The 8 Biggest Mistakes – #7
Buying a used car can be one of the most stressful things that you’ll do this year. Yet, here are specific steps to:
- make the buying process easier
- ensure you get more than a good deal
- find a vehicle that will last you for years to come
I have compiled a list of the most common mistakes my customers have made when buying used cars. Making any one of these mistakes can cost you hundreds – even thousands of dollars more than necessary. Finally, you can get ahead of the learning curve and buy your next car with confidence.
Mistake #1 – Not test driving early in the buying process.
Mistake #2 – Not checking the CARFAX report.
Mistake #3 – Not looking at the vehicle inspection report.
Mistake #4 – Ignoring fuel consumption.
Mistake #5 – Ignoring Certified cars (CPOs) or extended warranties.
Mistake #6 – Don’t comparison shop.
Mistake #7 – Not buying from a reputable dealer.
I work at Michael Stead’s Hilltop Ford. There are a lot of small used car outlets in our area. It is heartbreaking to hear the nightmare experiences of buying a used car somewhere else.
STORY – An unemployed Brenda walked onto our sales lot one day. She told me a sad story about her last car buying experience: Less than a month after buying her used car from a small used car dealer the transmission broke down. It turns out that she hadn’t checked either the vehicle history report or the vehicle inspection report prior to buying it. Instead, she took the salesperson’s word that the car had been fully checked out.
She soon discovered that it would cost $3,500 to get the car running again. She didn’t have the money. She asked the dealership to fix the car but they refused. Brenda tried to sell the car to get out from under her remaining bank loan. But the dealer hadn’t completed the paperwork to give her a clear title. Without the title she couldn’t sell the vehicle.
Stuck, she let the car sit in its broken-down condition. Because she no longer had reliable transportation to get to her job, she was fired. When she walked onto our sales lot and asked me for help she was out of work and desperate. We went to work to get her help with her non-working vehicle, and did everything possible to get her into another car. Unfortunately, Brenda was not able to get approval on a second car loan, and the last I spoke with her she was going back to the dealer to try and resolve the numerous outstanding issues. It was a sad and unfortunate situation.
INSIDER INFORMATION – Buying from a reputable dealer will help you feel comfortable and safe in your used car purchase.
One reason that I work for a major dealership is because of the high standards and transparent dealings. I will:
- provide a free vehicle history report
- show you the vehicle inspection report
- explain warranties and the Ford Certified Pre-owned vehicle (CPO) program
- explain the Stead Certified Pre-owned Vehicle Package w/Warranty Wrap
- help you find information online
- for convenience you can even complete your credit application online
- invite you to test drive the same car more than one
There is a reason why I work where I do – and why I sell used car to my friends and neighbors – and they still like me afterwards.
And there is a reason why my friends and neighbors recommend me to their friends – and friends of friends, and so on.
See the next article in this series:
Mistake #8 – Not following your gut instinct.
The 8 Biggest Mistakes – #3
Buying a used car can be one of the most stressful things that you’ll do this year. Yet, here are specific steps to:
- make the buying process easier
- ensure you get more than a good deal
- find a vehicle that will last you for years to come
I have compiled a list of the most common mistakes my customers have made when buying used cars. Making any one of these mistakes can cost you hundreds – even thousands of dollars more than necessary. Finally, you can get ahead of the learning curve and buy your next car with confidence.
Mistake #1 – Not test driving early in the buying process.
Mistake #2 – Not checking the CARFAX report.
Mistake #3 – Not looking at the vehicle inspection report.
Don’t take the seller’s word that the car you want to buy is in good condition. Lives have been changed – and not in a good way – by taking someones word for this (see Brenda’s story, Mistake #8).
The dealership I work with uses a 150-point checklist to guarantee that every major component of every vehicle is inspected before it is offered for sale. A detailed checklist and a competent mechanic guarantee that most deficiencies are fixed before the car is sold.
Why spend $15,000 on a vehicle and not know that it needs a $4500 transmission job, or $600 for brakes? How do you protect yourself from making these kind of mistakes?
INSIDER INFORMATION – A vehicle inspection report is a basic, inexpensive tool that every used car buyer should use.
If you are buying a car from a private party have your mechanic perform a pre-purchase vehicle inspection. Most mechanics are familiar with this process and will charge you $100 or less. They can quickly tell you about any problems and the cost to fix them. You’ll need to factor these results into your buying decision.
STORY- A seller is asking $9800 for their low mileage 2007 Chevy Aveo. Your mechanic says it needs a $550 brake job. Show the seller the report from your mechanic and demand $650 off the asking price. That will compensate you for both fixing the brakes AND the time and effort to take care of a problem that the seller should have already fixed.
Reputable automobile dealers will gladly show you their vehicle inspection report. You save the effort and cost of getting one from your own mechanic.
RED FLAG – If a dealer refuses to show their vehicle inspection report:
- they may not have inspected the vehicle themselves
- they may be trying to hide something
Be ready to RUN – DON’T WALK – to the exit.
See the next article in this series:
Mistake #4 – Ignoring fuel consumption.
The 8 Biggest Mistakes – #2
Buying a used car can be one of the most stressful things that you’ll do this year. Yet, here are specific steps to:
- make the buying process easier
- ensure you get more than a good deal
- find a vehicle that will last you for years to come
I have compiled a list of the most common mistakes my customers have made when buying used cars. Making any one of these mistakes can cost you hundreds – even thousands of dollars more than necessary. Finally, you can get ahead of the learning curve and buy your next car with confidence.
Mistake #1 – Not test driving early in the buying process.
Mistake #2 – Not checking the vehicle history report.
Why a vehicle history report? These reports have become indispensable tools for the used car buyer because they provide specific details about the vehicle’s history that every prospective purchaser should know. We use two different brands – CARFAX and AutoCheck. They will tell you:
- if it was ever in an accident or had a salvaged title
- if it was damaged by Katrina, Ike, or another natural disaster
- if it was a lemon buyback
- if its mileage was falsified by rolling back the odometer (these things happen!)
- how many owners it has had (a 1-owner vehicle generally has more value)
- in which city and state the vehicle has been registered, serviced, and sold in
Some People Prefer A Car To Be Local – For example, if a car has spent time on the east coast or in snow country then undercarriage rust may be an issue (sorry, I wrote this in northern CA where snow is not an issue). With a CARFAX or AutoCheck report you can actually monitor where a car has been.
INSIDER INFORMATION – A vehicle history report is a basic, inexpensive tool that every used car buyer should use.
If you are purchasing a car from an individual you may believe you have to buy a report for yourself. However, you can ask the seller to provide a CARFAX report. That’s a good faith gesture to prove that the car has a clean vehicle history.
Any reputable dealer will provide a free vehicle history report on any vehicle in their inventory. If a dealer refuses to show you the vehicle history then run – don’t walk – the the exit. Don’t invest in a vehicle without knowing its history.
See the next article in this series:
Mistake #3 – Not looking at the vehicle inspection report.
