Bryan Hamby
Professional Auto Broker
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Forum Comments (2)
You also want to make sure that the paperwork and registration are current. Otherwise, you might be responsible for back late fees and taxes that were on it. You want to check to make sure that it passes smog tests, too. If you buy a car that can’t pass the emission tests, it doesn’t matter how good of a deal it was—you won’t be able to drive it legally.
Last, you want to ask if the seller has run a vehicle history report. Some dealers will run vehicle history reports to be helpful for the sale themselves, but private sellers often won’t. So, just to sum things up, it’s not necessarily about the mileage and the money on its own. You’re looking for a car that is in good shape relative to the price point you’re at. This may take some shopping around to get your head adjusted to, but it’s the only way I’d recommend thinking about this.
1. Know your budget. What’s the cost to insure this car? Look up your credit to determine your financing options. You can get pre-approved for an auto loan (bank, credit union) to determine what your budget will be. Is there a pre-payment penalty?
Public resource for auto loan shopping: https://www.consumerfinance.gov/consumer-tools/getting-an-auto-loan/plan-to-shop-for-your-auto-loan/
2. Make sure the registration is current, otherwise you could be held responsible for late fees.
3. Check to make sure that the title matches the name of the person selling you the vehicle or that the person selling you the vehicle has power of attorney to sell the vehicle.
4. Ask for a Vehicle History Report (when was it ran? Ask them to run it the day you want to buy it so you know they’re not hiding something recent).
5. You can also go on carfax to run your own report. The first one is typically free, then check carfax.com for the price of additional ones, it’s ~$40.
6. Ask if the car comes with a warranty, and can you purchase an extended warranty? Is it through the manufacturer or a 3rd party? What do they cover? And if the dealership’s service department will accept that 3rd party warranty, what are the terms (e.g. deductible, coverage, etc)?
7. You can ask your mechanic or 3rd party companies to do an inspection (~$125-400) to confirm that there are no major damages.
8. Take the car for a test drive first. Always see the car during the day, as it is much more difficult to identify any potential issues in the dark.
9. If purchasing through a dealership, check their reputation through online reviews, and ask friends if they have ever dealt with the dealership. If purchasing through a private seller, do a quick search using the VIN # to see if it is listed on other sites for less or has been listed for over 45 days. Working with a car broker will help you get the best deal because they have the existing relationships to bend those rules in your favor.
10. Have confidence because you’ve done your research, and you know the deal you want. Be willing to walk away.
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