Author Box
Articles Categories
All Categories
Articles Resources

How to Budget to Buy a Used Car

April 17, 2012 | Comments: 0 | Views: 197

You know you want to buy a used car. You probably know what color, make, model, and year you are interested. You have likely set a price range that you will be looking in, but do you really know how much you can afford? There is a lot more to buying a car than just knowing how much you can afford on the payments per month. Car dealership used to ask for 20% of the sticker price as a standard rate for down payment. Luckily, those days are over and most dealers ask for somewhere around 5% now. There are several calculators available online to help you figure out what your monthly payments will be, but it's also nice information to just know.

First thing you need to do is figure out what you can afford a month. Assuming you're going to ask for a loan between 3-5 years, multiple your number by thirty-six, forty-eight, and sixty. Now you need to figure out what you can afford as a down payment. Add this number to each of the numbers you got in the previous step. Now subtract fifteen percent for sales tax and other dealership fees. This will give you the sticker prices you need to look for at the dealership.

We can't stop there. It is illegal to drive without car insurance. The average rate vehicle owners pay for insurance now is $800 a year. That comes out to roughly an extra $67 a month, but it's much cheaper to pay for insurance than it is to pay court costs for driver illegally or covering costs from a major accident.

You also have to think about car repairs. This is why it's very important to thoroughly examine your used car and it's engine before purchasing it. Sure, you might get a great deal on the lot, but it could cost you a fortune in the long run if the car is not in good condition. Check the engine, brakes, tires, glassware, and make sure it drives okay. The average amount spent on car repairs alone is about $1200 a year per vehicle. So, double check your used vehicle before you actually decide to purchase it.

You will also have to pay for tags and registration for your vehicle. Last but not least, don't forget to save for gas! Your new used car might look pretty in the garage, but make sure you can afford to actually use it!

Get to know more on used cars? Please visit us...

Source: EzineArticles
Was this Helpful ?

 
0
 
0
 
Rate this Article
 vote(s)
Feedback
Print
Re-Publish

Article Tags:

Used Car

If you have problems in maintaining your used Sacramento Ford car model, then this is the right time to approach the Ford auto repairing mechanic to get things fixed in time. This is to ensure that

By: Nick Pruett l Automotive > Classic Cars l April 03, 2013 lViews: 599

This article is written about a company offering stunning range of mopeds and eco friendly scooters at affordable prices . Gas powered scooters are the perfect means of transport if you want to

By: Mark Claint l Automotive > Motorcycles l December 23, 2012 lViews: 591

The Mahindra bikes are the top most important and supposed developed company in India, which is productively liability their business in the Indian auto market with its dealership networks across the

By: Wilson Roy l Automotive > Motorcycles l December 03, 2012 lViews: 269

CARTATTS, a design driven, boutique studio with a passion for cars and design have launched their first release of tattoo inspired, custom-designed, high quality decals. CARTATTS is the brainchild of

By: AlanRichard l Automotive > Car Detailing Customization l December 02, 2012 lViews: 254

When it comes to going on a road trip, the drive there can sometimes end up being a bit boring. Though you might have a fantastic time once you arrive at your holiday destination, if there is a long

By: Alan Trotter l Automotive > Mobile Audio Video l November 24, 2012 lViews: 419

Hero impulse is the design of Hero group, after the Hero and Honda group sidelined. The company has introduced its extremely first bike in the market dubbed like Hero impulse. It is an outstanding

By: Wilson Roy l Automotive > Motorcycles l November 19, 2012 lViews: 394

CARTATTS, a design driven, boutique studio with a passion for cars and design have launched their first release of tattoo inspired, custom-designed, high quality decals. CARTATTS is the brainchild of

By: AlanRichardl Automotive > Car Detailing Customizationl December 02, 2012 lViews: 254

Window tinting Coral Springs is one of the ways that we can do to customize or add a twist to our car. But, the benefits of window tinting is not just for aesthetic purposes as it can also protect

By: joel mojikuvicsicl Automotive > Car Detailing Customizationl November 16, 2012 lViews: 242

Window tinting Coral Springs is one of the ways that we can do to customize or add a twist to our car. But, the benefits of window tinting is not just for aesthetic purposes as it can also protect

By: joel mojikuvicsicl Automotive > Car Detailing Customizationl November 16, 2012 lViews: 326

Whether you are going to apply pinstriping tape to your ride or have a pro do it, you want it to turn out classy and cool. The overall design is the most important element in having a successful

By: Craig A Shillaml Automotive > Car Detailing Customizationl June 29, 2012 lViews: 311

Thinking about getting your windows tinted? Here are six reasons you should get your windows tinted.

By: Kevin P OConnorl Automotive > Car Detailing Customizationl June 27, 2012 lViews: 227

As a former car washing entrepreneur, I can tell you that I saw my share of messed up paint jobs and paint damage. Things such as damage from eggs or bird crap always bothered me, mostly because had

By: Lance Winslowl Automotive > Car Detailing Customizationl June 27, 2012 lViews: 236

It seems these days that everyone is fascinated with beads. Wherever you look someone is sporting a trinket, or necklace or bracelet made out of these charming little creations. Beads come in every

By: Saira Akhtarl Shopping Product Reviewsl April 20, 2012 lViews: 105

Beads have been a source of intrigue and joy for many hundreds of years and remain popular even today. They are beautiful little gems that can be made from a variety of materials. Many years ago

By: Saira Akhtarl Shopping Product Reviews > Jewelry Diamondsl April 20, 2012 lViews: 180

The gas have prices fluctuated numerous times during the recent years. Pure panic for many car users. The question of buying a new car, over a used car, can be frustrating. A new car is suppose to

By: Saira Akhtarl Automotive > Car Detailing Customizationl April 20, 2012 lViews: 169

There are so many kinds and colors of beads that you could spend literally hours perusing the internet for just the right ones to purchase. They come in all shapes and sizes and are beautiful

By: Saira Akhtarl Shopping Product Reviews > Jewelry Diamondsl April 18, 2012 lViews: 195

Beads come in many styles and varieties and can be worn as jewelry for all kinds of occasions. Whether you like wood beads, pearls or glass beads you can find each and every one of them online for

By: Saira Akhtarl Shopping Product Reviews > Jewelry Diamondsl April 18, 2012 lViews: 157

When purchasing a used car it is important to make sure everything is up to date, safe, and running correctly. One area in particular where cars can see a lot of wear and tear in is the brakes.

By: Saira Akhtarl Automotive > Car Detailing Customizationl April 17, 2012 lViews: 206

Discuss this Article

comments powered by Disqus