How-to
How to Buy a Used Car Without Getting Burned
🇩🇪 Diesen Artikel auf Deutsch lesenSet a total budget including taxes, insurance and repairs, get a vehicle history report, check for open recalls, take a thorough test drive and pay an independent mechanic for a pre-purchase inspection. Arrange financing before visiting the dealer so you can compare offers.
New cars lose a large share of their value in the first few years, which makes lightly used cars a smart buy. The risk is buying someone else's problem. This checklist reduces that risk.
Step by step
- Set your total budget
Include sales tax, registration, insurance and a repair reserve, not just the purchase price.
- Get pre-approved for a loan
A pre-approval from a bank or credit union gives you a rate to compare with dealer financing.
- Research reliability
Check reliability ratings and common problems for the model and year you're considering.
- Check the vehicle history
Use the VIN to get a history report showing accidents, title problems, odometer readings and service records.
- Look up recalls
Enter the VIN on the NHTSA recall website to see open safety recalls.
- Test drive thoroughly
Drive on city streets and the highway, test brakes, steering, heating and AC, and listen for unusual noises.
- Get a pre-purchase inspection
Pay an independent mechanic to inspect the car. It often costs $100–$200 and can reveal costly problems.
- Negotiate and review paperwork
Negotiate the out-the-door price, decline unnecessary add-ons and make sure the title is clean and in the seller's name.
Dealer or private seller?
| Dealer | Private seller | |
|---|---|---|
| Price | Higher | Often lower |
| Financing and trade-in | Available | No |
| Warranty options | Certified pre-owned programs | Usually sold as-is |
| Paperwork | Handled for you | Your responsibility |
Frequently asked questions
What mileage is too high?
Condition and maintenance history matter more than mileage alone. A well-maintained car with 100,000 miles can be a better buy than a neglected one with 50,000.
Are extended warranties worth it?
Often not, especially from third parties. Read exclusions carefully and compare the price with setting the money aside yourself.