Buying A Used Vehicle? 3 Things To Know
If you are in the market to buy a vehicle, there are a variety of options available. One of the biggest decisions that you will make is whether to buy new or used. There are pros and cons to each, but for many, the choice is used. Used vehicles tend to cost less and are sometimes the only option if you are looking for a certain make or model that's no longer in production. If you are looking to buy a used vehicle, here are three things that you should know.
Costs Can Vary
When it comes to finding a reliable used vehicle, costs can vary significantly. If you are buying a used vehicle that's just a year or two old with low mileage, you may end up paying closer to what you would for a new model. The older the vehicle, the greater your savings will be but also the more wear and tear there will likely be. Typically, the lowest price you will likely find for a reliable used car is around $2,500. When buying a used vehicle, it's important to take a careful look at the condition before making your purchase.
Your Credit Plays a Role
If you are planning on paying in cash, you won't have to worry about whether or not your credit score will have an impact. However, if you plan on financing a used vehicle, your credit will have an impact on how much you end up paying. The good news is that you will likely be able to get financing even with a low credit score. However, your interest rate will be higher. If you have a great credit score between 781 and 850, your average APR will be around 4.34 percent. In contrast, if your credit score is between 300 and 500, the average APR is 19.98 percent.
Shopping Around Helps
When it comes to finding the right used vehicle for your needs, shopping around can help. You will likely want to visit a pre-owned vehicle dealer to find the right vehicle for your needs. At a pre-owned vehicle dealership you will be able to see multiple makes and models that could work for your needs. There are also plenty of advantages to buying from a dealership since they offer a variety of services after you purchase from them.
When it comes to buying a used vehicle, there are a few things that you should know. First, costs can vary significantly depending on make and model as well as mileage and overall wear and tear. If you are financing, your credit will play a major role in your interest rate. Shopping around and going to multiple pre-owned vehicle dealers will help you find the right vehicle for your needs.