Some Helpful Tips Before Buying a New Car

Cars are almost essential when living in a big city like Singapore. While commuting and public transportation aren’t bad choices to go around the city, nothing beats the freedom in movement and destination that private vehicles provide. However, as we all know, buying a car won’t be easy due to a lot of factors such as expenses and similar externalities. Before you decide on buying a new car, here are some tips.

1. Set up a budget

This is the first thing you need to do. How else would you know the price range of cars you’d look into if you are unsure of how much you’re willing to spend? In setting your budget, make sure to take into consideration your other domestic expenses and see to it that not more than a quarter of your income goes into the car.

2. List down and research choices

You now have to list down some car choices that fit into your budget. Research the specifications of each choice and see which of them fits your preferences.

3. Know the pros and cons of dealership loans

Make sure to go around town first and ask several lending institutions before accepting the financing scheme at the car dealership. Some banks and lenders may actually provide lower interest rates and better payment schemes.

4. Look into the cots of owning a car

Owning a car isn’t a one-time expense. There are a lot of other things you’d have to pay for (taxes, fuel, maintenance, etc.). If you add up all of the potential expenses you might incur, you may realize that owning a car is actually beyond your budget.

5. Hands-on

Don’t be afraid to ask for a first-hand experience of driving the car. Despite knowing all the specifications and technical aspects of the car, you’ll never know how driving in it feels like unless you actually get in the driver’s seat. So you might want to ask your dealership for a test drive if they’re willing to.