How to Navigate the Used Car Market
Buying a used car instead of a new one is a great way to save money, but the used car market is fraught with peril. If you are not careful, you could end up with an expensive lemon instead of a reliable set of wheels. Here are seven red flags to watch out for the next time you venture onto a dealer’s lot.
Red Flag #1: An Inflated Window Sticker
Car dealers know that buyers will want to negotiate down from the window sticker, and they sometimes inflate the price to get what they want. Negotiating up from the invoice is the smarter strategy, so always research and find out what the dealer paid before you go shopping.
Red Flag #2: A Skimpy Warranty
Sometimes a dealer will price a car unrealistically low and make up for it by offering a skimpy warranty. A warranty that seems generous at first glance may be anything but-a 20,000 kilometre warranty that covers only the engine could still leave you with thousands of dollars in repair costs. Be sure to read the fine print carefully and ask for details if you have any questions.