Used car options

Used, or euphemistically, “previously owned” cars are found in every style, condition, and price range. Shopping often raises fear in shoppers, but possessing or seeking knowledge about used cars and vendors can lessen the apprehension and risk.

Barely Used

Budget allowing, a vehicle that is one to three years old, with 10,000-30,000 miles is a great value. Cars in this class are still under factory bumper-to-bumper warranties, and have seen their price shrink greatly from new. On average, a one-year-old has depreciated to two-thirds of its original sticker price, and a vehicle that is two or three years old can be purchased for less than half of the new manufacturer’s suggested retail price (MSRP). Cosmetics (paint, upholstery, trim), and model popularity are the main factors affecting value adjustments (amounts over or under “book”) in this category. Prices are generally $10,000 and up.

Well Usable

Cars and trucks in this class usually have 40,000-90,000 miles, and fall in the $5,000 to $10,000 price range. It pays to take a close look at these more used, and out of warranty vehicles. Besides cosmetic shortcomings, such as marginal paint and bodywork, mechanical defects are common. The complex systems in place on today’s cars must all work to have full value, as repairs can be so high. For example, faulty overdrive transmissions, airbags (SRS), anti-lock brakes (ABS), or engine head gaskets can easily bring repair bills of $2,000 each!

When test-driving a used car, pay close attention to how the automatic transmission shifts — either slippery or harsh shifts are not a good thing — any erratic performance should be questioned. Dash warning lights should not be illuminated — diagnose these situations before considering purchase. Manufacturers’ use of aluminum engine blocks and heads have accelerated the incidence of head gasket failure; overheating, or lack of passenger compartment heat can be warning signs of this malady.

Well Used

These cars sell, on average, for $3,000-$5,000, and usually have 100,000 miles or more on their odometers. There are still many good buys to be had in this category, as some have had necessary repairs and maintenance. Look underneath, and stay clear of those with major oil, coolant, or transmission fluid leaks. Bad braking characteristics (pull, squeal, or surge), engine running problems (improper idle, missing), noisy exhaust, or warning lights can make a good buy turn sour due to costly repairs.

Somewhat Used up

Cars that sell for under $3,000 are priced low due to old age, high miles, body damage, or mechanical problems — those available for $1,000 may suffer from all of the above. These vehicles are most appropriate for local driving, and by drivers with a tolerance or aptitude for maintenance and repair. If your budget falls in this price range, shop carefully for something with the least defects.

There are many outlets for purchasing used cars — let’s look at a few.

Franchised Dealer

These are the guys with the manufacturer sign out front. They may carry everything from “certified” vehicles with extended warranties to cheaper “as is” cars and trucks. Their certified inventory offers buyers peace of mind at a premium price, but expect to pay over established book prices for vehicles in this category. Even the non-certified dealership cars have usually undergone safety checks in the dealers’ service departments.

Independent Dealer

Today, these sellers range from one-person operations with a few cars, to huge stores that simulate franchised dealers complete with service departments. Contrary to the stereotype, most independent dealers are trying to offer the best cars within any price range that they can. If they have too many unhappy customers, they can’t stay in business long.

Private Party

Individual sellers advertise in the classifieds, picture magazines, and on the Internet. One may find every class of car from this source, but buyers need to be especially aware. Not every owner has auto expertise, so they may have a car with flaws and not even know it — they also have no business reputation to protect. There are plenty of good cars offered by private owners, but be vigilant!

Unlicensed Broker

This is one good reason to beware when dealing with private parties. In an illegal practice known as curbstoning, illicit “dealers” will often ask to meet you in parking lots to offer a car “belonging” to their “relative,” or some other far-fetched origin. Too often, these vehicles have salvage, or rebuilt title history — a fact that may or may not be disclosed. Dealer investigators spend a lot of time trying to curtail this practice, as it’s harmful to consumers and legitimate dealers.

If your car savvy is lacking, take your potential purchase to a trusted mechanic for evaluation. After that report, you may want to renegotiate price, keep looking, or budget for necessary repairs. Remember, there’s got to be a reason or two that used cars are cheaper than new ones.