Complete Guide: How to Buy Your First Car

Whether you’re 16 receiving your newly printed drivers license in the mail, a recently graduated college student looking to make their first adult purchase, or someone other than the typical first-time car buyer, buying your first car can be an overwhelming task. When it’s finally time to upgrade from your parents hand-me-down beater that you drove into the ground, you’ll want to make a plan and be aware of how the car buying process works.

Don’t let the stress of buying  a car discourage you. Continue reading to learn how to buy your first car, easily. 

1. Establish a Budget

The first step to buying your first car is to set a realistic budget for yourself. The cost of a new car can be intimidating, so it’s important to know how much money you’re able to spend before you start looking for potential vehicles. 

A good place to start is figuring out a price range you can afford per month for your new car. Ideally, you want to pay as much as you can in cash, but if that’s not possible you should determine how much money you make monthly, how much you need to reserve to spend on things like bills, rent, food, and entertainment, and how much you’re left with to fund your new cars monthly payment. Once you’ve created an accurate budget, you’re likely to see areas where you can save money every month to be able to afford your new purchase. 

More often than not, a hefty transaction price often requires you to look for financing options. As long as your credit score is in good shape, you shouldn’t have trouble getting pre-approved for an auto loan. However, it’s important to note that if possible, you should put more money down upfront for your car so you can have a shorter repayment period on your loan, and also pay less interest overtime. 

2. Decide On a New or Used Car

Although your heart may be set on a shiny new car, you may change your mind once you see the price tag on the latest model. Buying a used car is often more manageable for first time buyers on budget. Many used cars are just as reliable and safe and new cars, and they come at a fraction of the cost. 

Pros and Cons of Buying a Used Car

Buying a used car can be a great financial decision for a lot of people. However, just like all decisions, it comes with pros and cons you have to weigh out. Financially, the great thing about buying a used car is that they’re cheaper, and you’ll have a smaller loan to pay back, if any at all. Additionally, there are quality options available for you to test drive, and you’ll have a quicker pay off than if you bought a brand new car. On the other hand, used cars have the possibility of being less reliable, and the interest rate may be higher. 

Another great option for used cars are certified pre-owned (CPO) cars. These are used cars that have relatively low mileage, and have been thoroughly inspected and repaired by the dealership. Most CPO vehicles will also come with a warranty. 

Pros and Cons of Buying a New Car

Buying a brand new car is an exciting endeavor, but not realistic for all people. A definite pro for buying a new car is that you can take advantage of the full warranty, meaning that if anything goes wrong within the first few years, the expense will be covered. New cars also have the latest technology and safety features. The unfortunate cons about buying a new car is the depreciation rate and expensive monthly payments. 

3. Inspect and Test Drive

Now that you’ve established your budget and made the decision of whether you want to buy new or used, it’s time to inspect and test drive prospective vehicles. Before you hit the road, you’ll want to do a pre-test drive inspection of the vehicle. During this inspection, you should look all around the car for signs or damage or vehicle problems. 

Test driving will give you an idea of how it actually feels to drive a certain car, and help you determine if it’s a car that you could see yourself driving everyday. While test driving, you want to make sure that you’re comfortable with the way the car feels. You should also make sure you know how all the technology works within the car. Additionally, you should check out the backseat and trunk area to make sure there is enough room for all of your passengers, as well as storage space.

4. Negotiate a Deal and Sign Paperwork

Now that you’ve decided what car you want to buy, it’s time to negotiate a deal with your sales person and sign the required paperwork. In order to get a deal, you should look up how much the car is worth by researching its value on automotive websites, for example, Kelley Blue Book. Use this information as a guide to drive a hard bargain and save some money. Typically, negotiation will be easier if you’re paying for your car in cash, or if you’re already pre-approved for a loan. 

Signing the paperwork should be the easiest step in the car buying process. Your salesperson should have all of the papers drawn up for you, all you’ll have to do is sign on the dotted line. However, it’s important that you read over the contract carefully, as you want to be aware of exactly what you’re signing. 

5. Plan to Maintain Your New Car

Congratulations — you now know how to buy your first car! In order to keep your car in the best condition, you’ll want to regularly have maintenance performed on it. When you neglect your car’s maintenance, you’re increasing the risk of an unexpected, and expensive, malfunction. Thankfully, at Burlington Kia we can take that pressure off your shoulders. Our team of highly qualified technicians will make sure your vehicle is in pristine condition for all of the miles to come. 

Learn More: How to Stay Up-To-Date on your Car Maintenance This Winter

Buying Your First Car at Burlington Kia 

We hope that this blog answers the question, “how to buy your first car,” and you feel more confident and comfortable with the car buying process. At Burlington Kia, we try to make buying a car as easy, and stress free, as possible. Use the button below to get in contact with our dealership so we can help you purchase your first vehicle!