Buying a car is a major purchase, but it is easy to focus almost entirely on the number written on the window. Price matters, of course, but the cheapest vehicle is not always the least expensive one to own.
Condition, financing, warranty coverage, maintenance history, and even the reputation of the seller can affect what a vehicle ultimately costs you. Spending a little more time researching before signing paperwork can prevent much larger problems later.
Look Beyond the Monthly Payment
Dealership financing often puts the monthly payment front and center. A payment of $450 may sound much more manageable than talking about a $30,000 purchase, but the payment alone tells you very little.
Loan term and interest rate can dramatically change the total amount you pay. Extending a loan from five years to seven years, for example, may reduce the monthly payment while increasing the amount of interest paid and keeping you in debt longer.
Before buying, make sure you know the vehicle’s actual selling price, APR, loan term, down payment, fees, and total amount financed.
Research the Vehicle, Not Just the Model
Finding a model with good reviews is only the beginning when shopping used.
Two cars of the same year and model can have completely different histories. One may have been regularly maintained and driven 60,000 miles, while another has been through an accident, changed owners several times, or gone years without proper maintenance.
Before purchasing a used vehicle:
- Review its vehicle history and title information.
- Ask for available service and maintenance records.
- Look for signs of previous collision or flood damage.
- Check for open recalls.
- Have an independent mechanic inspect it when possible.
The Ohio Attorney General’s consumer guidance for car buyers also recommends asking about prior damage, defects, and repair history and checking the vehicle’s history before purchasing.
Understand What Protection Comes With the Car
Buyers sometimes assume they can simply return a vehicle if something goes wrong shortly after the purchase. That usually isn’t the case.
Warranty coverage can also differ significantly between new and used vehicles. Ohio’s Lemon Law, for example, primarily protects qualifying new vehicles when serious warranty-covered problems occur during the first 12 months or 18,000 miles.
Ohio drivers can learn more about those protections and their limitations in this guide to Ohio Lemon Laws.
For used vehicles, the situation can be very different. A vehicle sold “as is” may leave the buyer responsible for repairs that appear after the purchase, depending on the circumstances. That makes understanding the warranty and inspecting the vehicle beforehand especially important.
Consider the Cost of Ownership
Purchase price is only one part of what a car costs.
Insurance premiums can vary considerably between vehicles. So can fuel economy, maintenance costs, tire prices, registration expenses, and depreciation.
A slightly more expensive vehicle with a strong reliability record could ultimately cost less than a cheaper vehicle requiring frequent repairs.
It is worth estimating at least the major recurring expenses before buying. This is especially important if you are financing the purchase because repair bills do not replace your monthly car payment. You could end up paying both at the same time.
Don’t Rush the Decision
Car buying becomes more difficult when you feel pressured to make a decision immediately. A vehicle may look great during a short test drive but reveal problems after closer inspection.
Take enough time to understand what you are buying, how you are paying for it, and what protections come with the purchase.
The goal isn’t necessarily to find the cheapest car available. It is to find a vehicle you can reasonably afford that is also likely to remain dependable after you drive it home.