Buying A Used Vehicle
Where can I buy a used car?
Used cars are available just about anywhere; new car dealerships, which is possibily selling vechiles that they've taken in as a trade on a new car from the previous owner, used car dealerships, of course, are on just about every street corner, so they're available as their own entity and that can be looked up and private buyers, somebody who is looking to maybe get more for their vehicle than the dealer was going to offer as a trade in. Alternativly, you can always look online, there's so many different resources available that are providing used cars. Kind of bringing the electronic driveway, if you will, to have people selling them to you as a private sale but online.
How do I negotiate the purchase of a used vehicle?
Well, the first thing to do is to make sure that you've researched the vehicle, such that you are not learning things about that car from the prior owner, because let's be honest, people sometimes say things for their own advange which may not be true, so you want to make sure that if they claim that the vehicle provides a certain amount of fuel economy, or they claim certain sort of acceleration or certain sort of performance, that you know for sure that as new that vehicle would be able to deliver that. So that's the first thing. Make sure you understand the product. When you then start to negotiate the price, be very honest with yourself as to what you could really afford. Don't get caught up in the emotions of buying the car. Maybe it's always been your dream car and you just feel like you've got to have it but that's not the way to go into the negotiation. You want to make sure you know for yourself your absolutely top amount you'd pay for that vehicle. Then lastly, as you go through the negotiation process, remember that you can always walk away. There are many examples of any certain vehicle out there on the road. If you're looking for the green one, there's a good chance there's a green one either down the block at another dealership, or in another person's driveway, or even available to you online. Always keep as much emotion out of the process and make sure that you're realistic with your financial goals, your financial abilities, and stick close to the fact that if you don't like the way the process is going, you're more than willing to walk away.
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.
How do I transfer a title if the seller still owes money on the car?
Much of the responsibility of transferring the title actually resides with the person who still owns the vehicle, especially if they owe money on that vehicle. They'll need to make sure that they go to the person who has loaned them the money, whether it's a personal party, or a bank or a finance company. They need to pay that debt off and transfer the title to you. If the person still owes money on the vehicle, then they're not really the official owner. There's another company that has a lean on that vehicle. You need to work with both parties to make sure that all the paperwork is done, that the lending company recognizes that the vehicle has been paid off, that it's free and clear and that they transfer that title into your name.
How will I know if the seller owes money on their vehicle?
You'll know if there's a loan on the vehicle if, on the actual pink slip or the title of the vehicle, it has the person that you've negotiated with to buy the vehicle's name, as well as the bank or the finance institution that they used to buy that vehicle. When you go to register it, that finance institution will need to also provide you with a document that shows the vehicle has been paid free and clear, and that you can take on the ownership of the vehicle as the primary and solo title holder of the vehicle going forward.
