Wednesday, October 1, 2008

When to buy a new car?

Buying a new car is always an exhilarating and exciting process. It provides to the buyer a sense of accomplishment, achievement and a level of utility, or happiness. But buying a car isn’t just about the joy of plopping down a large check and walking home with new set of wheels. Finding the best deal for the car YOU want is always somewhat more complicated.

There are a couple of things to think about before buying that dream car.

Knowing when to buy is half the battle. Timing your purchase is essential, especially when in the market for new cars. It is fairly simple and can give you a leg up when haggling. By waiting until the end of the month during the transition to a new model year in late summer or fall, dealerships will be trying to unload their inventory. Incentives, rebates and special financing offers will be offered and can be taken advantage of to ultimately lower the purchase price of the vehicle.

Go to the dealership with a blank check in your pocket. Dealerships are a for-profit business and will work to separate you from your hard earned dollars by whatever means. Give yourself a leg up buy going in pre-qualified for a loan. You can easily shop around and find the best rate for the car prior to going into shop. If you do forget to go in pre-qualified make sure you know your credit score and history. This will allow you to make educated decisions when dealing with financing through the dealership.

Focus on finding the car you want but for a price that matches your budget. A very viable alternative to buying new is to buy a used car. You save on a few years of depreciation and can still get a relatively new car with low mileage.

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