CHOOSING THE RIGHT NEW CAR-“THE SEA OF CHOICES”
It is no big secret, that there are a myriad of choices available when it comes to new cars and trucks. There are many different manufacturers and hundreds of different models, trim levels, and options to choose from. This can be a very daunting task to sort through the maze, and it can become very frustrating. Often times, we catch a glimpse of a shiny new car or truck out on the road, and we get really excited about the thought of owning it. However, it may not be the best choice for our needs, and it can be a costly mistake if not handled properly. The impulse purchase is a buyer’s nightmare and a salespersons dream at the same time. I have personally seen many instances where a person has purchased on impulse, only to find out later that the car is totally wrong for them. This ultimately cost them thousands of dollars to trade out of the car. This is a financial nightmare for most, and I am trying to help you avoid the pain associated with a bad car buying decision.
To make things a little easier, I have a few simple suggestions to help you navigate this process, and hopefully streamline it quickly.
1. Wants and needs list
This does not have to be an Excel spreadsheet, just a simple handwritten paper outlining what you want and need in your new car. Take the time to think about your current lifestyle, as well as what you anticipate it may look like in the future. This will help you outline what vehicles will fit in nicely with your intended usage and future plans. That will also allow you to focus on what is really important to you and eliminate the non essentials. It is important to make the right choice the first time around, and not lose your shirt from an ill advised purchase. This simple method will allow to dial in to specific cars that will fit your criteria, and keep you within your budget.
2. Establish a realistic budget
This might sound a little bit off the wall, but so many people over step the boundaries of their budget. Establish a budget that is truly comfortable for you, and stick with it! Do not get caught up in the emotion of owning your dream car that you cannot really afford. This happens to so many car buyers, and it is easily avoidable by being honest with yourself. We all know that those monthly payments come around real quickly. If you already stretched thin, you should really use some common sense when buying a new car. We have all been guilty of spending more than we should, but when it comes to buying cars this can be a very costly mistake. Do not put yourself in this position.
3. Research
Once you have compiled a list, then you should start researching potential vehicles that you feel would fit in nicely. There are many sources to do this online, but I recommend going to Edmunds.com to research your choices side by side using their True Cost of Own® tool. This is a great tool when looking at new cars, and cars within five model years. The tool takes many factors in to account including depreciation( covered in car buyers worst enemy page), taxes and fees, financing, fuel, insurance, maintenance, repairs, and tax credits. This a very powerful tool, because it gives you a much clearer picture of what it is really going to cost you to own a vehicle. This is important, because most people focus on the purchase price and nothing else. Once you have narrowed the choices, you can easily submit for a price quote from your local dealers on that specific car or truck. Consumer Reports is also a great site to get really useful information such as reliability, customer satisfaction, and recall information. There is a small fee to subscribe, but it is well worth the cost for the information.
Edmunds.com also has a neat tool on their site called TMV-True Market Value®. This allows you to see what other shoppers are paying for the same, or similarly equipped vehicles in your area, including options, color, and incentives. This takes a lot of the guess work out for you, so you are not laboring to figure out what is a “fair” deal.
4. Submit Online Quotes
There is nothing easier than sitting back on your sofa and submitting for an online quote for a specific car or truck. This makes the process so much easier then haggling in person at a dealership. You can spend hours at a dealership, and still never get a solid price because they are fearful you are going to go “shopping” with the price. It also works in your favor by pitting the dealers against each other to give you a lower price. The key here is, once you receive the quote be sure to email the dealer to clarify it. You want to be sure that it is for the correct vehicle, and includes all the specifics or the vehicle. When i say specifics, I am referring to model, color, equipment, and options. I would also have them clarify all taxes and fees that will applicable. It is vital that you are comparing “apples to apples”, and that the quote is accurate, You can then compare them side by side, and figure out who is truly offering the best deal. I recommend clarifying everything, so there are no surprises when you actually visit the dealership. Don’t give them the chance to “sandbag” you upon entering the dealership, as this will cost you time and aggravation.
5. Schedule a test drive
Once you have narrowed your choices to no more than a few vehicles, then I suggest heading to the dealership for a test drive. I say a few, because too many choices can lead to paralysis by analysis. The less the better, and you should have a good grasp on what will likely work for you and what will not. Keep it short and simple if possible. I am not saying you cannot have a longer list and test drive many cars, but i guarantee it will get frustrating. To schedule a test drive, simply call the dealership and speak to someone in the BDC (Business Development Center) department. Almost all dealerships have them now and they are trained to answer most of your questions and set an appointment for you. I would tell them exactly what you want to drive, and have them verify that they have the vehicle in stock. I have seen many times where a customer searches the inventory, finds what they are looking for and assumes that the vehicle is available. I have seen many times when a customer shows up for a certain vehicle, and the vehicle is either incoming, not prepped, sold, or just plain missing. There is nobody I know in today’s hectic lifestyles, that wants to waste time. Do yourself a favor and set an appointment, it will be well worth the few minutes it took to do so. Once you are speaking with the BDC representative, and they have verified the availability explain to them politely that your time is valuable, and that you would like to have the car ready and waiting when you arrive. If it is a professional operation which most dealerships are now, they will have no problem handling your request. If they follow through and are ready for you, it is a good indicator of their level of professionalism.
6. Test drive
This is the part that most people enjoy. There is nothing like that new car smell to get you excited. When you sit in the car what is your first impression? Do you like the ambiance? Do you feel comfortable with the ergonomics of the vehicle? Are the site lines good? Are there any blind spots? Does the family all fit in comfortably? These are all questions that you need to be asking yourself. If you purchase the vehicle you are committed to it, and it will only cost you money to get out of it. When you get out on the road, does the vehicle feel stable and planted to the ground? Does the power come on smoothly and quietly? Do the brakes stop the car easily, and do they inspire confidence? I am only giving you some examples, but everyone is different, so it is up to you to fully evaluate the vehicle you are test driving. Once again, you want to be assessing all these things in detail, and not get caught up in the excitement too much. I know this can be difficult, but it is important that you approach it this way.
7. Narrowing the choices
Once you have test driven all the cars on your list it, is time to narrow them down to two at best. Then sit down and rate the two cars in the categories that are most important to you. I suggest making a list of attributes on the left side of a paper or document, and then list the cars on the top. Rate them in each category on a scale of 1-10, and then tally the scores at the bottom. This should make it easier when you see how the vehicles rates overall in your eyes. However, price, affordability, and depreciation will most likely come in to play, so you can also rate them in those categories also. Once you have done all this which should not take long, you can feel confident that you are making the right choice under the circumstances.