Buying a vehicle takes planning – especially in 2022. While the new year is well on its way, there’s still no sign that our inflation problems are making a sudden U-turn. To get into the fast lane to buy your next car, you need to plan a feasible budget. Here are a few tips to help get you in the driver’s seat faster than expected.
While you can find a great used car at a price that’s guaranteed to be significantly lower than the cost of a brand-new version of the same model, you won’t be able to afford either one if you haven’t planned out a budget within your means. You can’t simply draft a budget out of thin air. Instead, it would help if you did some research to calculate the money you can afford to spend and compare that to the required money.
Contact a Dealership to Assess Your Options
The price of vehicles is constantly changing – and so is the availability. If you start making a budget based on the prices you expect to find without visiting a dealership to see what’s available, you’re bound to be sorely disappointed.
It will also help to discuss your options with a used car dealer. Your car dealer matches potential new car owners with vehicles every day. They’ll also have access to more vehicles than you are likely to find yourself. Ask a used car dealer for advice when looking for a new car, and then take that information home to work out a more informed budget.
Do the Math
Once you have accurate numbers at your disposal, you should be able to come up with a solid game plan. Work out the monthly payment that you can afford without going into debt. Remember to factor in extra money for insurance, gas, and potential maintenance costs as well. After all, you don’t want to put all your money towards a used car if you can’t afford the other costs that it takes to be able to operate it daily.
Once you add up all of the expenses that it will take to own and operate a vehicle, including
- Monthly Financing Payments
- Gas
- Insurance
- Repairs and Maintenance
compare this total cost with everything you require in your household budget as well. You will need to have enough money to cover your regular household costs and all of those required for your car. If you don’t have enough money, you’ll need to lower the amount that you have budgeted for your vehicle.
Down Payment
If you’ve already saved some money towards your car, you may be able to lower your monthly payment by providing a down payment upon purchase. At this point, it will be helpful to visit your used car dealer again to ask for help reviewing your budget. A used car dealer can tell you whether your budget is feasible and, if so, make suggestions regarding the different models of vehicles that you’ll be able to consider.
If you’re interested in saving up to buy a used car and you’re working on a personal budget, there’s no better place to get started than a used car dealership. Visit a used car dealer near you today.
