Where to buy a used car
When you’re buying your car there are infinite options to choose from that will help you make the best-informed decision. You need to do your homework and find out what is the best option for you.
Auctions
Auctions are a great place to purchase any item. The process is fast and convenient. But it is imperative that you do your homework on the asset you want to buy at the auction. Make sure you know the market price of that item beforehand. Auctions provide a wide variety of cars, such as the latest used Audi that has been repossessed by the bank.
Advantages
If the item is repossessed by the bank, then the bank probably wants to sell it quickly because they need to get their money back. The asset will probably be below the market price. This means that the product you buy will be a bargain. In most cases, you will not pay the full price of the asset.
When you buy the asset, a portion of the rates and taxes will already be paid for by the bank. The bank will take care of the arrears up until the day of registration.
Auctions are a great way to make a speedy transaction.
The buyers are the ones who determine the price of the assets. They do the bidding, so the price is not set. If there aren’t a lot of people bidding, you can get the asset you want at a fairly cheap price.
After the hammer drops the deal is done. There is no backing out. The law protects both parties in the deal.
Disadvantages
When there is more than one person bidding for an asset, the price can go much higher than you planned. And you may end up paying more money than you had budgeted for.
The contracts are signed on the same day of the auction so the buyer cannot decide that they do not want the item anymore.
You have to register beforehand.
Once your bidding is successful, you are responsible for the item bought. If it needs repairs done, you will need to pay for them as the new owner.
There is a ten percent deposit of the price of the vehicle sold, you have to pay upfront when your bid is successful.
Private sale
If you’re looking for a used vehicle, another viable option to look at it is buying from an individual privately. When you decide to buy your car privately, you have to take the necessary precautions that will protect you.
Advantages
You can get a good car at a reasonable price when you buy your car privately as opposed to a dealership.
The sales transaction is quick. Because the seller is motivated to sell his car as soon as possible.
A private seller will be more inclined to negotiate the price.
Disadvantages
The seller could be hiding vital information from you. For example, their car being in an accident. You need to do a thorough inspection.
The transaction might be a scam. The seller could be a scam artist and the car they’ve advertised does not exist..
The vehicle could be stolen.
Dealership
When you buy from the dealership you are flooded with many options to choose from in the same place. You don’t have to spend hours searching online for different cars. And you have the option of test driving a number of cars.
Advantages
When you buy your vehicle from a dealership, you can be sure it’s been through an inspection. And any parts that needed fixing in the car are repaired before you purchase the car. Which makes it more convenient for you. The vehicles sold have to meet certain quality standards before they are sold. If they do not meet certain requirements, it would be unethical for the dealer to sell them.
The dealership takes care of all the important paperwork. When you’re buying a vehicle from a private seller you have to deal with the paperwork yourself. Which can be time-consuming.
A dealership will help you complete credit applications. Their main objective is to make a sale.
Dealerships have experts you can speak to.
Disadvantages
At the dealership, you will probably find that the price is more expensive than going to an auction or buying privately.
The dealer is driven to make the sale, so they may be aggressive in their pursuit.
Whether you’re buying a car for the very first time or you need a change. You need to go through all the options available in order to make a precise decision. Looking at the pros and cons of each option can help you get the desired car you want at a price you’ve budgeted for.