When buying a second-hand vehicle, Kiwis should know that it would be different from purchasing a brand new car.
Most people turn to used cars mainly because of a lower price tag. You could spend the money you save on buying accessories and equipment, including four-wheel-drive (4WD) tyres. However, knowing the basic guidelines for acquiring pre-owned vehicles will be important to make the most of your money.
Financing serves as the first step that you should handle prior to any transaction. Personal loans can be a good choice, as 80 per cent of buyers relies on financing to pay for a used car. You can borrow money not only from banks but also from non-conventional lenders such as auto dealers.
If money is no longer a problem for you, checking the car’s history and condition would be the next step. Find out if the vehicle you plan to buy has an outstanding loan attached to it. Be careful in inspecting the vehicle’s ownership history, since many stolen vehicles find their way into the market.
Those who remain sceptical should consider hiring a third-party inspector to check for any further red flags. It may cost extra, but this would be better than paying for a car that as unforeseen damages.
You would also need to check how a used car was imported into the country, following the stink bug infestation issue. In March, Toyota led the sales activity with more than 2,400 units or 17 per cent of the overall transactions.
Ford vehicles ranked next with over 1,500 sales, while Mitsubishi and Holden sold more than 1,100 units each. The Motor Industry Association reported the figures.
Buying a used car can be a daunting task, but it can a cost-efficient option when you know what to remember during a transaction.