Buying Used

The same 7-Step Formula should be followed for purchasing used cars as for new. However, used car buyers have a few more considerations.

• Do your homework
• Research how much you should be paying for the car you want using Web Carbook.
• As with new cars, check reliability records on the model you’re interested in. Two good sources are Edmund’s Used Cars and Trucks Prices and Ratings and Consumer Reports.
• Online services will check, for a fee, the vehicle identification number (VIN) history for incidences of crashes, flooding and odometer tampering.
• Inspect thoroughly before you buy

Look for wear and tear, as well as signs of previous crashes that might affect performance:

• Rust, especially around the fenders, lights and bumpers, splash panels, wheel wells and under trunk carpeting.
• Paint that doesn’t quite match.
• Misaligned body panels.
• A door that closes unevenly.
• Malfunctioning radio, heater, air conditioner or windshield wipers.
• Damage under floor mats and seat covers.

During the test-drive:

• Unusual smoke could indicate expensive repairs in the car’s future. Bring a friend to observe the exhaust emissions.
• If the yellow “check engine” light goes on, you should get an electronic diagnostic test as well (usually $100–$125).

Have a mechanic estimate any repair costs. Use this estimate to negotiate the price. Or spend about $100 on a vehicle inspection and appraisal service. A technician will check the vehicle’s mechanical and cosmetic features, including brakes, tires, exhaust, seat belts, hoses, steering and body.

• Buying from dealers vs. private sellers
• Often you can find the best price from a private seller, but a dealer offers more protection if things go wrong.
• Dealers, unlike private sellers, must post a Buyer’s Guide in every used car. The Buyer’s Guide tells you if the vehicle has a warranty, what percentage of repair costs a dealer will pay under warranty and major problems you should watch for. Don’t rely on verbal promises.
• With a private seller, check the title to make sure the seller is the legal owner.
• Make sure the warranty and service contract are transferable.
• If the seller won’t agree to a test-drive, find another deal.
• Reliable Used Cars: Good as New

New cars lose value the moment they’re driven off the lot. Many people today are choosing to buy used. A used car is much cheaper than new even when it’s still quite young. And the quality can be surprisingly high because so many used cars on dealers’ lots are coming off short-term leases.

You can get a great deal on a used car if you’ve done the research, whether you purchase from a dealer or an individual. Unlike a new car, a used one has a history you can investigate.