It’s a new year and lots of us are looking to buy a new car. If you are thinking about getting that new car this year then there is no better time to start thinking about your budget and planning for you purchase. For nearly everyone, buying a new car is the second biggest thing that you will buy after your house. In order to make the right decision and choose the perfect car for you we have created a list of some great tips that will help you.
What can you afford?
There is no point eyeing up a new car that is in the showroom if there is no way that you will be able to afford it, that is just a waste of your time. A good thing to do is to put twenty percent of your monthly household income towards all your cars; this should include all costs associated with the car such as monthly payments, insurance and petrol etc. Now you have a good idea of what you can afford.
New or used car?
An increasing number of people are buying used cars as they see the price as a very big incentive, yes the price may be lower but there are some great deals to be had on new cars. Take a look at the new Ford Fiesta deals to see just what great offers are available, after seeing these prices you might choose to buy a new car. There are pros and cons for both, but the best thing about a new car is that you will get a full warranty, maintenance will come for free, roadside assistance and usually they will offer much lower interest rates.
Does your list need to be so big?
Make a list of all the cars that you have seen or heard about, basically write down every car that you might be interested in. Now it’s time to get online and start doing your research about each one, find out as much as you can by reading everything you find. Now it’s time to start visiting dealerships to see the car up close, this will give you a better idea of what you want. It’s a good idea to choose cars that are lower than the 20% of your monthly household income, this will leave you enough funds to cover insurance and all of the other costs involved when running a car.