Buying used cars; what to look for when purchasing used cars; how to find good used automobiles; extended warranties for automobiles: all you need to know to buy used autos.
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Buying Used Automobiles |
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Buying Used Cars By Mike Owens If you are planning to buy a used car, let me give you some tips. There are a number of ways to buy an automobile. Methods vary, depending on your specific needs. The absolute worst way, (and my wife's favorite way) is by color! The second worse method is by general appearance. The first person to coin the phrase, "Buyer Beware" probably had just bought a "good, used car" because it had new tires and a clean interior. The first step after you have decided on the type of car you want: van, truck, Honda, or Chevy or whatever... is to determine how well the car was maintained and whether it's worth the asking price. Depending on your budget, you may opt to go ahead and buy a car that is in need of some repair because they are going to compensate you by lowering the price. The trick is to know just WHAT repairs are needed, and HOW MUCH should be deducted from the overall price of the auto. This is important because some of you can make the necessary repairs yourself, but may not know the retail value of repairs for cars. That's why I strongly recommend that everyone try to take the car in for a "Pre-Purchase Inspection." Even if you are shopping the dealerships, it is a wise choice to have your mechanic look the car over. One shop I checked offers this service at a $52.00 fee (that applies towards the repairs) and a 1/2 price fee ($26.00) for any subsequent inspections. Most shops have some sort of similar program. In most cases, customers have gotten their money back for the "P.P.I." because they used the information as a bargaining chip or they bought the car and got one or two of the repairs done. If you are trying to inspect the car yourself, look for signs of overall abuse. Usually on "low maintenance cars" you will find small signs all over it. For example: Look for signs of overall abuse such as caked dirt in unlikely crevices: they finally decided to clean the car. Worn-out rubber pads on clutch or brake pedals: a lot of in-town driving or possibly an inaccurate odometer. Ask the owner how long the speedometer was broken and watch to see if he/she stammers or stutters. Look for rust, not only on the fenders but also on the A/C fittings and other connections under the hood: these cars will be very expensive to repair later. One trick you can use if you can't afford a P. P. I.: ask the owner if he will have it State Inspected. If he says no, he probably knows that it won't pass or he has no confidence in the car. You might also ask him if you can have the car for a couple of hours to take it to your mechanic. Again, If he won't let you... something is wrong. People often ask me where to look for a used car. Believe it or not, the new car dealer's used car lot is a good place to start if you need to finance. They usually do their own inspections and cull out the cars that are going to come back to haunt them. They want a premium price but you will have pretty good odds of getting reliable transportation. You may also be able to purchase an "extended warranty" through them. An extended warranty is basically an insurance policy that covers mechanical repairs for a set period of time. There has been some bad publicity about extended warranties, but new car dealers are pretty selective when it comes to warranties. They generally pick a company that has been in business a good while. I suggest these policies because they allow you the freedom of getting your car repaired at the shop of your choice, (the best you can find!), and they are a life saver if you have a major problem ... Since cars always break down at the most convenient times and are so inexpensive to repair! I also recommend lease cars. Leasing companies are pretty strict about the maintenance agreement of the lessee. They are usually much less pricey than the dealer. The cars are normally only "in service" for 2 to 4 years and are in good shape. In fact, because of these stipulations, one often finds the best vehicles here. Be sure to check the warranty manual before you buy. You will find the Maintenance Log and the length of the warranty period in it. Also... new car manufacturers guarantee their product (not the purchaser) for longer and longer periods every year. You may find that a factory warranty is still in effect for another year or two. Gamblers may find a good car at a bargain basement price through a public auto auction. Should you opt for this method, do some research in Consumer Reports, then get there early to inspect the vehicles. The pre-auction time is the only chance you'll get to hear the car run. The down-side to this method is that most of the bidders are the public and NOT dealers or wholesalers. The public generally bids on cars based on the prices they've seen in the newspaper or an auto trader publication. The bids start at a much higher amount than they do at the dealer only auctions. Dealers tend to go by the book value because they all intend to re-sell the car. The bids start much lower. Ideally, you want to find "someone who knows someone" who can get into the dealers' auctions. Another negative to auctions is that you will never know the true reason the car is being sold or how it was treated while in use. It may have been a rental car that was driven by teenagers all over the country! Auctions require a very keen eye and can be risky. Should none of these methods appeal to you, then it's pretty much "back to the ol' newspaper" and lot's of hunting and driving. Remember, be persistent and don't settle for a car because it looks "pretty good" and you're tired of looking. One last thing....don't wait until after the purchase to bring it in for the inspection... It's still a "P.P.I." ("POST" Purchase Inspection) and you may leave very depressed if you weren't "BEWARE!! " Good Luck and HAPPY HUNTING ! Mike
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