Used car buying tips for a great price and reliability too!

This, my friend, is the best of both worlds -- the twilight area between new and...well...used!  

A one to two year old car that still has a little bit of that new car smell but isn't quite old and beat up enough to be considered used.  

What you have here is a very, very affordable, almost-new car still under warranty that has taken its hit on depreciation.  

If you’re a smart, frugal buyer…and I bet you are… then it makes the most economical sense to buy a late model used car because you get the greatest value for your money.  

Another thought for those of you who've ever lusted after a luxury car but your wallet never quite had the reach -- well think again my friend because what you'd pay for a new Honda may just get you that late model, pre-owned Lexus...there, ha, how's that!  

I knew that would get ya excited…it did me!  

Now let’s find out where you can locate one of those late-model, pre-owned luxury cars for you.

What!  

You've already crunched the numbers and found this to be just a flight of fancy..ah shucks!  

Wait!  

All is not lost.  

You can still find that one to two year old late-model, pre-owned car that's within your budget.  And even if you only have a few bucks in your pocket, you can still use the tips here to find a great used car that's three, four, five years old or more.

Know how much you’re willing to spend.

Having done your research you should know the wholesale, private party and retail value of the car you’re looking to buy.

Remember that the seller shouldn’t be selling their car for more than private party price; retail price is what car dealerships would get if they sold the car on their lot. 

Your offer should be private party price minus any cost you figure you'll incur for reconditioning or mechanical / body work (see tip on mechanical inspection and reconditioning costs below).

Where to find that car of yours.

There are over 10 different outlets for buying your auto.  To increase your chances of finding the car you want, you should use a number of different methods to get maximum result.  Here are the best:

• Newspaper classifieds – still probably the cheapest and best for local responses.

• Specialized auto trader magazines – a little more expensive than the newspaper but it’s dedicated to cars and you get a photo.

• On-line classified ads such as those on Cars.com and Autotrader.com.

• Free grocery store shopper magazines – some allow free personal ads.

• Bulletin boards – place an ad at your work, local supermarkets, auto parts stores or college campuses.

• Word of mouth — tell your friends and family your car is for sale.

• Intersections and parking lots – display a "For Sale" sign in the car window and place the car in a highly visible location.

• Internet auction – put your car up for auction on eBayMotors.com or another auction website.

• Local public auction – because of competitive bidding your car may sell for more than you expected.

• Consignment sale – check the local used car lots to find out if they’d sell your car on their lot for a fee.

Now you’re ready to negotiate the sale price.

Negotiation requires compromise on both parties part.  Negotiate in a friendly way and you’ll wind up with a used car at a price both you and the seller are happy with.  

Here are some tips to help you get “Your Price” (or close to it) in the negotiation process:

• Chit chat at first some; this breaks the ice.  Get to know your prospective buyer a little bit.  Use small talk about the weather, local sports or headline news.

• First one to say a number looses; you can never lower your number once you’ve said it.  If you have to say a number first, quote a lower number then negotiate up to the final number you had in mind.

• If you can’t get the used car mechanically inspected walk away, unless they've already had it inspected and show you a report.

• Act dumb and don’t let the seller know how much you know or don’t know.

• Your final price should account for any repairs or detailing costs that may be needed.

• Point out any flaws you find in the walk around; a few pointed looks, a couple raised eye brows and some well placed hummm’s will let the owner know that you know the car is not in perfect condition.  This will help you negotiate a lower price.

• Take the car out for a test drive.  If the seller comes along don't chit chat.  Turn the radio off.  Listen to the car; pay attention to what it's telling you.  Listen for any strange noises.  Is the steering OK?  Do the brakes feel good?  Do you like the feel of the car and how it handles?

• Check the Vehicle Identification Number (VIN) on the title with the number on the car VIN plate located on the dash board near the windshield or on the driver's side door.

• Check the title and make sure it doesn’t say anything about “Salvage” or “Flood Damage” or “Reconditioned”.

• What does you gut telling you about buying the car?  If it feels good, then do it; if not, then walk away.  Go to the next one until you find the right car that your comfortable with.

After the test drive the seller probably will want to talk price; if he/she doesn’t give a figure first, tell him/her what price you’d be willing to pay, minus the costs you figure you'll incur in the purchase, plus a little less, 10 - 15% to allow you room to negotiate up to your ideal buy price.

This sets the table for further negotiation and to an agreed on price.  If the owner's not willing to budge, then walk away and go to the next one.

Time to take ownership.

Check with the department of motor vehicles (DMV) in your state for their title transfer requirements.  Check if they have a website; you may find all the forms you need there.

Basically you’ll need:

Well that's it.  Enjoy your new ride!