Tips for Buying a Second-Hand Car

Buying a used or second-hand vehicle is sometimes a better investment than buying a new one. Vehicles take their largest depreciation hit the first time they are driven off the lot (often 20 percent to 30 percent depending on the resale value). Buying a used vehicle allows you to avoid the initial loss taken on a new vehicle; however, there are important factors to consider when buying a used vehicle.

Opt for an Independent Inspection

Have the vehicle inspected by a mechanic you trust. It doesn't matter if the used vehicle is certified by the dealer or if it has low miles. A mechanic will check for signs of body work, frame damage or any unnoticeable mechanical issues. A vehicle can drive perfectly and still have underlying mechanical issues that you could get stuck with if you don't get the dealer to resolve them before you purchase it.

Use the Internet to your Advantage

The age of the Internet has opened many doors for consumers when they go car shopping. Utilize free information on vehicle values from Kelley Blue Book's and N.A.D.A's sites and Edmunds.com. Shop prices on similar vehicles with services like Autotrader.com, Cars.com or Vehix.com. Order vehicle history reports online through services such as Carfax.com or Autocheck.com.

Verify Maintenance Records

Verifying maintenance records can be simple or difficult. If the vehicle you are considering purchasing was locally owned and serviced, verify maintenance records with the vehicle's Vehicle Identification Number (VIN). Call local dealerships' service departments and ask them what records they have for the vehicle and what services they have performed. If records aren't available at the dealership, try some independent repair shops. It is not necessary to find every single service record for the vehicle you are looking at. What you are looking for is consistency in records. Not everyone has their vehicles serviced at the same shop every time, so do not be alarmed if you are missing a 10,000-mile service interval.

For out-of-town vehicles, utilize history reports to obtain the name of the city in which it was registered, and continue the search as you would if it were local.