Alcoa Auto Center Blog
Buying a New vs. Used vs. Leasing a Car
Options, options, options...
Going to the car dealership is always a fun experience. The thought of driving off the lot in a car that's brand new or new to you is like Christmas morning about to open presents. There is a whole process that goes into buying a car and it's one that takes a lot of planning which is discussed for used cars in the next blog post. The biggest question that goes into the car buying process is whether to buy a new or used car or to lease a car.
What Are the Big Differences in Each?
Buying New is by far the most expensive option out of the three and also the longest term option. A new car most likely comes under warranty for several years at least. A lot of people buying new cars drive them for at least 5 years or more. Unfortunately, much of the time, the price is a bit out of people's budget. The major thing to keep in mind when looking at buying a new car is the depreciation that occurs immediately after you drie the car off the dealership lot. Average depreciation of a new car in the first month of ownership averages 10 percent and can exceed 20 percent in the first year in some cases. This is a big detterent when car buyers are looking at new cars and not something everyone factors into the equation.
Leasing New allows you to get into a new car for a much cheaper price for a period of usually three years. The only thing is, you are left with nothing to show for the thousands you paid to drive the car. If you really want to drive a new car on a budget, this might just be what you're looking for. Just remember, that a lot of money spent with nothing to show for it at the end of the lease.
Buying Used lets you get into a car for much cheaper than a new one. This being said, cars are made to last a long time so you can find a very reliable option for a good price. However, late model used cars usually give you a few years of driving before anything major needs to be repaired or the car needs to be replaced in extreme cases. Everyone will tell you, buying a used car is how you get the best bang for your buck.
What Should You Do?
The first big question to ask yourself is, does the car provide any additional value aside from transporting you from point A to point B? The answer to that question depends greatly on what you do for work and how much time you spend commuting and driving to various places. The most logical answer for most people is to steer towards the used car route and let someone else take the initial depreciation hit. This is the smart, budget friendly route to take.
Tips for Buying a Used Car
One thing that most people will tell you is to never buy a new car. This is because right after you drive it off the lot it loses a large chink of it’s value. The best option for buying a car is to get one that is used from a reputable dealer. Here we will be discussing the main points to look for and do when buying a used car to make sure you’re getting a good deal.
Set a Budget
Setting a budget gives you a good range on what you can afford in the long run. Being able to budget right can help you get the most bang for your buck when it comes to used cars.
Choose the Right Type of Car
Different people have different needs for their vehicle. Whether it be for your daily commute to work, a family car for road trips and picking the kids up from school, or a car to cruise around in on the weekends, you’ll want something that fits your needs.
Check Ownership Costs and Reliability Ratings
Maintenance on cars is inevitable. You’ll want to look for a car that has reasonable ownership costs and stands up to the normal wear and tear of being driven over time. This can help save you a lot of money in the long run by choosing a car that isn’t a money pit.
Check Pricing Guides
Price checking the cars that you find online is a major factor in the process of buying a used car. You’ll want to find a car that isn’t overpriced for the model year and number of miles it has. This helps you to know what cars aren’t worth going to look at and which ones are the better options.
Vehicle History Report
Whenever buying a new car it is always important to check if the vehicle has been in any wrecks, has a rebuilt title, and how many owners it has had. This can give you a great idea as to what might be wrong that you can’t and how the car will perform in the years to come. Getting a car with a clean title with no wrecks and preferably 1-3 owners is always the best to look for.
Go on a Test Drive
You can always love the way a car looks, but you won’t know if you actually love the car until you see how it drives. Taking a test drive is a crucial part of buying a used car. This allows you to tell if there is any maintenance that needs to be done and if you will like driving it for years to come.
Close the Deal
Once you’ve finally found your next car, it’s time to make that purchase! There are two options to paying for a car. You can either pay in full in cash or finance it and pay over a number of months. Financing is the most common way of payment in the US. Alcoa Auto Center offers great financing rates compared to it’s competitors so come check out our inventory and take a test drive today!
I Heard I Shouldn't Leave My Registration in My Car?
It may sound a bit out of the ordinary and something not everyone thinks they should do, but hear us out. Regardless of what you've seen in the movies or on TV, keeping your registration in your car can lead to some serious consequences in the wrong situation. In addition to this, your title should be kept outside of your car as well or you could become the victim of more serious crimes other than a car break in or carjacking. This all has to do with your personal information -- so keep it safe!
