Choosing your first car is a big financial (and exciting) decision. Whether you’re buying your first or fifth one, there are many important decisions to make.
It can easily go from exciting to daunting in less time than a Bugatti goes from 0-100. Whether you’ve spotted something sporty and powerful, or tracking in on something trendy and stylish, for most of us, the decision comes down to how far our money can go!
Therefore, without even reading this article, you know that one of the key questions to ask yourself is if you can afford it on your budget.
Ideally, you want to make the process as painless as possible for yourself. So again, whether you’re buying your first car or your fifth, there are some essential tips to bear in mind when buying a new ride.
6 must-know tips for super savvy car buyers
1. Start saving.
2. Do your research.
3. Draw up a budget.
4. Consider all the options.
5. Put down a deposit.
6. Keep saving.
Buying a new car may be one of the biggest purchases most people will make and one of the biggest decisions they will make. It’s also important to understand how to purchase a new car in the most effective manner to ensure you get the best deal. Here are 6 tips for first-time car buyers:
Start saving:
Car culture is intensely personal to many people. It’s not just a mode of transport. It’s an emotional attachment for some and a status symbol for others. But no matter the motivation, you need to ensure you're putting money away so that when the time comes - you can get the car you really want.
Do your research:
Car buying can be a stressful experience, and the more you know ahead of time, the better. Most people know they want an SUV, but aren’t sure what brand or model to choose. This is why doing one’s homework is so important! Car-buying research involves asking those who have bought cars before you to point you in the right direction. As well as looking up the manufacturers and models of your preferred car to check for any red flags including:
- customer complaints,
- bad reviews,
- car recalls, and
- safety-related faults,
associated with that product.
You’ll also want to consider the type of car you’re buying carefully. Sure, that new SUV looks great, but how many times will you really drive it off-road?
Draw up a budget:
You’ve met your payslip, right? So why are you still wasting your time on cars only Elon Musk can afford? We all dream of (and want to be seen in) the latest model of this car or that. But if there is one arena where your dreams should take a back seat to your conscious self – it’s the car-buying arena. Getting finance approval for your new car is a big deal, but the monthly repayment premium is only the first expense. No matter how much your landlord likes you – they won’t let you live in your house mahala, an empty fridge often ends in an empty belly, and your new ride doesn’t run on love alone. It needs fuel and let’s just say 1l of that magic juice costs more than 2l of your favourite soft drink.
So, if you have a number rattling around in your brain that’s way over the 25% of the number your payslip likes to rub in your face, keep rattling.
Consider all the options:
Sure, we all long to draw into our lungs the sweet scent of a new car smell at least once in our lives, but a new-to-you-car scent is probably just as sweet. Cars are getting increasingly expensive – not just for first-time buyers but everyone! So, explore all your options. Look for certified pre-owned vehicles, check out all the reputable auctioneers, or shop around for the best financing deal. Make sure you’re dealing with a reputable dealership and avoid shady salespeople who will try to take unfair advantage of your lack of experience.
Put down a deposit:
If your memory still serves you with any kind of competency, you’ll remember that the first tip was to start saving. Well, now is the time to bring out those savings and put down a deposit. Paying a deposit shows that you are likely to pay your instalments on time, and the more money you put down, the lower your monthly repayments will be.
Keep saving:
Once you’re the envy of the neighbourhood in your new ride, you might be tempted to think all your days will be as carefree as your first ride down envy-of-others street, but they won’t! Your car may break down, or you may be involved in an accident. Even with car insurance, you might have to pay an excess when you claim, which could cost you up to R5 000 or more. Setting aside some money for "rainy days" is always a bright idea.
To keep your car insurance costs down, look no further than dotsure.co.za’s revolutionary Name Your Price™ flexible pricing on car insurance – you tell us what you want to pay, and we’ll make it happen!
