Buying a Used Car: How to Find the Right Vehicle for the Right Price

Buying a used car in NH is one of the best ways to save money, and make the money you do end up spending, go further.

In the past, buying used wasn’t always a great option, and often got a poor reputation thanks to shady dealerships and scam-inclined private sellers. Today, the use of the internet and its availability to the masses has ensured that used car buying is not only safe and reputable, but is one of the best ways for Americans to save money and get more bang for their buck.

Figure Out Your Needs

Prior to stepping foot on a used car lot or inside of a dealership showroom, take inventory of what you need in your next new-to-you car. This may be one of the most obvious statements you have read in recent memory, but it is surprising how many used car shoppers go for glitz and glamor, over satisfying their basic needs as drivers.

For some used car buyers, figuring out your needs is easy. If you are a stay at home mom with young children, you likely already have envisioned yourself behind the wheel of a minivan or a midsize SUV. If you are a single commuter who likes his ride to sing as he drives into the office, perhaps you have considered a used sports car.

Beyond deciding which vehicle type you will end up with, there are other considerations to keep in mind before you head over to the dealership, such as your used car budget. This is also obvious, but too many used car buyers get caught up in the money they are saving, and end up spending more than they planned. Your used car budget is one of the most important “need” you should keep in mind before and during your shopping experience.

Research Brands, Model Reliability, and Depreciation

The internet has been one of the most important game changers in the used car buying industry - ever. This is especially true when it comes to finding a reliable model with a low depreciation and high value. Before the internet, buyers had to rely on information from used car salesman. With no fast way to confirm what they were told, shoppers often ended up with a “reliable” car, that was anything but reliable.

Thanks to reputable websites like ConsumerReports.org, Edmunds.com, and KelleyBlueBook.com, information on auto brands, model reliability, and depreciation value, are all available at our fingertips. By law, car dealerships are required to provide you with the CarFax report on a used car, prior to making a purchase. This report details the history of vehicle ownership, past accidents or flooding, and anything else that is important to know.

If you already know what brand of vehicle you want to buy, chances are you already know whether or not its reputable. Pay attention to excessive recalls on vehicles manufactured by a automotive brand, which can be a red flag for overall dependability.

Once you have the make and model of a used car in mind, conduct an online search that speaks specifically to the reliability of that exact vehicle. There are plenty of industry awards commending makes and models that excel in areas such as reliability, so be sure to pay careful attention to whether or not the car you want has earned any past accolades. If it hasn’t earned a high score for reliability, it might be a good idea to consider another vehicle in the same segment, that has. ConsumerReports.org is a great resource for used car reliability, and has lists available online that detail the top reliable cars in each segment. Choosing a used car that is known for reliability, will help ensure that your pre-owned vehicle will last for as long as you need it to.

Depreciation is the biggest expense in car ownership. More than routine maintenance, unexpected repairs, and the expense of gasoline, car owners will see the biggest hit in how quickly their vehicle experiences depreciation. According to Edmunds.com, an average midsize sedan that sells new for $27,660 will lose $7,419 in value in the first year of ownership. The same study also found that over the next three years, that same sedan sees a total drop in combined value of $5,976. In those three years, the total depreciation was less than the first year alone. For new car shoppers - this isn’t great news. For used car buyers, however, it’s great news. Researching and knowing the depreciation value on a vehicle, can mean major savings for used car shoppers in every segment.

How Old is too Old? How Many Miles is too Many?

When you visit a used car dealership, you will very quickly discover how much the year and mileage of a car affects its value. Some used car shoppers purchase like-new vehicles still under manufacturer’s warranty, while others buy used cars priced under the $10,000 mark, in order to save the most amount of money possible.

The question that remains, is - how old is too old? and; how many miles is too many miles? The answer to this question isn’t completely straightforward, and is determined by a variety of factors. For instance: an older model of a car that is rated high in reliability, will likely outlast a newer model that ranked low in this area. Likewise, a used car with over 100,000 miles on the odometer can easily last for another 100,000 miles, depending on how well the previous owner cared for it. For this reason, it is important to research reliability for the exact model year you are wanting to buy used, and ask for past maintenance records to confirm that the vehicle was properly maintained.

There is no right or wrong answer to how many miles should be on a used car, or how old is too old when purchasing a pre-owned vehicle. The decision is ultimately the buyer’s to make, and should be done so only after thorough research is conducted.

Browse Local Dealers and Compare Pricing

Used car dealerships have had their fair share of bad press in the past, and while the internet has had a hand in revealing the bad apples, used car buyers should explore multiple local dealerships before making a final purchase.

Before heading to a used car dealership, do a quick online search for customer reviews. This is a great way to discover if a local dealership is reputable, and how they conduct business without wasting time with a visit. Keep a list of locations with higher reviews, and peruse their inventory of used vehicles online.

When you are ready to visit a local used car dealership, pay attention to how the salesman makes you feel, and if you feel comfortable negotiating with him or her. If one dealership has the exact used car you want, see if you can find a similar version at another location and compare pricing.

There are also plenty of online resources available, like Kelley Blue Book, where you can list out the exact specifications of the used car to find it’s true market value. Show up to the dealership prepared, by researching this information ahead of your visit. Doing so will have a major positive impact on your experience at the dealership, and on the end result of what you pay for your new-to-you car.