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Thursday, 4 December 2014

Buying Used Cars: 13 Top Tips

Used cars South Africa
Used cars in South Africa
Jupiter has plenty of experience buying used cars, and this is what he has learned from years of practice:

1.  Check a private seller really is a private seller. When you call them, simple say you are ringing about the car. If they are actually a trader, they will have to ask which car.

2. Do your research. There is an online forum for almost every car ever made. Google ‘[name of car] forum’ and ‘common problems [name of car] forum’, without quotes. Have a really good read through to see what the recurring problems are, then find out how much it could cost to fix them. Not only is it good for knowing what are the problems that you might find, it’s also great for talking to the seller. Saying things like, “oh, this model had problems with the front lower wishbones” puts the seller on the defensive, even if you don’t actually know what that means.

3. Control your emotions. You may have been longing for one these cars for years, you may love the look of the car in the ad, and imagine yourself being the wheel of your dream machine. Jupiter says this: calm down, don’t get ‘shiny car syndrome’. You are about to make one of the biggest purchases you will ever make, and it may turn out to be a money pit, or, even worse, a death trap.

Used cars India
Used cars in India
4. Talk to the seller. Use the telephone, not email. Buying used cars is like doing detective work.
You need to hear the sound of the seller’s voice, to be able to use your intuition about their honesty. Ask questions that are already answered in the advertisement, see if their story changes. If they are being honest, they will answer quickly, if not they may have to pause, and contradict what they have written.



5. Be a man. This will get Jupiter in trouble, but, sorry, the World of used cars is still a sexist place. Of course a woman can take a man along with them. But then, if a women can get better informed than a man, then that might work to her advantage. Being confronted by a women who is better informed than him, a male seller can be caught off-guard, and that’s what we want.

6. Look the part. Anyone selling bad used cars doesn’t want a mechanic to show up. So make sure you look like a mechanic (at least a bit). So, dirty jeans, work boots, old T-shirt, that kind of thing.

7. Perfect your acting skills. If you have arranged a time to see the car, then presume you are being watched as you arrive. Stop, very briefly, by the car if you pass it, then, if your acting skills are up to it, look it over, look a bit unhappy and shake your head slightly. If you don’t feel confident doing that, just walk past the car like it is not there.

8. Judge the people. When you are buying used cars, you are buying the actions of the previous owners, how well they have maintained it, how they have driven it. Especially if you are buying privately, what do these people look like? Is their yard or garden clean and tidy?  Do they look sensible and organised? If they are, they are more likely to have treated the car well.

9. Stay cool. Remember, prices of used cars are dictated by supply and demand. The seller is out to prove supply is low and demand high, you need to show demand is low and supply is high. At no point must you let on that this car is your heart’s desire, even if it is. So never say things like ‘I’ve been looking for one for a long time’, or ‘these are rare in this color’. Do say things like ‘I’ve seen a few like this’ and ‘I saw one just like this for sale on the way here’. At the same time, don’t try to make out the car is a heap of junk if you know it’s not. If you offend the seller, they are less likely to give a good price when it comes time to bargain. Be polite, but don’t let them know how you feel. Pretend you are playing poker.

10. Paperwork first. Remember buying used cars is like doing detective work, and any detective will tell you that the job involves paperwork. Also, the seller wants you to go and catch shiny car syndrome by looking at their awesome machine. So, look at any documents that come with the car first. If it’s private, check the owner’s document matches the address you are at, and the name matches the people. Check any service history and make sure the documents are actually for that car. If miles or km’s are recorded, look to see if there are any jumps, forwards or backwards (!). Check to see what parts have been fitted, and how long ago. Then, when you have completed your forensic investigation, hand the paperwork back to the owner. I’ll explain why later.

11. Looking at the car. Now, at last, it is time to actually look at the car. You should have made sure you are viewing in daylight, if the car is in a garage ask the seller to move it out for viewing. Walk around, checking the bodywork thoroughly. Make sure the paint color on all of the panels matches perfectly (this is one reason you need daylight). Check to see if the engine is warm, ideally it should be cold, unscrupulous sellers can warm the engine up to mask the noises made by a worn engine. Get in, and systematically make sure everything on the car works, heater, A/C, windows, lights, everything. While you do this you shouldn't be talking to the seller, keep your poker face. Silence will make them nervous, which is what you want.  Check under the hood, and look underneath (you should have brought a small torch). Be thorough, take your time, even if you are not an expert you must look like one, and remember your research.

12. Test drive. Take the car out for a drive. Make sure you use a mix of different roads if possible, including a highway so you can test the car at a higher speed. Listen of any clunks, squeaks, and other unusually noises. Let the owner chat away and ask questions if they want, but make sure you responses are short, calm, and non-committal. When you get back, make sure you lock the car and hand the key back to the owner. This is important; if you keep the key and keep the car open you are saying ‘I have made my decision, I’m getting ready to drive away’. By locking and giving the key back, you are telling the seller they still have to convince you. That’s what you were doing with the paperwork earlier.

13. The bargain process. If you have done your job right, by now the seller should be very unsure about your intentions. Good, that is exactly what we want.  When it comes the making your first offer, it’s tricky. Ideally you should start with an offer far lower than the advertised price, then when the seller meets you halfway you got yourself an excellent deal. But if you over do it, the seller may get offended and refuse to continue. This is where your people skills come in; you should already have been trying to ‘read’ your rival here, and should have made a judgement about how far you can go. When the seller counters your offer with a higher price, this when you counter with the list of faults with the car that you have been mentally making. This is where your thorough research and inspection is going to pay off. If you can say something like ‘that knocking noise sounds like it is part X which will cost Y amount of money to fix’, then it gives you a reason to knock that amount off the price. This process may happen a few times before you get to the right point. Again, your people skills should tell you when you’ve reached that point. If the seller looks comfortable making a counter offer, and makes it quickly, then that tells you they can probably go lower. If they look uncomfortable making the counter offer, and take a while to do it, then that tells you that they are reaching their limit.

When you get to a point where you are both happy (or happy enough) then, if you want it, hand over the cash for the car. Congratulations, you are now the new proud owner of a bargain used car!

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