Being a first-time car buyer is always exciting! It is one step toward the new world of adult independence and freedom. However, buying a first car can be an intimidating process. There are so many car dealerships offering cars for students, but how do you choose the right first car to fulfill your needs? Another question is how to find and afford a reliable car because prices are pretty high?
No worries, here is the first-time car buyer’s guide to buying an affordable used car that will help you become mobile.
Below we will discuss four steps involved in the vehicle purchase:
The first step will be the research. After this word, students are thinking of quitting because research sounds like a long and boring process, but it will be worth the time. It will help understand market-based vehicle prices and prevent paying too much for a vehicle that is not worth it.
Let’s start by writing down the features that you as a consumer want to have in the vehicle. Think strategically about the needs:
Answering this question will help the car shopper to understand the needs and narrow the search. Now let’s choose the vehicle that will fulfill your needs.
The second step is to establish the budget. Let’s see. Do you have any savings? Now let’s count how much you can save during the next couple of months. For example, start making coffee at home instead of going to Starbucks daily. Also, what do you think about making lunch at home or eating in the dining hall instead of going out for lunch? Between these two cost-cutting strategies students typically save around $300/month. So, what do you think is doable for you?
Also, let’s talk about how you will pay for the car. Do you think you will be able to pay for the car right away in cash? Do not be afraid if the answer is no. There is another way to buy a car. You can take a loan and pay for the car monthly. It is a good idea. The only thing is that you need to be sure that you will be able to make monthly payments. Here you can find more information about Monthly Car Payments.
Now, let’s not forget that there will be some additional expenses after the purchase of the car:
The third step is to decide whether to buy a new or a used vehicle. The new thing is always good, especially when it is a vehicle. The latest vehicles on the market have advanced features and cool designs. The downside of new vehicles is their price. Is it worth it for students to spend that much on a vehicle? Sure, we can say that a vehicle is a long-term investment in the future, and that is true, but do not forget that every year, the market is changing. Also, do not think that used cars will not have access to technology or will not have all the features that you need. Most used vehicles are equipped with the same features as new cars, have good performance, and are comfortable and safe. When you buy used vehicles, you will be able to save a good amount of money and be the owner of the affordable vehicle that you were looking for. There are a lot of good vehicles that cost under $20,000. Also do not forget that there are many ways how you can generate a passive income with your vehicle.
The last step of this process is going on the dealership website and starting looking for the used cars. You already know your needs and budget. You most likely have a picture of your dream car in your head. If not, do not be scared; it is okay. Buying the first vehicle is a complex process, but you’ve got this!
Do not hesitate to reach out to the Indy Auto Man dealership managers for more information and the best used car deals in Indianapolis.