How to Buy Cars Online
You may be able to save some money by finding out how to buy cars online. There are many reliable online resources to choose for buying both new and used cars. Before you buy a car online, do some research to determine the true value of the car you want. This will help when the time comes to negotiate the price, since you will know the high and low book value for the car.
- Use a search engine to find a car valuation website. Find the car you want to buy, and put in all the specifics about the car to generate a valuation report. For example, if you decide the car you want must have anti-lock brakes, sport wheels and a moonroof, add those extra features to the base value of the car. The report will show a range of different values, depending on whether the car is new or used.
- A new car report will have a dealer invoice price, and the MSRP. The MSRP is short for Manufacturer’s Suggested Retail Price. Dealer invoice is what the dealer paid for the car to obtain it from the manufacturer. When you buy cars online, you can often get a new one for a price well below MSRP. This is not always the case when you buy a new car from a dealership, since you will have to haggle face-to-face with a persuasive salesperson.
- A used car valuation report usually has four different prices. Depending on the website you are using for the valuation report, the prices can show the rough, average or clean trade-in values, and the retail price. When you buy cars online, you will not be able to test drive the used car you want if the seller is located too far for you to travel. You can, however, refer to the used car valuation report and make your offer based on one of the four price values.
- Now that you know the valuation of the car, find one online that is for sale. There are a number of websites you can check for cars online that are for sale. Once you find one that has the car you want, compare the asking price to the valuation report you pulled. Contact the seller and negotiate the purchase price.
- If you agree on a final price, make arrangements to pay for the car. Unless you are paying cash, contact a lender and give him the specifics on the car you are buying. He will tell you the amount he can finance, and you will have to let him know the payment amount you can afford. Once the loan structure is finalized, arrange to have the lender send the loan proceeds to the seller in exchange for the title to the car.
- Set up a time to take delivery of your car. Buying cars online may require you to have the vehicle shipped to your location, depending on where the seller is located. Once you have taken delivery of the car, inspect it to be sure there are no issues that need to be addressed. If the car is acceptable, contact your lender and let him know that the car is now in your possession.