Advice for Shopping the Used Car Lot

Many people struggle to make a choice on buying a new or used car. Many more don't know what to look for in a vehicle. It is often a better deal to purchase a used car over a brand-new car - However beware, there are many lemons and general bad purchases out there. In this article I will help you determine if that shiny 2009 model is what you're looking for, or if you should pass and look elsewhere for your transportation needs.

Any time you see a car for sale, you should immediately check the price with third-party resources. The internet offers a few places to get up-to-date and accurate average market values for vehicles - such as Kelley Blue Book. Knowing the market value will not only help you assess if the dealer is an honest dealer or not, but it will also help you gauge the vehicle's condition. If that 2009 model you're looking at has a $12,000 value, but is marked for $9,000 - you know something is awry. To top the cake, it will help you establish an idea for a haggling margin. If you tell the dealer you're not comfortable with the price they will usually knock it down a bit. Be firm and stay strong, you can always talk them down.

Almost everything these days is based on your credit score and credit history. The financing options you get will be based 99% on your credit score. Everything from whether or not you actually qualify for the loan, to your monthly payments, to your interest percentage. If you have an amazingly good credit score you could see percentages as low as 4%, but if you're quite the opposite and barely qualify, expect to see much higher numbers, possibly up to 18 or 20 percent! Do your research and do what you can to improve your score prior to that big purchase!

There are usually two types of financing available for used cars. One is an in-house financing popularly known as "Buy here, Pay here." This option, while less time consuming and easier to obtain, is not always the best as the down payments could be higher, as well as your interest rate and payments. If you have more time to shop around, and a slightly better credit score you may be better off getting an automotive loan from a credit union or bank.

Get more info on credit scores and how you can improve them here.

At almost any dealership these days, a CarFax report is available upon request, and some even offer it first thing upon your interest in a specific car. This is a very important tool in knowing the car you are about to buy. A CarFax report can warn you of any accidents or major work that had to have been done to the car. It will also tell you of previous owners and uses (Rental, Business, Personal.)

Never buy a car that was owned at any point by an insurance company - it usually means it was in an accident and repaired. Once a car has been in an accident it will never be the same. Things get twisted and misshapen, and it just wont be the same car - regardless of how good the mechanics are.

Consumer Reports. I shouldn't need to talk much on this one, but I'm going to say it anyway - check online for any reviews and consumer reports you can find on the vehicle. You want to learn every single detail possible about this car before you buy it. This is a major purchase and you should never make such a purchase without all the knowledge possible!

Certified Pre-Owned means the dealership has either bought it back or received it back from a lease-deal and has rigorously inspected it, repaired anything that needed to be repaired, and certified it a good vehicle. This inspection and repair process comes with a downside however; the price. Sources say you can expect to pay an extra $1,000 on average for a certified car - and possibly more for a luxury vehicle. That aside, this could be a very good way to save yourself future troubles and repair bills.

After all is said and done there are a few things left you must do-

Test Drive! That's right, time to test out your prospective new car! Take it for a spin and try to feel every aspect of the car. Check for any oddities in the steering at all kinds of speed, check for any kind of odd noises and try to feel out the engine/transmission - see if it lags or clunks or anything of the sort.

Inspection! I can't stress enough the importance of having a third-party mechanic inspect the vehicle. Usually you can get this done for 50-100 dollars, and a lot of times if the sale goes through the dealership would be more than happy to cover this extra expense. If the dealer gives you any flak over this move, maybe you should consider taking your business elsewhere because that's suspicious and indicates he may be trying to dupe you over.

And finally, Haggle. As I mentioned before, the prices are always flexible to some degree. Know your market value and try to get your car for an equal or lesser amount.

And lastly! Enjoy the your new vehicle!