Cars Live - Our New Car Reviews and Car Buying Resources Help You Make Informed Decisions - Cars Live.

Just made a decision buying your next vehicle? You believe you have done all your homework? Well, why not consider a few points before you finally make a purchase.

Buying a car always require a significant amount of financial investment. Although it pays a huge dividend in terms of the benefits you receive through it, however, you need to carefully plan the whole purchase process, especially if you are going to buy a second-hand vehicle. Carefully planning your finances, the method of payment and even the source through which you are purchasing your vehicle are all crucial.

So what type of expenses you should take into consideration before you buy your vehicle? What are the actual expenses that could incur buying a vehicle? Following are a few list of things you must take into consideration before you do the budgeting:

Actual Cost of the Vehicle

The foremost point to consider when buying your next vehicle is knowing the actual cost of the vehicle you’re interested in. Though it sounds pretty straightforward but at a lot of times car customers don’t investigate the actual value of the vehicle before they make their final purchase decision.
Interested In Changing Your Vehicle? Consider a Few Things First!
For instance, if you’re interested to go for one through Japanese car imports then you shouldn’t ignore all the import costs associated bringing the vehicle at your home country. It may include shipping costs, duties, taxes etc. Ignoring these additional costs could make the whole process of purchasing your vehicle overwhelming. Therefore, it’s very crucial to know how much it will be actually costing you to go for your next vehicle.

The Down Payment

Of course, many buyers end financing their vehicle but that doesn’t mean you won’t need to pay a single penny. If you go for car financing you will still need to make a down payment. So it’s very crucial to know the exact amount of money and arrange your finances according to it. Discuss with your bank’s financial advisor how much down payment you need to make before you can actually get the key to drive your vehicle home.

Car Insurance

In many countries and states including the USA, it’s illegal to come out on the roads with your vehicle without insurance. So, just like other expenses keeping in mind the insurance costs while you’re budgeting for your vehicle is equally important. Simply talk to a reputable insurance agent who’ll provide you with the insurance quotes for your vehicle. Compare different types of insurance you might be interested in-liability, collision, umbrella policy, etc.

Car Repairs and Maintenance

Things don’t end once you buy your vehicle, you need to go a step ahead, paying up for any repairs and maintenance fees. Though it depends upon the quality of the vehicle and simultaneously upon the car dealer through which you are buying your vehicle from. However you must always be ready to get the tires replaced, oil change, full body servicing etc.

Fuel Economy

Just like the repairs and maintenance of your vehicle, you need to have a look at the fuel economy factor. Though it hugely depends on the type of vehicle you are purchasing, it also depends on how far and how often you drive on regular basis. Therefore, it’s crucial to consider this factor as well, while you plan on buying your next vehicle.

We all like to upgrade to a better and more efficient vehicle, however, we must decide and plan our budget in a more realistic way to make our vehicle purchasing experience an overall positive one.
Cars Live - Our New Car Reviews and Car Buying Resources Help You Make Informed Decisions - Cars Live.

These are the questions you should ask before buying a new or used car.

Buying a new or used car or truck is no small matter. The decision to make a purchase of this size shouldn’t be taken lightly. You’ll be sticking with your choice for at least a few years — so it’s important that you have all the information you can gather before you choose!

Here are answers to some of your most-asked questions about buying new vs. used cars.

How much can I afford?

Many financial institutions tell you to budget no more than 15 percent of your gross monthly income on your car payment. This goes for both new or used cars. Learning how to budget for your next vehicle will help you secure a new or used car or truck at a price you can afford.

Should I make a down payment?

Making a down payment at CarMax is not required, but it’s a smart move. Any amount you put down as a down payment will lower your monthly payment on a used car or truck you’ve chosen. A larger down payment means a lower monthly payment!

Can I sell my car to CarMax?

Absolutely, you can. Have questions about what your car is worth or how to increase the amount you’ll get for your vehicle? Here are six top appraisal questions we hear from customers, including what you’ll need to bring with you to an appraisal appointment.

What kind of car do I need?

If you’re thinking about adding a car, truck, or SUV to your household, gather information about makes and models you like, and read these car buying tips. If you’re rolling solo, you could look into sports cars or sedans; if you’re starting a family, a smaller SUV might make more sense. If your family is growing and you’re looking for a larger vehicle, consider cars and SUVs with third-row seats. If you’re budget-minded, take a look at some of the best used cars under $15,000.
Tips to Help You Decide on a New or Used Car
And check out these additional resources to refine your choices:

If you’re more focused on comfort and entertainment features, take a look at the latest features and cool 2017 trends you’ll find on newer cars and trucks.

Should I buy a new or used car?

This is a question that depends on your wants and needs. As you do your research, be aware of the ‘drive off the lot’ depreciation factor that comes with a new-car purchase. Regardless, purchasing a new car may be where you’ve set your sights. If you’re open to used cars, trucks, and SUVs, you have the option of driving a more luxurious, fully-optioned vehicle for the cost of a new car that has a comparatively lower trim level.
How much will my car depreciate?

Unless you’re in a position to score yourself a vintage Ferrari, your car, truck, or SUV is a depreciating asset — it’s likely going to lose its market value over time. There are some ways to minimize depreciation — one good way is to spend the time to maintain it, and keep it in top running condition. Don’t let small problems turn into big (read: more expensive) problems! Mileage is another big factor; if you plan to sell your car, keep an eye on the number of miles you put on it. Taking a long trip? Look into flight costs or train tickets and weigh them against your vehicle’s fuel and parking costs, plus tolls, before you hit the road.

How much does it cost to own a car?

Affordability is different for everyone. Check out our car payment calculator for an idea of what it costs to park a CarMax used car in your driveway. This estimate will include the average cost for title, tax, and tags in the state where you live.

Once you’ve addressed your purchasing costs, you can research what you might spend, on average, on annual repairs using a site like RepairPal. For a good idea of these upkeep costs, plug your vehicle into the RepairPal cost index estimator, which gives you a cost index for average repair and maintenance expenses.

Can I get financing?

Financing, or borrowing money to make a purchase, works differently depending on where you go to buy your car. At traditional dealerships, you negotiate the finance terms; there’s very little transparency here, and this can leave you with the feeling you’ve been taken advantage of.

When it comes to financing at CarMax, you’re in the driver’s seat — just like you are with every other touchpoint of your experience with us. Our financing is quick, transparent. When you’re ready to buy a used vehicle, you can check out our car financing process. We work with a number of nationally-recognized financing sources that can provide a variety of financing options. And, financing with CarMax also means you can replace ours with an offer from another financing source within three days of making your purchase, at no cost.

We hope these answers help you as you prepare to buy a new or used car. Happy hunting!