which you are able to bring the car back if there is something wrong. Many dealers have something such as a thirty-day money-back guarantee that they established to show people how trustworthy they are. Take the dealer up on it and give the car to your mechanic for an intensive check-up. Of course you will have to make sure that you trust your mechanic because some will internally damage your car to write up a bill later. You will not want that to happen since dealers also have the condition that you have to bring back the car in perfect condition.

When buying the car when it is a few years old it is best not to go through a dealer. Dealers often charge higher rates, there are more taxes to pay if you are buying your car in Canada, and the dealer will not know the car as well as its previous owner. Check the local newspaper for deals, and don't even bother with the ads that say, "as is" or "or best offer". This implies that the car is in horrible shape and the owner wants to get rid of it at any cost. Look for deals where the person is moving out of the country and has to sell the car. Those people are often forced to sell the car at a very low price, but also be weary since sometimes these people might also be selling their car without telling you important details since they have to get rid of it. The most important thing you can do is to bring along a qualified mechanic that you trust to help you evaluate the car that you are about to purchase. A good way to find a good mechanic is to ask your friends whom they trust and when you do go to that mechanic bring your friend along. The mechanic will want to give a good impression to you since he will have another potential customer as well as an existing customer depending on him. He will not want to loose all of that just to help someone he doesn't know selling a lemon to you.



Make sure you research the car brands ahead of the time when you are buying one. Cars such as Honda, Suzuki, and Toyota have a good name even when the car is old and a $1000 CAN can be the best purchase that you have ever made. But if you are buying something like a Pontiac Grand AM or a Hyundai, many people have discovered that the upkeep of the car is much higher then the original purchase price. Make sure that the brand of car that you are buying has cheap parts that are widely available in your area. Then the cost of repairs will not be very high as well. Again, make sure you can trust your mechanic. Buy a car only if you can trust both the mechanic and the seller to be trustworthy and don't be fooled by a new coat of paint. Also consider the insurance you will have to pay for your car since different cars are in different insurance brackets as well. All in all, have a great car-shopping experience.

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