How To Prepare To Buy Your First Car

You have plenty of options when heading out to purchase your first set of wheels.

How to prepare to buy your first car. Buying your first car may be the first major purchase you ever make. Strongly consider buying used. Take a realistic look at your finances too. Learn more about the true cost of owning a car. Don t get swept away by the excitement of getting your first car.

Neither one for a first time buyer should be out of balance in comparison to your other assets at this point in your life those assets are probably limited to your most recent purchase at. Your parent or guardian will need to guarantee the loan. Regardless of the route you take it s a good idea to visit a dealership to test drive the cars you are interested in. If you are planning to take out a loan to buy your car have at least 20 of the total price ready to pay in cash as a down payment. If the owner or dealer doesn t want you to then walk away.

Be sure the engine is cold before you begin because an engine that has been warmed could be hiding problems. Typically this is 20 of the total cost of the car. It s enough to make some teens wait to become a licensed driver. This strategy will help you avoid overextending yourself financially and getting deep into debt when buying a car. If you re satisfied with the above then the next stage of our first car buying guide is to take the car for a test drive.

Set your car buying budget. Shop for a lender. After reviewing this handy guide you may discover that owning a car is within your reach after all. Otherwise hop in and take it for a drive. With some careful budgeting research and planning you ll have the confidence to negotiate the best deal and get the car of your dreams without getting taken for a ride.

There s a lot to consider but following the simple steps above can help ease the stress. That includes not just the purchase price but budgeting for use and care of your future car including maintenance insurance gas repairs and parking. Before you venture out into any car dealerships take a look at our 8 tips you should know when you re buying your first car. Buying from a dealership. On average a new car loses 11 of its value the moment you leave the lot.