Buying a Car Privately or From a Dealer
When shopping for a new car it is easier to go to a dealer than to buy from a private seller. This does not mean that it is better or that money from a car loan is wisely spent.. Unless you are shopping for a brand new vehicle there are lots of bargains to be found on the private market.
Benefits of Car Dealers
Buying from a car dealer will give you more security and peace of mind for your purchase. This is achieved by the following:
- Opportunity for warranties on used cars.
- You can buy a new car with manufacturer’s warranty.
- Trusted name and history of the car dealer.
- More rights as a buyer compared to buying through a private seller.
A car dealer is a great way to check prices for new and used vehicles before researching car loans. Because the industry is so competitive you will get a very good idea on prices. Before going to a car dealer you might want to try and check on car pricing websites for a price range on certain models. It is also a good idea to visit a few dealers.
Benefits of Private Sellers
Private sellers are a lot more negotiable than car dealers. You are more likely to grab a bargain from a private seller (where profit margins are not a concern) than a dealer that has to pay rent.
- Private sellers are usually upgrading and just want to sell.
- A Private seller may be more reasonably priced.
- You will have a clearer idea about the car’s history.
Just be cautious when buying privately as you will have less protection under the law. It is a definite case of buyer beware so make sure you get a mechanic to look at the vehicle. It is better to be safe than sorry.
If you can, make sure a private seller has log books or a good record of its regular maintenance. This can at least tell you what past problems have been fixed and any recurrign problems. Remember, a used car will never be perfect but if you know what problems to look out for you can plan for them with regular servicing.
Shopping Around
When purchasing a vehicle it is important to shop around for the best price. Looking at car yards, auctions and car selling websites will give you a range of prices. Depending on the amount of protection of your purchase there are good reasons for buying both private and commercially advertised vehicles.
If you are thinking about trading in your current vehicle you might also get some better deals. A trade in can save you a bit of moneyt as well as the hassle of selling your current car. This can save you thosands in the long run.
When you are shopping for a new car just make sure you look at all of your options. Do not limit yourself to a dealer (unless you only want a new car) and also do not just look at private sellers. Remember that private sellers may be cheaper but this comes with a little bit less security and peace of mind.
