Do some research before you buy a car, is what experts will tell you; not because they want you to do some stupid stuff, but because they want you to avoid the hazards of buying a car. It’s crucial that you perceive these pitfalls whether you are shopping for a new car or a used car.

5 Top Car Buying Mistakes

1. Is there actually a deal
You have to understand whether you are getting a good deal or not. This you will have to know from the invoiced price of the car the auto dealer raised. Some auto dealers will confuse you regarding the price the dealer paid for the car and the price that has been invoiced to you. You have to understand the difference between the dealer cost and dealer invoice. For example, the auto dealer cost is the amount he pays for the car from which incentives and profit is deducted and overhead added. On the other hand auto dealer invoice is the actual price paid by the auto dealer to the manufacturer of the car. As you will see that auto dealer cost is not the minimum price.

2. How much to pay
When you are shopping for a car, it might happen that the salesman at the auto dealer, may convenience you to buy a car that is priced more than what you had budgeted for. He will present you with a deal that will have a monthly payment that will suit your pocket and you may even think of accepting it. But before you commit yourself to the auto dealer, do some calculation and try to determine the actual payout at the end of the monthly payment tenure.

3. Do you need the extras
In order to convenience you the auto dealer would offer you some extras, like extended warranty, with the deal that might not be attractive or you might find then unnecessary. You should weigh these extras before you take the final call. Some extra features like automatic transmission or safety features are acceptable since these can be used to reduce your insurance burden. Do some probing on this aspect.

4. What to choose – looks or safety
Some people put more importance on the looks of the car in order to derive satisfaction out of flaunting their car. But the important thing that should be kept in mind is the safety features of the car, the resale price that you may get when you decide to resell it at a later date. The maintenance cost of the car should also be taken into consideration when you decide to commit to the auto dealer.

5. Comparison shopping – is it necessary
It is a commonly known fact that prices of car differ from one auto dealer to the next. If you do some comparison shopping you will discover this fact, which means that you have the chance of finding a better deal. Therefore it is imperative that you do some comparison shopping before you commit yourself to the local auto dealer. You can use the web in order to search for the auto dealers who will give you a better deal.

While buying a car you will be able to learn what to look for and what to avoid, but it has been the experience of most that sticking to the quality and safety features of a car is the way you can have a safe ride.