Buying a new car is an exciting process because you are making a choice that will help you travel comfortably in the future. However, there are many factors that make this process complicated. Choosing a car dealer in another state leads to the process becoming more complex and it has to be dealt with care.
More and more users have very specific conditions in mind while buying a new car which is why they are driven to dealers out of state. In this article we will try to help with the interested buying process for a new vehicle. Read on to know some of the common mistakes and how to avoid them.
Not Negotiating the OTD Price
If you are a first time buyer and not negotiating the OTD price you are making a big mistake which can cost you more money. Priority should be to make a good deal and save some extra bucks in your pocket. This can be negotiation especially if one is buying out of state. OTD stands for out the door fees.
Based on the geographical location, this price is different for different states. It is important to know the taxes of allocation so that you can budget accordingly. Make sure to let the dealership know your zip code so that they can calculate the OTD price beforehand. Use services like Intraffic for pre-delivery of the vehicle at your doorstep.
Knowing the price will lead to a chance of negotiation which can happen either on email or on a phone call. Make sure you provide the adequate details for the right calculation of the OTD price. You can also cross reference the quoted price with the official tax and registration rates in that particular state.
Not Asking for Help
Whether one is a first time buyer or it is your second car, one thing you should learn is to accept help when it is offered. The most help you will need is while looking at different cars and during the negotiation process. Looking at different cars will be something your dealer will be more familiar with.
If you have done some research online you would know what to pick and how to get a good deal. But for anyone who is frozen up during negotiation or confrontation it might be helpful to take a friend or family member who can speak up and get a good deal finalized. There should be no shame in asking for help or accepting it when offered.
Do not hesitate to say no and walk away from an offer which is not beneficial. Only bring a person who is well versed in the details of car buying and can help with a negotiated price. Whatever you do, never agree with the sticker price as it can always be negotiated and a low value can be agreed upon.
It is a big mistake to go in blind while getting the vehicle whether it is new or old. Research a bit and take a trusted person with you so that you have an objective opinion and a fresh perspective to guide you.
Not Inspecting the Vehicle
Much like a homeowner inspects a house before buying, a vehicle needs to be checked for problems as well. You will have to book a pre purchase inspection for any used vehicle whether it is in your local area or out of the state boundaries. The basic function of this inspection is analyzing whether the car is in a good condition or not.
The second level of analysis looks at the emission testing standards and whether the vehicle passes it. Different states in the US have different rules for emission testing. It is important to know these rules of both the locations so that the inspection can be carried out smoothly.
There is no need to contact a big service for inspection because a local mechanic will be able to do it. It will be better to contact the mechanic of the manufacturer whose used vehicle one is buying. Skipping on this inspection all together is a big mistake which you should avoid at all cost.
Not Considering Other Costs
Managing the finances before making a big decision like getting a car is a must. One of the factors in managing the finances include looking into additional costs like maintenance and insurance. No matter the geographical location of the vehicle, one would obviously be paying for these staples. If an individual has bought a vehicle with a car loan they also have to pay the EMI every month.
The annual insurance costs are dependent on the value of the vehicle. So the more expensive your purchase, the more you will end up paying annually. Maintenance costs are never ending and include repairs and replacements, oil changes, tire checks and regular servicing.
Additional costs also include the money going into fuel the prices of which are constantly increasing. Depending on the fluctuation of the gas prices one can expect more than one thousand dollars to be paid in any given year.
Trusting the Dealer with Purchase Financing
The dealer may have all the necessary information about the right kind of vehicle but they should not determine your purchase financing. It is imperative that one understands the additional interest added to the base price. Do not pay extra, one has to look into the details of the pricing.
If applying for an auto loan, one will have to know what the breakup of the final price is so that they can finance their purchase better. The dealers may offer the chance for an auto loan but online lenders might do you one better. Compare the offers and pick the one best for the budget.
Buying a vehicle interstate means that you have to approach the process differently and leave no room for any mistakes. Avoiding multiple mistakes can help in making a comfortable experience of getting a car home.