What to consider while buying a used car and its long term effect on my finance(I am a new driver)?

[matiman]

Hi guys,

I am a female in the early twenties and I got my driver license just before months but I practiced for sometime. I am also a full time college student who sometimes work in other places .

I was thinking of buying a used car with the budget of $5000. If needed I may put some extra cash if the car can serve me for a long term. Since I am a student, I consider not only the initial value but also for the long term that cost me. Like insurance, fuel consumption, spare parts, tires, maintenance fees, and so on.

Could you please tell me any other things I have to consider before buying this car? And you give me an average price that may cost me for the next one year, or month. It is because, for e.g, if I buy a car for $5000 and if it is going to cost me more than $200 per month, I couldn't afford it.

Please, just tell me your suggestions, including what type of cars I have to buy.

Thank you.

['97ventureowner]

it's good that you are aware that there will be other costs to vehicle ownership other than the initial cost of the vehicle . I see many times, people just look at the cost of the car and forget items like the insurance and fuel, etc. The vehicle you purchase also can dictate the other charges associated with the car such as the type of vehicle can determine the insurance coverages. You can keep those costs down by getting a small economical car ( which also factors in to a lower fuel cost.)Also keep in mind that the more options a vehicle has can raise the costs of upkeep should they need to be repaired. The type of vehicle can also determine the registration and licensing costs involved in getting your vehicle on the road. Many used vehicles for sale today are more reliable than their predecessors of 10 to 15 years ago which helps keep the costs of spare parts down. Check out reviews of used cars and owner's reviews to get ideas of what the particular vehicle may need to keep it running as some models may require more maintenance and the parts may cost more as well. When maintaining a car , doing some or all of it yourself (if you are able to or a quick learner) can keep those costs to a minimum as well. If you need professional service on your vehicle keep in mind it costs a lot more to take it to a dealership than a independent garage. Ask around your family, friends and neighbors for suggestions for a reputable garage. Depending on your situation , you also may have to factor in costs of parking or garaging your vehicle when you are not using it. If you live in a climate where there is a lot of snow, you might consider snow tires to get around, that's another thing to think of. Also if you want a subscription to a service like AAA for emergencies, you need to consider that as well.
I'm sure there are other costs involved that I haven't covered, and the posters in this forum are pretty good at mentioning them. Also I'm sure they will have some good recommendations as to what vehicle might suit your needs as that is not my strong suit. It might help if you mentioned what you are looking for in a vehicle and the type ( 2 dr, 4 dr.) and what you are using it for , ( i.e. basic transportation, long distance travel, etc.) to make a better recommendation.

[matiman]

Originally Posted by '97ventureowner

it's good that you are aware that there will be other costs to vehicle ownership other than the initial cost of the vehicle . I see many times, people just look at the cost of the car and forget items like the insurance and fuel, etc. The vehicle you purchase also can dictate the other charges associated with the car such as the type of vehicle can determine the insurance coverages. You can keep those costs down by getting a small economical car ( which also factors in to a lower fuel cost.)Also keep in mind that the more options a vehicle has can raise the costs of upkeep should they need to be repaired. The type of vehicle can also determine the registration and licensing costs involved in getting your vehicle on the road. Many used vehicles for sale today are more reliable than their predecessors of 10 to 15 years ago which helps keep the costs of spare parts down. Check out reviews of used cars and owner's reviews to get ideas of what the particular vehicle may need to keep it running as some models may require more maintenance and the parts may cost more as well. When maintaining a car , doing some or all of it yourself (if you are able to or a quick learner) can keep those costs to a minimum as well. If you need professional service on your vehicle keep in mind it costs a lot more to take it to a dealership than a independent garage. Ask around your family, friends and neighbors for suggestions for a reputable garage. Depending on your situation , you also may have to factor in costs of parking or garaging your vehicle when you are not using it. If you live in a climate where there is a lot of snow, you might consider snow tires to get around, that's another thing to think of. Also if you want a subscription to a service like AAA for emergencies, you need to consider that as well.
I'm sure there are other costs involved that I haven't covered, and the posters in this forum are pretty good at mentioning them. Also I'm sure they will have some good recommendations as to what vehicle might suit your needs as that is not my strong suit. It might help if you mentioned what you are looking for in a vehicle and the type ( 2 dr, 4 dr.) and what you are using it for , ( i.e. basic transportation, long distance travel, etc.) to make a better recommendation.

Thank you for your kind response. I only wanted for basic transportation, i,e just for school. It may take me up to 30 min to get from home to school. So, what kind of car can serve me with least price?

[speediva]

You can get yourself a reasonable car in solid shape for $3-4000 easy. I'd primarily look at late 90s-early 00s japanese imported sedans (4-doors). Sedans offer lower insurance prices (important for the <25 crowd) and are pretty much a dime a dozen.

When I was recently searching for a "daily driver", I focused my search on 1996+ Hondas, Toyotas, Nissans, Mazdas, and specifically Civics and Accords, Corollas, Sentras and Altimas, 323s, 626s, Proteges. You may also want to put a cap on what is the highest mileage you are willing to consider for the car. I wouldn't even look at cars over 200k miles, but that's just me.

Something else to consider - if you can, you want to buy "private party" because individual sellers will typically want less for the exact same car with the same features as a dealership will. Also, you might see if the sellers have paperwork regarding any maintenance they've done (regular oil changes, any major parts replaced/installed, recall work completed, etc.) so you can see if the car was cared for.

[Ray paulsen]

Originally Posted by speediva

Something else to consider - if you can, you want to buy "private party" because individual sellers will typically want less for the exact same car with the same features as a dealership will.

Interesting statement, tell me some reasons why a dealership on average would charge more for the exact same vehicle ?

[speediva]

Originally Posted by Ray paulsen

Interesting statement, tell me some reasons why a dealership on average would charge more for the exact same vehicle ?

The first and primary reason is that they can. Second, dealerships have overhead costs like rent, employees (not just sales people, but custodial staff, sometimes "rent-a-cops", etc.) so part of those costs get passed along to the consumer. Finally, while dealerships may perform some basic maintenance after picking up a car (to make it clean, prettier, run better), they surely aren't paying full price for those services, but that will all get factored into the sale price they decide.

As for what I meant by "they can", there is a reason why Kelley Blue Book and other related car-appraisal sites list "Private Party Value" as several hundred - or several thousand - below "Retail" pricing for dealerships.

[phillipshaw]

well i think first consider the engine and how many peple can ride your car and what color do you really want.