Whether you are looking to buy your first car or your dream car, you have to do your research to ensure that you are spending your money on a car that is right for you. The market is swamped with choice when it comes to car makes and models, and as a car is an expensive purchase it is important to make an informed choice.
The essentials
The first thing you should establish when you are thinking about buying a new car is your budget. This is not just how much you are willing to spend as a purchase price, which could be anything between £2,000 and £15,000 for a small to mid-range car, but also what you can afford in terms of ongoing costs, such as the petrol needed to run the car, the insurance you must have, road tax and servicing. Work out what you can afford to spend on a car every month to give you an idea of the type of car you can afford.
You should also decide whether you want a brand new car or a used model. Remember that whilst a brand new car does ensure you get all the features you want, it will depreciate in value, a minimum of 20%, the moment you drive it off the dealer’s property. This may not bother you, but it is a consideration. It was once thought that a first car should be something of an old banger because a newbie driver is likely to have accidents and needs to get used to driving, but that is an idea that is long gone.
You will probably have a shortlist of cars that you like, probably basing the choices on the way they look. Now is the time to look a little deeper and review the functional aspects, such as the engine size, standard features and optional extras. When looking at these aspects, you should consider your lifestyle and to what uses the car will be put. For example, if you are a city dweller, you may find that a large car is too cumbersome for city streets and makes parking difficult, so a nippy run-around may be more suitable. It may also be more economical because a smaller engine may mean that you do not have to pay a congestion charge in London.
If, on the other hand, you live in the country or plan to go on long driving holidays, you may want a car that can manage different terrains or is more comfortable to ride in. There are few things worse than being stuck in a small car on a long journey. Do you have a family? If so, do you need to buy a car that has plenty of seating or boot space? All of these considerations should inform your choice of car.
Your next decision is where to buy your car. Do you go to a dealer or buy second-hand from a private seller? What do you expect to get from your deal? For example, if all you want is a quick and easy exchange of money for a car without trying to get extras, finance options or after-sales service, then a private seller may be just the person for you. However, a dealer will offer more peace of mind and a means of redress should you subsequently encounter any problems with your new car.
Most dealers also offer plans to help you pay for your car, such as paying a certain amount each month that may make your dream car more affordable and therefore achievable. Your dream car is the one to buy new, so that it has all the bells and whistles you want, so always check out the dealer’s finance options if that is the way you want to proceed.
If, however, you do not want to enter into any ongoing financial commitment, preferring to buy the car outright, do not expect to pay the full asking price. Feel free to negotiate with the dealer. Even if you do not get a discount on the purchase price, you should be able to wangle discounts or even freebies on some of the optional extras, such as the inclusion of Bluetooth connectivity, satnav upgrades, tyres or even having some items thrown in, such as the footwell mats.
When you are thinking of buying a new car, do your research carefully, work out what you can afford, but ultimately, spend your money on a car that feels right for you and will keep you happy for years to come.
