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What to look for in a Used
Car
By
Many
people continue to look to late model used cars as an alternative to the high
prices of a brand new vehicle. Buying a two to three year old car can be a
great way to eliminate that initial 30-40% depreciation that occurs in the
early stages of a vehicle’s life.
Where
to look is a first consideration. I would suggest buying a used car from a
reputable new car dealer. We have seen more people that were taken advantage of
by the used-car-only lots than with the new car dealerships. In either case, it
is a buyer-beware market. Private party sales have almost no recourse, and
private party sellers usually want as much money as a dealer.
The
first step in assessing the car of your choice should be the internet title
search companies, like Car Fax. These services usually charge between $25 - $40 to return any information available about
previous title holders and major insurance claims. They cannot know anything
about unreported repairs. They also do not have information on manufacturer warranty
work or recalls.
The
next step should be an inspection by a qualified third party mechanic. Any
reputable used car dealer or private party seller should allow you to bring the
prospective vehicle to the mechanic of your choice for an inspection. This will
usually cost between $60 to $80, and is a very
worthwhile investment.
The
inspection should look for signs of major accident repair and assess the condition
of the most expensive systems on the vehicle. These would be the engine,
transmission, and air conditioning. The inspection should include the remaining
life on the brakes, the presence of oil leaks or transmission leaks, and the
condition of the cooling system. It should also include a road test where
operation of the transmission, suspension, alignment, and tire balance are
noted.
In
Hopefully
the vehicle of your dreams does not have one of these major concerns. What
should you do regarding the minor concerns? Wear elements such as tires,
brakes, or shocks have an easily determined value. Get a quote for these
repairs as part of your inspection. Discuss responsibility for these repairs
with the seller upon your return. The seller may be able to perform the work in
their own shop, or they may give you a credit for the value of the repair.
Lastly,
assume that your used vehicle has had no maintenance except for oil changes. Budget
to have the transmission flushed, radiator flushed, and fuel injector/air
induction system cleaned immediately after you buy it. These three services are
the most cost effective way to extend the life of your vehicle beyond 100,000
miles.