Buying A Used Vehicle

How do I close the deal on a used car purchase?

Once you've reached the end of a used car purchase, you've got the price you're comfortable with, you're sure it's the vehicle you like, you feel like it's been represented to you correctly. Now it's time to close the deal. You're going to be asking for the acceptance of the seller, drawing up a contract, and identifying what the price is going to be for taking it to the department of motor vehicles and licensing that vehicle to you later. You may also need to give the person a down payment, arranging for pick up of the vehicle as soon as possible. Make sure that, just as if you're in an accident, you want to make sure you exchange a lot of information with the person you're in that situation with. You want to make sure you know a lot about the seller as well, so if anything goes wrong in the future you'll be able to find the person and go through the recourse.

Should I buy a used car from a rental agency, police department or taxi-cab company?

Buying a vehicle from a rental agency or an ex-police car or a taxi company or something is full of risk. Depending on your budget, depending on your circumstance, it may be your best option, in that you'll be able to buy much more vehicle for a much lower price than you may expect. However, you're also taking on a vehicle that's probably been driven much harder than normal, for many more miles than normal. That's not to say that it's going to blow up as soon as you drive it off the lot, but you're taking on a lot of risk in exchange for that lower price. You really need to have strong heart-to-heart with yourself to make sure you're willing to take on that risk of buying from a rental agency or police department.

What is the "vehicle identification number" on my car?

The VIN (Vehicle Identification Number) is a 16-digit code which is assigned at the moment of manufacture. The VIN identifies where the vehicle was made, by which manufacturer it was made and certain components of the vehicle. The VIN also identifies what sort of transmission came originally with the vehicle, what sort of engine came with it originally, whether it is all-wheel drive or two-wheel drive, what sort of tires it has, etc. The VIN is just a quick code that identifies what the real bones of the vehicle should be.

What is a "vehicle title search"?

A vehicle title search is something you'll do at a website like carfax.com or experian.com. These websites have researched all VINs across the country and tried to collect any sort of information about that VIN that has transpired. A vehicle title search can reveal how many different owners the different DMVs across the country have seen and, potentially, whether it's been in any accidents. These websites get information from repair facilities and match the VIN number with that particular action. Thus, through a vehicle title search, you know some of the history of the vehicle much more cleanly and much more professionally than just hearing it from the person who's selling it to you.

Why are vehicle title searches important to a used car buyer?

A vehicle title search to find a vehicle history report is very important, especially when looking at new cars that possibly are priced better than you'd expect. If you think you're getting a bargain, especially in used cars, you're probably not. This is why it's very important to do a vehicle title search, run that report and identify that the vehicle's possibly been through a flood (we've had a big problem with vehicles after Hurricane Katrina that were flooded in the south and have now worked their way across the rest of the country as a great-bargain used vehicle.) While the vehicle may look clean and smell fine, there's a good chance that water's gotten into the electronics, which are going to cause a problem down the road. Potentially the vehicle's been in an accident and they've been able to fit it and straighten it up well enough that it looks almost good enough to buy. Again, if you find a vehicle that seems too good to be true, make sure you do a vehicle title search and run that vehicle history report, because you'll probably uncover some real thorns in it that you'll want to know before you actually make that car purchase.