You want to buy a new car, but are unsure of what to do and who to consult. Your first go-to spot is the car dealership near your area. When you meet a car salesman, what questions should you ask? Keeping a car in Canada has many obstacles, but searching for a new car shouldn’t be hard.
CarCostCanada is the #1 choice for new car buyers and is the nation’s most trusted online car pricing service. We provide people with detailed dealer invoice price reports to better prepare you to purchase a car.
We came up with some questions for you and your salesperson to consider when finding the right car for you.
Your Budget: How Affordable is the Car
Once you’ve decided you want a new car, your first question should probably be how much you can afford. That all depends on how you’re planning to buy and afford as far as the purchase price and payment. Gas and insurance are other factors to consider as well because of how frequent they can change.
When you’re calculating how much you feel you can afford, don’t forget about the extra fees that come with it. Government fees like sales tax and air conditioning fees matter as well as manufacturer fees like freight and dealer fees. Administration charges can also apply and while.some are negotiable, others aren’t.
If you’re looking at monthly payments and your budget, the same extras apply. Don’t forget about the term length as well. While you can afford that monthly payment, that 96-month loan that goes with it could be more expensive than you realize.
New vs Old: Should You Buy a New or Used Car?
Most people seem to recommend buying used cars, especially if you’re a first-time buyer. This is because of its depreciating value, as the value of cars drops every time you use them as opposed to preserving their worth when you buy a new one. Whichever you choose, here are the pros and cons of buying a new or used car.
Buying a used car can lower the upfront cost and car insurance premiums. You’ll be the prime owner of the car and can usually get a free inspection when buying from a dealer. The cons of buying used start with the car’s age, which may require repairs. The car’s warranty may also expire soon and you won’t be able to get a free inspection if you don’t buy from a dealership.
With a new car, you’ll be getting the latest model and you won’t need repairs on it for the first few years. The downside is that it’s much more expensive and you’ll need to pay for all the starting costs associated with it. On the bright side, you can get a brand new warranty with it to use to its full extent.
Should You Lease or Buy?
Leasing or buying a car is much like asking yourself if you want to rent or buy a new house. The pros of leasing a car include the ability to upgrade your car each time the lease is up and that you’re always driving a recent model. Your warranty never runs out and there are lower monthly payments to deal with.
The downside of leasing a car is that you’ll never own it and those monthly payments can go on forever. You can’t customize the car in any way and have to agree to terms regarding mileage and the car’s condition.
Buying a car has its perks too. First, you own it and can modify it as you please. You save money long term and can put in as many miles on it without getting a few. However, you also have to deal with higher monthly payments and dealing with the hassle of trading it in or selling it.
The Next Steps
Whatever you choose in the end, we’ve gone through some questions you may ask yourself or someone at the car dealership. If you’d like to learn more about what CarCostCanada can offer you in your next car hunt, visit our website for more details.