How to buy a used car in 9 steps

As I mentioned in one of my previous posts, buying a used car is a skill that not everyone is a master of. Most of the times people just walk in to a car dealer and buy a used car without putting too much thought into it. Even if you are directly buying from the owner, there are many ways to conceal the defects in a car and it is very easy to fall for such traps and end up with a car that cannot serve you well, and does not prove to be a good return of the money.

After going through the experience of buying a used car myself, I have compiled a 9-step list that will hopefully help you indentifying the right used car for you.

1. Do Your Homework

Before buying a used car, do some research and find out which models are doing good in the market these days. Analyze your requirements and identify the kind of car that would work for you. I always prefer a hatchback car considering the traffic in Karachi. If you have a large family you might want to consider a minivan. And so on.

Once you know what kind of car you want, allocate a budget. Look at your savings, earnings, however you do your calculations, figure out how much money are you willing spend on the car. And how old a car will you be willing to buy, with how much mileage.

The next step after you have identified the type of car and price range is to look at the market again and see what kind of cars are available in that price range. You will probably end up evaluating your requirements again or revising your budget after this fact finding. Don’t fret. It happens all the time. The reality is often different than what is wished for. Take all the time you need in this phase because you might end up buying a wrong car at a wrong price and be stuck with it.

2. Find a mechanic

The biggest problem with used cars is that they are used. There can be countless issues with a used car that an ordinary person can never discover. So unless you yourself are a motor mechanic or know so much about cars that you do not need external help, hire a motor mechanic to help you find the right car for you. If you have been to auto repair shops before, you probably already know someone who works there. Just go to him and ask him if he could spare a day for you. Offering some money for his services is not a bad idea. Even if you don’t know any mechanic yourself, just go to any repair shop and see if a mechanic can help you out. Book him for the day you think you will be out in the streets looking at used cars.

3. Talk with dealers

Next, talk to a few used car dealers and inform them about your requirements. They might not have the car you are looking for rightaway but they will contact you if they find a match. However, dealers always ask more money than the market price because they keep their commission as well. Nevertheless, they are a good option because it saves you from the hassle of hunting for your car door to door. In any case, don’t trust the dealer with your eyes closed and get the car checked by a mechanic.

4. Look into newspapers and used car magazines

That’s probably your best source to find the car you need. If you don’t have auto trader or similar magazines in your area then grab a few newspapers (on a Sunday) and look at the classified section for automobiles. Mark the cars that match your needs and call the owners one by one. Soon you will have filtered list of few cars that you would be interested in. Now is the time to pick up your trusty motor mechanic and hit the streets.

5. Dedicate a weekend to look at cars

It takes a full day to look at all the cars you short listed in the print media. The best strategy is to select the same day as the adds are published because good cars sell quick.

6. Verify vehicle’s history and paperwork

When you are looking at a used car, make sure the paperwork is clear and vehicle has a clean history. If the car is on lease, or there are signs of accident, worked up body, meter fraud, doubtful ownership, avoid purchasing the car. No matter how good the car looks, if it doesn’t have clean history it will give you troubles you cannot begin to imagine.

7. Important things to look for

There are many things that need to be inspected in a used car. First and foremost is how the car looks. If it looks too old, with obvious signs of wear and tear, it is just not worth looking any further. Among other things include transmission, engine, body condition, air conditioner, music player, tires, corrosion, and so on. Test drive the car and verify the drive is smooth. Consult the motor mechanic you brought with you (you are not paying him for nothing, are you?) If there is slight doubt about any of these factors, walk away.

8. Walk away if there is a hint of doubt

I can’t stress this enough. If a used car looks too good to be true, it probably isn’t. If you have a feeling you are being cheated or ripped off, there are good chances that you are right. So unless you are 100% sure about a car, do not attempt to buy it.

9. Be firm when negotiating

You are obviously aware of the market price of the car you are interested in buying. So you would know if the asking price is too high or not. Just decide the price you are willing to pay for the car you selected and make an offer to the owner. Be firm but don’t be rude. Give the owner some time to think if he cannot make a decision on the spot. Keep earnest money handy as it can pressurize the owner. If the owner is not flexible enough, walk away. There are dozens of other cars out there waiting to be purchased.

After purchasing the car you will meet several people telling you that you paid too much for it and they could have gotten you a better deal. Don’t listen to them. Where were they when you were looking for a car?