How to Shop Smart for Your Next Car

Besides your home, your automobile is likely the biggest purchase you will make in your lifetime. Like anything else in life, there is a right way to shop for a new car, and a wrong way.

Follow these tips from American Investment Planners, LLC to shop the smart way, and save thousands of dollars doing it:

• Determine your budget. Before you embark on your car shopping journey, you need to figure out how much you can afford to pay. Our online car affordability calculator is an easy-to-use, interactive tool that can help determine your ideal price point in just a few seconds.

• Explore your options. Don’t mentally commit yourself to anything too early in the buying process. Get the most out of your money by exploring your options. Compare different car makes and models, dealerships in your area, new vs. pre-owned, etc.

• Secure the loan before the car. The dealership isn’t the only option you have for a loan. In fact, many times it is the worst option. Shop around various banks, credit unions, and other financial institutions and get pre-approved for a car loan before heading to the dealership. Bring this information to the salesperson and see if they can match (or exceed) your other financing offers.

• Know the final price tag, and what it includes. One of the trickiest parts of car shopping is the extra charges and fees added throughout the process. What looks to be an affordable car can quickly exceed your budget after taxes, dealership fees, and the like. It is important to know not only the final price, but what the price includes. Some dealers will include perks such as an extended warranty, roadside assistance, or free oil changes for a year.

• Strike while the sales are hot. If you can afford to wait, don’t shop until the end of the model year – which typically starts around September. Dealerships need to make space for their incoming inventory, which translates into big time savings for the buyer. The holiday season (Black Friday through New Year’s) is also a good time to shop.

Budgeting for a new car can be difficult, but it’s not impossible. The financial consultants at American Investment Planners, LLC have decades of experience helping individuals and families just like you plan for life’s biggest expenses.

To schedule an appointment with one of our advisors, please call (516) 932-5130 or email info@americaninvestmentplanners.com.