Car is more of a luxury utilitarian object rather than an investment as most people would see. Value of cars depreciates quickly than other things and hence it is advised not to see cars as an investment. Used cars are available in plenty, cost less and with little or no repair, they will also run for a long time to come.
However, no matter what the case, a new car is a new car. There is a certain thrill and sense of accomplishment when we buy a new car and a used car won’t give you this experience. If you are planning to buy a new car, you need to read this article. In this article we will discuss the most common mistakes car buyers make while buying a new car.
4 Common Mistakes to Avoid While Buying a Car
1. Thinking of Monthly Payment
Zero down payments and monthly EMIs might seem appeasing to many as they will get a car with little or no investment in the beginning. However, the trick lies in the interest rate one has to pay for these monthly payments which will eventually price the car more than that it is valued. People often end up paying for a new car more than it generally costs thinking they are paying less in monthly installments. But what they don’t understand is that these small amounts paid every month will add up to a lot of money, most of the times more than what the car costs.
2. Ignoring Test Drive
Another mistake that most car buyers do is not taking a long, satisfying test drive. Don’t be embarrassed if the salesperson gives you awkward looks when you say you want to go for a long test drive and ensure it is the right car for you. Sometimes, you don’t know it until you feel it in your gut that it is the right decision, especially when you are buying a car. It is better to invest some time and go for a test drive, rather than regretting the rest of your time thinking you bought the wrong car.
3. Ignoring Other Expenses
Another downside of zero down payments and monthly payments is that you will be uniformed about the various other costs that will be associated with the purchase. There are multiple other expenses like insurance, taxation, paperwork for registration and maintenance charges in the future. If you don’t consider these costs in the very beginning, you might end up paying more than what your budget permits and regret buying the car because it is too costly.
4. Not Doing Enough Research
Lastly, one of the most common mistakes every new car buyer makes is not knowing enough about the car before buying it. Research will help you know more about the car’s features, its fuel efficiency, performance and more, giving you more room to decide if it is the right fit. Sales persons often delude the customers into buying the wrong cars and research can help avoid it.
