One of the biggest purchases we might make is buying a car and we want to get this purchase right. There are so many models to choose from and so many places to buy from it can feel overwhelming.
Here are 5 ways you can get the best deal on a car.
What Car Suits Your Needs?
When it comes to your needs and what you need from a vehicle, you need to think with your head and not go for what you want. For instance, if you travel far distances every day then fuel efficiency will be a priority over speed. If you are busy with plenty of stress, then you don’t want a car that will require a lot of maintenance. If you are a large family then space and boot space will be vital.
You will need to your research and compare different models in terms of what they offer as well as how much it costs to have the car maintained.
Also, don’t just look at the monthly instalments on a vehicle as you will need to factor in the running costs and additional costs like insurance. Add these to what you can afford and see what your budget allows for and stick to it.
Know the Price
Before you set your heart on a specific car, you need to research the sales prices. You can turn to pre-owned and request written estimates that you can use later to negotiate. A good place to start your car buying journey is at cars2sell.co.za.
Once, you are sure you know what the average selling price is, start shopping around for the best deal. Don’t be afraid to negotiate and if the deal isn’t right then walk away.
Be Smart with Your Money
Of course, being able to buy a car cash is the best option, but this is not a luxury for most. We will then need to turn to a loan that has the shortest term and the lowest rate possible. With these the monthly instalment might be higher, but keep in mind, you will be saving on interest in the long run.
You can lower the monthly instalment by putting down a deposit, which should be between 10 and 20% of the purchase price. If you want extra upgrades or warranties, then try and pay for these in cash instead of financing them as well.
Get the Most from your Old Car
If your current car is still in good condition and you have kept on top of your services and maintenance then it shouldn’t be too hard to get a good selling price for it. Do your research and know how much it is worth and discuss a trade-in option for the new car. If you are trading-in then finalise the price on your old car before, you discuss the new purchase.
Get the Right Insurance
Your insurance premium for your new car won’t be the same as that for your previous car. It is a good idea to compare insurance quotes for the new car you are interested in buying.
You will have four types of insurance to choose from those being comprehensive, limited cover, third party only and shortfall cover. The most expensive of these is comprehensive cover, but it offers the greatest coverage for your vehicle. The bare minimum you should have is third party only.
Buying a new car can be exciting, but you need to get the best deal for your budget and ensure you factor in any additional costs.