Tips and Tricks to Save Big on Your First Car

David Banks
Authored by David Banks
Posted Friday, December 18, 2020 - 2:05pm

Buying your first car is a big step but can also be at a significant cost. Anyone in the market for a new vehicle knows just how much financial responsibility is needed to own a car, and as a smart consumer, you want to do everything you can to save as much as possible. Here are some tips and tricks to help you do that.

Buying Used

One of the best ways to get a good value on vehicles is buying used. There are huge used car markets, and if you are willing to dedicate enough time, you can truly find some good deals. The benefit of buying a used car as your first vehicle is that you won’t be worrying as much about dents and scratches that you might sustain, as many young adults will still be trying to get familiar with good car maintenance practices. It is important to remember that as much as there are great deals to be found, there are many risks and pitfalls. Use your circle of connections to see if anyone knows any car dealers to give you a better deal.

Learn About a Car’s History

When you are looking at used vehicles, you have to be cautious of some of the risks involved. One of the ways you can minimize the risks when buying a used car is by doing your research and attaining the proper car history on a vehicle. The car experts at acknowledge the importance of car history as it provides you everything you need to know about the car, such as accidents and repairs done over time. This ensures that you are well aware of everything done to the car, and whether the car is involved in an accident, you may even use that fact to bump some numbers off the final price. A car history will also prevent you from purchasing a problematic vehicle that you might otherwise think is a steal of a deal.

Do Not Specify Payment Type

The pricing of a vehicle won’t always be consistent, or the same for every car, and especially won’t be the same with every dealership. This is because the car sales industry makes a lot of their money off commission as well as financing. These will play a huge role in the final price of your vehicle, making it either more affordable or more expensive. The way most dealerships make money is through their financing options and agreements. If you come in with a case full of cash or letting your dealership know that you want to pay upfront, they most likely will give you a higher price to still make money off the sale. The idea is that they give you a long time to pay off smaller amounts, but those monthly payments on your car end up being significantly more than you would have paid either upfront or within a smaller time frame with larger amounts. To get the best value and save money, don’t be too quick to show your hand before you see the best offer.

Studying the Market

It is important to do your research when you are looking to purchase a vehicle. One of the key reasons is that it can play a significant impact on the depreciation of a vehicle. When you purchase your car, it immediately depreciates or loses value as soon as you drive it off the lot. With that in mind, if you aren’t aware of the news regarding new models of your car coming out, you won’t know that such updates and releases with new models will cause your car to lose even more value quicker. This immediately decreases any resale value you have. If you are aware of new cars on the market releasing, you may be able to use that as a bargaining tool, or otherwise be able to be patient to wait for a lowered price when the new model does release.

first car

Know Your Budget

When you are in the market for a new car, you want to understand your budget. This will be a way for you to not overspend and save money. Dealerships will always look to upsell you with upgrades and features, but if you know your budget, especially with a new car, you will understand exactly what you need. Having a budget also ensures that you prioritize different features and helps you better study what cars on the market fit your needs.

There are always going to be costs to owning a vehicle aside from the payment for the car itself. This is why it is important to save where you can, as you will be spending a lot on gas, repairs, and maintenance. Do your research to find the best deals out there.


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