Buying your first car is one of your biggest investments. The idea of going to work in your car sounds exciting, but it comes with a high price tag. The best car for you is one that has the latest features and is available within your budget.
However, not everyone wants to buy a car using their savings. If you don’t have enough money to pay the purchase cost upfront, get a car loan
.Here’s a look at a few easy tips for buying your dream car most economically.
- Start with Research
Buying a car isn’t a decision to be made in a hurry. It’s a long-term and probably one-time investment for most people. That’s why research is important! You don’t have to spend days researching different cars and comparing their prices.
Instead, a simple Google search will give you all the details you need about your selected model. Just type the name of the car in the Google search bar and check its price and features. You can also check Consumer Reports and Kelley Blue Book for car research. The research will be useful at the time of price negotiation.
- Get a Car Loan
A loan is the easiest option to finance your car’s purchase price. Many banks and credit unions offer flexible terms on car loans. You can even get a tenure (term of the loan) of up to 10 years, meaning you can pay the loan back in 10 years. A car loan is the best option if you don’t want to spend your savings on a car. Research the best bank for a car loan and compare car loan interest rates in India to get the best deal.
- Do Not Get the Add-ons
A car comes with add-ons (extra features) that make your drive experience better. For example, modern cars feature a built-in GPS for easy navigation. Other add-ons include:
- Rust-proofing
- Heated seats
- Rear camera
- VIN etching
- A maintenance plan
- Extended warranty
These add-ons are pretty useful, but they can be very costly if you pay for this car over the next few years. So, it’s better to buy them online or avoid them altogether.
- Consider a Used Car
A used car is a pre-owned or second-hand car. Buying a used car is the smartest way to save money on your car purchase. It is considerably cheaper than a new car.
Don’t worry about the quality and performance of a used car. As long as you buy it from a reputable dealer, a used car will work just like a new one. Take the car to a mechanic to check its performance and components.
- Negotiate the Price
You can reduce the price of the car by negotiating the offer. First, ask the dealer to lower the cost. That’s where you need to use your research to suggest a fair offer. If the dealer isn’t willing to negotiate, walk away. You will find many cheaper and better options.