Useful Guide for First-Time Car Buyers
After years of waiting, you’re finally ready to buy your first car. It’s a defining moment for you, and it’s going to make your life a whole lot better.
Having said this, it’s no secret that buying your first car isn’t always easy. It can be very difficult – from figuring out the insurance to finding an actual car that you like.
Don’t panic, though, because this useful guide for first-time car buyers has now landed in your hands. By following each step, you can get the car that’s right for you with minimal hassle.
Step 1: Plan Your Car Insurance
Before buying a new car, most people plan their car insurance first.
For some people, car insurance can be a major stumbling block. After all, it can be difficult to find the insurance coverage that fits your budget range.
This is why it’s a good idea for first-time car buyers to get a car insurance quote from an insurance agent. They’ll be able to find the right insurer for you based on the information you give them, such as how much you can afford to spend on car insurance per month.
Once you’ve got this set-up, it’ll feel like a huge weight has been lifted from your shoulders.
Step 2: Create a Car Budget
When you’re searching for the perfect first car to buy, you need to have a strict budget in mind. This will keep you on track and prevent you from possibly overspending and causing financial problems for yourself.
The point of a budget is to figure out how much money per month you can afford to spend on a car. In the US, the average monthly car payment for a new car is $716, while the average monthly payment for a used car is $526. This is a significant amount of money. Therefore, a budget is important.
While calculating your car budget, take into account your essential outgoings, such as:
- Grocery bills
- Student loan repayments
Additionally, make a list of your non-essential outgoing, like:
- Media subscriptions
- Takeaway food
- Luxury purchases
Once you’ve got everything down in front of you, that’ll allow you to recognize certain outgoings that you can sacrifice so that more money can be put towards your car.
Step 3: Consider Purchasing a Used Car
With their budget prepared, most first-time car owners then opt to buy a used car, instead of a brand-new one. This is a no-brainer, as it’s a guaranteed way to save money. Plus, used cars are typically cheaper to insure, which is a nice bonus. However, if you have the money to do it, you might simply want to buy a brand-new car instead – and there’s nothing wrong with that.
Step 4: Secure Your Vehicle
Whether you end up purchasing a used or brand-new car, make sure to secure it once it’s in your hands. You can even do things like install a GPS tracker so that (if it gets stolen) you know exactly where it’s gone. Again, this can help to reduce insurance costs.
Step 5: Drive Safely
Being on the road for the first time in your vehicle is a lot of fun (and highly exciting). However, don’t allow this to distract you from safe driving. Make sure you drive safely at all times and treat every journey like it’s your driving test.