back to articles | December 31, 2018 | Dale Peterson

Categories: Buying & Selling Cars Vehicle & Buying Research

Buying a New Car

New Car Buying Details

If you're shopping for a car, and dread the prospect of dealing with an aggressive salesman, read on. There are other ways to buy a new car.

Buying a New Car: Step by Step

No matter what model new car you want to buy, buying a new car doesn't have to involve game playing and lots of gut checks. A new car is one of the largest purchases that we make. With the average cost of a new car well over twenty thousand dollars, it is more important than ever to do your research, find out new car prices, trade in values and get financing direct before you ever step on to a dealers lot.

Buying a New Car: Research

When buying a new car, always research Kelley Blue Book (can be found on the site under new and used pricing) for new car prices. If the price you're getting isn't close to KBB (Kelly Blue Book) or lower, you're not getting a good deal.

Research the value of your trade-in and whatever amount you may still owe on it. This is one of the most important factors involved with buying a new car. Equity that you have in your trade-in should add to your purchasing power. It's easy for car dealers to confuse you when it comes to how your trade-in equity affects the buying process. Use online auto loan calculators to help you plan your budget before you shop around. Talk to dealers directly over the telephone when buying a new car to make sure you're getting truly accurate competitive pricing information.

Buying a New Car: Financing

An absolute necessity when buying a new car is to secure financing by getting a new car loan. Many consumers don't realize that they do not have to get their car loan from the dealership. Securing car loan financing from an independent source is a great way to save when buying a new car.

Direct financing, meaning car financing secured by you without the help of a dealer, is a great bargaining chip. What it usually means is that you can save up to $1,500 on average of the cost of your new car loan. That's savings that goes directly into your pocket. The key is to get your car financing prearranged before you ever step onto the dealer's lot. Walking on the lot with a guaranteed loan gives you more options and can help you avoid common surprise costs that seem to get added when dealing with car dealerships.

Buying a New Car: Financing Options

It's a great idea to apply for new car financing before you go car shopping. At you get multiple loan offers direct from lenders, offering the lowest APR and costs that you can get. Financing direct provides many more, often better, financing options than from a dealership. Know your budget and loan terms ahead of time.

Online lenders offer competitive financing rates, flexible options and fast approvals. Again, provides you with multiple offers, for good, bad or no credit, accepting all applicants with their select group of direct lenders. Be ready when buying a new car with pre-approved lender rates.

Buying a New Car Online

Buying a new car online opens up a world of possibilities. Finding a new car online is like using a sophisticated version of auto classifieds. The major advantage of buying a new car online is your ability to search, sort, and check the marketplace without leaving home. While convenient, you may find online car options slim and located a long way from home. New cars also aren't necessarily any cheaper online, but the Web does provide a great way to research new car prices.

Buying a New Car: Considerations

What should I consider before buying a new car? Before you buy a new car you'll probably want to take a look at your finances. I'm assuming here that you will be financing at least part of your purchase. Let your budget help guide your decision on which new car you buy. It makes more sense than picking a new car to buy and then forcing it into your budget. After you figure out what you can spend each month you need to think about how much you can use as a down payment on your new car. These days it has become commonplace not to make a down payment. People are used to no money down or just trading-in. Unless you own your trade-in outright or have significant equity in it, you'll want to use at least some cash as a down payment on the new car. Any amount is better than nothing. Down payments will lower your monthly payments, save you money on interest and can sometimes earn you better rates on the money that you do borrow.