Modern car shopping is easier, more convenient, and more fun than ever before because used car dealers are everywhere.
Shopping for a used car takes many forms. It used to be that you would just scour the classified section of your local newspaper or drive around over the weekend looking at “for sale” signs in cars parked on the side of the road.
Of course, just because different kinds of used car dealers aren’t hard to find doesn’t mean they’re all created equally. That means you need to do some homework on which kind of used car dealership is right for you.
Here’s what you need to know about where you should search for your next pre-owned automobile:
Private Sales
There are still plenty of people who want to sell their cars without using an intermediary. They might post their car for sale online on places like Craigslist or Facebook Market Place. They might tell their friends and family to spread the word. They might even stick a “for sale” sign in the window and park the vehicle in a prominent place.
If you know what you’re looking for, buying directly from another person can be a great way to get a good deal on a used car, especially if it’s from someone you know and trust. At the same time, there are some risks that you have to weigh. For example, most states consider car sales “as is,” which means you have no recourse if something goes wrong after the purchase. It can be difficult to prove that the seller knew there was a problem.
Private sales also mean working with another person who has a busy schedule, limited car knowledge, etc. If you do go this route, try to get an independent mechanic to give the car a look before you make the purchase.
Used Car Dealerships
Used car dealers are another great option for finding pre-owned vehicles. Some dealerships specialize in only selling used cars, while others focus on particular new brands but also offer used options. The nice part about shopping with a dealership is that you can often explore their inventory online. You can schedule test drives, secure financing, and enjoy other perks like free maintenance for a limited time.
Dealerships also have to follow certain laws and policies to ensure they arent making bad deals. If you’re looking to buy a new or newer used car, you can even use your old car as a trade. That can help offset the overall price and give you some negotiating room.
Auctions
Contrary to popular belief, not all cars available at an auction are low-end or damaged. While you’ll certainly find various troubled options, you’ll also find some high-end vehicles. Cars go up for auction for a variety of reasons:
- Defaulted Payments: the owner couldn’t keep up with payments
- Dealer sales: the dealership is trying to make room and get rid of cars that have been sitting for a while
- Damage or special titles: cars that have been repaired from accidents, water, etc. can be auctioned off by the insurance company
Buying a car at an auction can be a great way to find an awesome deal. On the other hand, you may not get the chance to have the car inspected or even take it for a test drive. These purchases are made on faith, and there’s no guarantee the price will stay low if other people are interested.
Online Used Car Sales
There are a variety of used car dealers that operate mostly online. CarMax is a popular option that has both online and in-person options. The idea being CarMax is that there is no haggling on their prices. In this sense, shopping at a CarMax is just like visiting any other retail store.
Your used car purchase will work as it does at a dealership, but with no room to negotiate. Another popular option is Carvana. Because Carvana doesn’t have the costs associated with in-person dealerships, it can offer lower prices. This company also promises no haggling.
You complete the entire purchase online and can have the vehicle delivered to you. Carvana has also known for its car vending machines that can be used to pick up your car as well. While you can’t test drive a car before making the purchase, you do have a seven-day window in which to change your mind.
Buy Here Pay Here
Buy Here Pay Here (BHPH) dealerships are similar to other used car dealers. The biggest difference is that these companies offer on-site financing. While many dealerships connect you with local or national lenders for your financing needs, BHPH lots manage the loan themselves.
BHPH lots are especially attractive to drivers who have a less-than-perfect credit history. These dealerships offer flexible options that can even help drivers rebuild their credit scores. BHPH lots can offer more competitive rates/terms today than they did in the past, so they’re really a viable option for anyone searching for a quality used car.
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