Many people believe that buying a car is the second most expensive thing in their life next to buying a house. While this can certainly be true, we believe that there are many different ways to cut down on the costs of your car and its monthly expenses to help keep your finances stable.
So here are a couple of reasons why buying a car doesn’t need to be as expensive as you might think.
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Common expenses can be reduced if you’re smarter with your car
One of the more expensive things about buying a car isn’t actually the cost of the car itself. That’s just a one-time payment that you can save up for and even finance. The real cost of car ownership comes with monthly upkeep expenses such as insurance, repairs, maintenance, and so on.
In fact, it’s not uncommon to spend a huge amount of money on your vehicle over its lifespan, making it a long-term investment that you need to plan ahead for.
So no matter if it’s your child’s first car or a new family vehicle, make sure you’re smart with your car and look for ways to lower common expenses. This can include keeping it well-maintained, ensuring you repair issues as quickly as possible, and actually using your car as little as possible.
Financing your car? Shop around for the best deals
Most people are going to look for car finance options to help afford their vehicle. This means you really need to start shopping around for better deals and looking at the different options you have.
You could consider taking out a loan with your bank, but there’s also the option of car financing with your dealership. They’re all going to offer different rates and it’s hard to compare all of the prices unless you get a quote from each of them.
Don’t think that buying used will always save you money
We know that cars can be expensive no matter if you buy them used or new, but used vehicles actually come with some hidden expenses that you might not be aware of. For example, some people don’t realize that a used car often has higher maintenance costs because the parts are a little older.
This means they might be more prone to breaking down or need to be serviced soon for road safety purposes. This can add on a fairly large bill to the cost of your vehicle, hence why it might be smarter to avoid buying a used car in some cases.
Negotiating the price can be an option too
Lastly, don’t forget that prices can be negotiated if you’re buying from a dealership. You probably can’t haggle a price down a lot, but you can try to get extra services and additional perks if the dealership offers them to you. There are also some situations where you can buy a new vehicle for much cheaper from the manufacturer themselves when they’re running offers such as 0% financing.