8 Tips for Buying a New Car

Here are 8 useful tips for new car buyers.

Set a Budget and stick with it

Are you buying cash or financing? Long-term or short-term loan? 0%, 10%, 20% or 30% down payment? Speak with your bank or financial institution and work out what you can afford. When you are visiting the showrooms, make sure to ask bout finance packages and compare them. You can also use the TTAutoGuide.com Car Loan Calculator to work out the monthly payments for different periods with the down payment you can afford. Don’t forget to account for the cost of insurance in your budget.

Compare Prices & Vehicle Specs

Use TTAutoGuide.com to search and compare prices and tech specs. Whether you are looking for a hot hatch, sedan, suv or pickup, make sure to compare all the models and features and get the best value for your money. You can save your favourite vehicles to your Dream Garage. Once you have done your homework online, next its time visit a few showrooms to test drive some new cars.

The Showroom Experience

Visit the showrooms, take test drives, vehicle tours and demonstration, make sure to enjoy the complete showroom experience. Ask questions, take your baby seat(s) and make sure everything fits. Now would also be a good time to think about selling your used car if you have not done so already. Speak to the dealerships about your trade-in options or post your used car for sale one of the many used car websites.

Warranty & Service

One thing to think about is the service you will be getting for the next 3-5 years depending on your warranty. Part of your test drive and showroom experience is to also visit the service centre and ask about warranty coverage. Ask other customers about their experiences. Read dealership reviews on social media and other websites. Do your homework.

Try Negotiating for a “Best Price”

Once you have decided, next is negotiating a “best price”. Sometimes this is the deciding factor between makes/models. Most if not all dealerships advertise their showroom cash price or lowest monthly payment. There is usually some room to negotiate. So work with your salesperson and financial institution to get the best deal you can afford within your budget. Always make sure to get a quote from the dealership withe the price agreed upon.

Get an Insurance

If this is your first car, insurance will be expensive. In most cases, annual premiums are 10% of the value of the car or more. It’s always a good idea get some information from the dealership about insurance, service and finance packages and compare it to paying for insurance on your own. Spend some time shopping around for the best insurance packages with the best coverage. Some insurance agencies now offer monthly payments instead of one annual premium.

The Paperwork

OK so hopefully you have test drove a few cars and have finally decided on your dream car. Review the sales contract carefully and make sure the numbers match your quote, especially if you are adding accessories. Read your warranty contract carefully also and ask about any special terms and conditions.

Taking Delivery of Your New Car

Let the salesperson give you a thorough tour of your new car, including using the keyless entry and push button start, a lesson on connecting your smart phone to the car’s Bluetooth system, the cruise control system, adjusting the seats, steering and mirrors, opening the fuel lid and bonnet, even setting up gate remotes if available.

Have some points to add? Share them in the comments below.