Four top factors that influence the price of used cars

US-PDGov

One thing that both buyers and sellers of used cars can agree upon is the fact that the key to buying and selling pre-owned vehicles is figuring out their value. Once the debate about what is important when buying used automobiles is out of the way, it is then time to determine what exactly the true value of a used car is. In order to decide what that value is, there are four main factors that should be considered.

 

Just dropped in to see how my condition is

First and foremost, the most important factor to go over when figuring out a used car's value is condition. While that might seem obvious to you it doesn't make it any less true. You're not going to buy a used car if it's in no condition to be driven and if you are you're not going to pay a whole lot for it. On the other hand, a used car that is in near mint condition is going to be worth a whole lot more than a car that's dented up or has some scratches on it.

 

How many miles does it get?

After the condition of a used car has been determined, the next used car price influence is mileage. Every used car has been on the road for a different amount of time and a car that has barely been driven will be worth quite more than one that has been traveling the countryside clocking miles on the odometer.

 

As my grandpappy used to say, old reliable

Reliability plays a big part in determining a used car's true worth because drivers want to be behind the wheel of a car that they can trust. When figuring out how reliable a used car is, look to the car's maintenance records to see how often the car was brought in for routine service. Check whether the car suffered any recurring or major repairs. If reliability is a grey area, then the only thing that can lead to is negotiation.

 

Always a popularity contest

Popularity contests aren't just reserved for high school prom king and queen contests. In the world of used cars, popularity also reigns supreme. A used BMW or Cadillac is going to cost more than a lesser vehicle brand, and if price is an issue then going for a less popular vehicle make or model is the answer. If you can understand the factors that influence a used car's value, you should have no problem buying or selling a used car!

About the author: Donald loves to play with his children and pet dog, he enjoys sharing his knowledge of cars with the readers of his blog, and also shares his extensive car knowledge at other sites as we like hertzcarsales.com. Other then cars, Don enjoys watching the Giants play football.

Tips for buying good used cars

Buying used cars can be quick at the risk of being haphazard, or slow with the chance of making a wise used car purchase decision. The older used cars get, the greater the likelihood something is wrong with it. Some cars statistically do better than others with age, yet owner maintenance and driving is also a factor in how used cars age. Before buying used cars it can be a good idea to take a few steps that help optimize your purchase price and prevent problems later on.

• Research the car

Research is essential when purchasing used cars. Without research, you may be rolling the dice when it comes to what you buy. Examples of used car research include consulting consumer reports on vehicles such as at consumerreports.org, and the Insurance Institute for Highway Safety. It is also a good idea to compare dealership prices with blue book prices and private prices for used cars of similar or same make and model. Dealerships, online dealerships, private listings, and blue book prices may all have varying prices on similar vehicles.

• Design car comparison matrix

A used cars matrix is a worksheet you design with columns and rows. In the rows are listed the cars you're interested in, and in the column are the features such as price, ratings, road safety, year, mileage etc. As you proceed with the research of used cars, the matrix can be filled in so you have something to refer to and fill in as you find information.

• Set a price

Knowing how much you're willing to pay for a used car purchase is a way to stop yourself from spending too much. Once you have a price you're willing to part with, then you'll be able to find cars you can afford as opposed to not afford thereby saving time in your search of used cars. Keeping two price limits can also be helpful, one for negotiating price, and one you keep to yourself.

• Check for recalls

Used cars that have had recall issues but haven't been adjusted for the recall could have potentially hazardous defects. Used car sellers are not necessarily required to disclose all the faults of the car to you when you buy, so if you want to know the recall information for a particular used card contact the manufacturer for information.

• Inspect the used car

When you've narrowed down your search to a few used cars you feel meet your expectations and needs, then you can arrange to see the vehicle. This step is important because it will allow you to inspect the used car, find out more information about it and the buying terms, and negotiate a price if the seller is willing to do so and if you're interested in the used car. Things to look for include cracked belts and hoses, dirty oil, worn tires, peeling paint, rust, low battery charge, weak clutch transition, noises and general functionality. Asking about the history of the vehicle may garner a pre-designed response, but something may be revealed about the car that otherwise may have not been.

• Test drive

The test drive of a used car is another step in inspection. Turning everything on including lights, to see if they work can help with identifying potential issues. Also, leaving several things on while starting and driving the used car can serve as an indicator of how the used car performs with lower battery power. Drive the car up a steep hill to test horse power, and listen for strange noises during turns, gear shifts, and braking.

• Dealership Vs Private

There are advantages and disadvantages to buying privately versus through a dealership. Buying privately avoids commissions and extra fees, whereas buying through a dealership may give you a warranty, payment plans, and pre-purchase maintenance on the car. For more information on used car warranties, the following Federal Trade Commission (FTC) used car buying guide may be of use. Considering both options, particularly for the same kinds of used cars should help with identifying the better decision. Other places where used cars might be on special is automotive repair shops, towing companies, car auctions and car impounds.

• Cash Vs Credit

Paying cash or credit also affects the purchase of used cars because cash payments are harder to dispute than credit payments. However, paying cash can save finance charges and build negotiating strength. If paying cash, a signed receipt from the seller and the transfer of title is important and necessary. With credit, the car will likely be more expensive unless the credit is paid off before the end of a billing cycle.

When looking at used cars for purchase there is no reason to hurry. Rushing is a sales tactic at dealerships and if you don't have time, taking the time to think can do wonders when considering used car purchase options. Cars are fairly large purchases and involve a number of factors including your objectives in addition to the maintenance, cost and quality of the vehicle. By following the tips in this article, you may be better equipped to make a more informed decision when purchasing a used vehicle.