Next to homes, cars are some of the most expensive items we buy during our lifetimes. High-ticket items like vehicles carry larger profit margins and mark-ups than inexpensive purchases, so there are significant variations in the amounts people pay for similar cars. When budgeting for your purchase, use proven approaches to save money on your new car.
Staying informed about cars is easier than ever, thanks to internet resources and competitive car sales environments. Use all the information to your advantage, tracking car prices and availability by using whatever technology is at-hand. By staying on-top of what’s going on in the car sales industry, you’ll be poised to pounce when deals arise. And it isn’t always about what the dealer will do for you; saving money on car purchases requires certain efforts from you too.
Keep Your Car Longer
While it may seem like a strange thing to consider at car-buying time, the length of time you keep your vehicle on the road is one of the most important factors determining how much your vehicle ultimately costs. Since the purchase price and financing costs are amortized over the length of time you drive the same car, adding miles to the total goes a long way toward decreasing overall car expenses.
If you are on the fence; approaching the useful end of your car’s life, yet still on the road trouble-free, it may pay to stretch your current vehicle’s service until conditions are best for buying a new one.
Track Financing Terms
Beyond the sticker price of your vehicle, the cost of staying mobile includes the total interest paid over the life of your car loan. The two numbers work together in your car-buying budget, offsetting one another at times. The best time to buy a vehicle is when both are low, but these numbers do not always coincide. A Payday Loan could ensure you have enough cash to comfortably make your purchase. Just be sure to check you are getting the best rate available. To get the best terms, it is up to consumers to do the math in each individual case.
Recent economic events led to some of the most favorable car-buying conditions in decades. People weren’t spending money on cars, so manufacturers were inclined to offer them at low prices. In addition to slow buying trends on big-ticket items, financing underwent global changes related to worldwide economics. For recent car buyers, that market fluctuation led to 0% interest financing offers from almost all the major car producers. As markets continue to stabilize, financing terms once-again vary across dealers, providing important things to think about as you get set to purchase a car.
Weigh the Pros and Cons of Vehicle Options
The number of options and amenities available on modern vehicles is remarkable when compared to cars sold only a couple decades ago. Technology and electronic advancements allow manufacturers to incorporate seemingly endless gadgetry into cars and trucks. But what features do you really need?
Safety advances are widespread, representing some of the most important improvements to modern motoring. The benefits of added airbags, anti-lock braking and other life-saving technology is hard to put into monetary terms. While many safety features are included in base models, additional features can sometimes be added for a price. The rule of thumb for spending on enhanced safety features: Buy as many safety options as you can afford.
Other choices are not as clear-cut, instead tied to personal preference and individual taste in cars. But some optional manufacturer features do make more sense than others, in terms of cars’ resale values. Spending a few extra dollars up-front, sometimes buys options contributing to higher trade-in and resale prices later – not to mention added enjoyment while you own the car. Air-conditioning, for example, is a must-have for most buyers. When resale value is a primary concern, make sure to check the A/C box on your list of desired car options.