Protecting Your Personal Info
Regarding your registration, consider this. Thieves break into your vehicle and take both the garage door opener and your registration from the glove compartment. Then they use the registration to get your address, drive to your home since they know you're not there, and open the garage to take all of the valuables you have in there. This is another reason to always lock the door going from the house to the garage in case they try to get inside and access the rest of your belongings.
That is one of the worst case scenarios, but it could be worse if you leave your documents behind. What's the solution? Keep your registration and insurance in your wallet, purse, or even on your phone!
Lastly, it is a good idea to take your garage door transceiver with you when you leave your car unattended or just get one that can fit on your keyring so that you always have it with you.
When it comes to your car title, this should always be kept in a secure location such as a home safe or a safety deposit box. It won't be needed during everyday occurrences or a police stop. If you do happen to get your car's title stolen or lose it somehow, it is extremely hard to get a replacement from the Department of Motor Vehicles. On top of all of that, it is very easy for an adept criminal to use a stolen title to create fake ones that can be used to sell stolen cars.
Regarding any form of personal identification in addition to your registration and insurance, experts suggest you never leave any kind of paperwork in the car which, in the wrong hands, can leave you vulnerable to identity theft. This includes your driver's license and passport, as well as bills and receipts that have your name, home address, email, or even a credit card number on them. A combination of these documents could allow them to open fake bank accounts or even apply for a mortgage in your name!
What Should You Do?
If you are leaving your car's documents at home, professionals say the best thing to do is to take a picture of your car registration and your car insurance so that they are always on your phone. Another good idea is to save the photos to a cloud storage platform in the event that you don't have your phone. This way you can access them from someone else's phone in the event you don't have yours.Another thing is to never leave your car unlocked or leave your keys in the car. This just makes it too easy for someone to break in and steal belongings or the car in general. Always keep your keys or fob with you at all times.
How To Sell Your Car
Is it about time to get rid of your car? Whether you're hoping to get the most money out of itor make the whole process as simple as possible. the proper preparation will help you meet your goals. The following steps will help you get a good idea of the car selling process and what you need to be prepared.
There are quite a few ways to sell your car nowadays. These include trading it in to a dealer to go towards your new car, selling it to a dealer (online or in person) or third-party buying program, or selling it to another person which will generally get you the most money for it. Preparation is key to a successful selling process and experience.
It is very important to understand the key tradeoff whe you sell your car: You're likely to get the most money selling to another person, but it is also the most time consuming. You'll sacrifice some cash by selling it to a dealership or third-party, but you also don't have to worry about handling the paperwork making it a ton easier.
First things first, get a vehicle history report. Many buyers use these, but for a seller a report can alert you to potential issues that could steer a buyer away. It is also a good way to show how well you've maintained the car overtime as well. Next, figure out what you should be selling the car for. For this you can use the Carfax history based value tool or a simple Kelly Blue Book search can give you a good range. These are t=very good tools for determining the best price you should charge based on mileage, condition, and any damage that may be present.
Have The Paperwork Ready
When you begin the process, make sure you have all og the necessary paperwork from when you bought the car. You can check with your state to see what other documentation you'll need. These documents can be:
- a bill of sale
- a title transfer form
- an odometer disclosure statement (so buyer knows the mileage is correct)
Clean the Car
With all of the paperwork ready to go, you'll want to get your car as clean as you can. This is not only for photos, but also for in-person viewings. First impressions are everything.You should consider investing in a professional detailing job. This shouldn't cost more than $200 or so, and makes your vehicle look it's best.
Trading In/Selling To Dealership Your Car
Trading in your car might be a good option if you are planning on buying a car from the dealership you're trading in at. In this scenario, you're not getting cash for your car, but instead it is going toward the cost of your new car. If you owe more than the car is worth, then the dealer may offer to add the leftover payment amount to the new loan they give you. It is a good idea to get your trade in valued at different dealerships as well to ensure you're getting the best price possible.
Selling your car to another person starts with listing the car online. Make sure you have really good photos of the car and that it looks clean inside and out. A well written description of the features and everything important about the car really helps as well. Use a car value tool to find out what you should be charging for it so that you can be competitve with other cars in the same category. This will get you more money for the car, but is usually a lot longer process and more arduois as well.