On average, new cars lose about 40 percent of their value in the first year of operation. Notably, buying a second-hand car is a great way to cut costs of owning a car. However, there are some risks that you must watch out for to avoid unwarranted repercussions. Here are a few tips that you should keep in mind before buying a second-hand car.
Budget for the car beforehand
It is important to determine how much you are willing to spend before looking for a car. Check the insurance premiums as well as the car tax rates and add up the cost to that of the car. If you wish to purchase the car using a loan, get the loan quote before selecting the car to buy. In so doing, you will know which cars you can afford and if the financing given by Indianapolis car dealer is worthwhile.
Do a little research
Do not pick the first offer which comes your way. Consider doing some homework by looking at offers from different Indianapolis car dealers. As a result, you may discover a huge variation of price in one model or a better financing deal elsewhere.
Know about the service history and previous owners
Your car should get some maintenance services from time to time. As such, these services should be available in the local garages and all the car parts should be locally available. You can also check for MOT certificates and other records to ensure that you are well informed regarding these services. If this information is not available, demand to know why since the dealer might be hiding something from you. It also helps to know the number of previous car owners in case you settle for a second-hand car.
Additionally, if the records show a similar inconsistencies all the time, it is a sign that there might be a unswerving fault which has not been worked on.
Check for any outstanding financing
Currently, it is very easy to secure finances to buy or lease a car. In this regard, it is safe to conclude that most cars on the road are owned by financiers upto the point when owners settle the agreements.
Ensure that the car you buy does not have any loans or debts attached to its logbook since you risk losing it especially if you are buying from a private seller. Most of the reputable car dealers in Indianapolis will do background checks and ensure that the car does not have any debts before putting it up for sale.
Car data check
The most comprehensive method of getting accurate car history is doing a car data check. You will get to know if the car has previous cases of accident, any loans attached to its logbook, who the previous owners were, and if the mileage displayed on the odometer is correct. In so doing, you will avoid future liability.