Taking the leap and deciding to buy your first vehicle can be a smooth learning experience or it can be a nightmare. A study conducted last year showed that 40% of car owners regretted their first car decisions. With these odds, how do you know you’re making the correct decision by selecting your first vehicle?
Better yet, where do you go right to make sure all the prior mistakes of car buyers are being avoided?
Affording that first car can break the bank. Instead of sitting with an empty wallet after you make your purchase, let’s take a look at some helpful tips that will help you buy your car and afford to drive it. Read along below to find out more.
1. Hone in on a Used Car Option
One area that will be successful for you is to identify what your spending criteria is. For many car buyers, a used car is where their paychecks lie. A used car is a respectable and affordable path to take when it comes to choosing your vehicle.
Go through your monthly bills and see what you can set aside for your vehicle every month. Is it enough to make those monthly car payments? Are you going to be able to keep up with the expenses that come along with having a car?
If you can get behind these statements, figure out the monthly allotment available to spend on your vehicle.
2. Give Yourself Time to Save
Buying a car comes with a multitude of responsibilities that should be considered first. One of those includes giving yourself enough time to save up to purchase your car. Setting aside money each time there is a bit extra in your budget will help you cut some of those costs.
Make yourself a planner or even take out a savings account to track what you have put aside. Be sure to maintain putting away funds each month to take that step into finding the right car for your needs.
3. Generous Down Payment
If you intend to finance your car, have a sizable down payment ready to put on the car of your choosing. Having a larger sum of money to put down on your car will help you to reduce those large payments. This will help you pay off your loan faster and show the loan companies that you’re serious about your commitment.
Plan ahead before committing to the right car. Make sure you have everything to be able to afford to put aside money each week prior to putting up your down payment.
4. Loan Services You Trust
Taking on a loan for your first car can seem like a mountainous deal. There are plenty of aspects that you need to measure up and decide if you’re ready for. Read all of the fine lines and make sure that you trust the financial provider before you make any commitment.
First Financial auto loan rates will help you see what you should be looking for when it comes to your car and your financial future.
5. Negotiate the Value
Do your own detailed research into the value of any car you’re looking at. If you’re buying from a used dealership, review your vehicle options. Make sure that you talk to them about the best possible price for the car in question.
Many dealerships will work with you to find the best price and car available for what you can afford to pay. Be both thorough and clear about what you’re looking for and what you can pay.
6. Squirrel Away Gifted Money
While you’re in the process of buying your first car, one of the best things to do is to put away any money you’re gifted. Open a savings account so that you can build your extra income. These small gifs all add up and bring you one step closer to being behind the wheel of your chosen car.
When you’re saving for a car, even the smallest gift counts towards your large purchase.
7. Shop for the Best Deal
The best way to get money to spend on your first car is to make sure you’re saving money. Shopping around allows you to weigh your options. In many cases, it will free up money that you didn’t expect by means of finding the deal that fits your wallet and the car that best fits your preferences.
8. Lucrative Side Hustle
A side hustle is a great way to make the extra money to buy your first car. While it might take several months to garner the income for your down payment, it will always be something that you have achieved. There are plenty of options out there for side hustles.
Find something you’re good at and something you love and make a bit of spare income that can be put away for your vehicle.
9. Use Your Savings
Finally, when it comes to affording that new car, breaking into your savings account is perfectly acceptable. The car is going to be your transportation not only for fun events but for work as well. If you have a savings account, a car is a perfectly good reason to use that money.
If not, then it might be time to open up a savings account to put your money away for a car.
First Vehicle Buying Is a Challenge
When you’re ready to purchase your first vehicle, these tips will help you to avoid breaking the bank. While a car is a large investment, it doesn’t have to be the one that cripples you into debt. Enjoy your vehicle more once you’ve successfully figured out the best way to drive off the lot.
For more tips on how to stay debt free, take a look at our other articles. We have your back on everything from relationships to entertainment. Find the answers to your questions without leaving home.
