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How to buy a car- Our step by step process

How to buy a car- Our step by step process

What’s up everybody, I’m Rob I’m Reshawn And this is learn hustle grow if you are interested in all things real estate personal finance and travel. This is the place for you in this video We’re going to talk about how we buy cars for ourselves and our family Let’s begin with preparation there are three steps you must execute before you begin to shop The first step before making any major purchase is to understand your credit score unless you are purchasing a car for cash You will need a loan your credit score impacts not only your interest rate, but also how much you’ll pay for car insurance Before you pursue a loan of any kind you should do the following Get your free credit report from Look it over and then you can dispute anything that may be a discrepancy Also use a service like Credit Karma to get an idea what your score is it also provides ideas on how to improve your score step 2 say for the down payment the Idea is to have a healthy down payment so that you keep your monthly payment as low as possible there’s nothing worse than having a large payment due when you are sick and unable to work or Should you be unemployed for any reason step 3 understand what you can afford? Contact a credit union for pre-approval before you shop for a car Well, you do have to be a member of a credit union. You can become a member at any time You can actually join the credit union just for the purpose of buying your car and getting the best interest rate Use an online loan calculator to estimate your monthly payments find out if your credit union will give you a letter of pre-approval Unfortunately every credit union you will not provide you with a written letter of approval However, this letter comes in handy. Should you find your car when the credit union is closed you? Will need to present this letter to the seller in order to dim three your ability to make the purchase Also part of understanding how much car you can afford is knowing how much your car insurance will cost? The only way to do that is by getting car insurance quotes. You can actually do this online or via telephone Whatever you do. Don’t let them run your credit that’s not necessary in order to get a quote They need an idea of what your credit score is You can actually give them the credit score estimate You received via Credit Karma if you can afford both the car payments and the insurance Then you can start shopping now We’ve covered the three things you need to take into consideration Before you begin shopping for a car Just to reiterate number one understanding your credit score Number two is the all-important saving for the down payment and number three Understanding what you can afford Let’s move on two things to consider when shopping for the right car while this process will work for a new car We actually prefer to purchase our cars two to three years old The reason we prefer to buy our cars two to three years old is because cars actually lose value the moment You drive them off the lot. We’ve all heard that also It’s been our experience that you get more car for your money when you purchase a used car you get more features and upgrades Versus the basic new car you might be able to afford if you can be flexible regarding things like the color of the vehicle Leather seats versus fabric you have the best chance of getting a great deal Step one in purchasing your car use sites like Kelley Blue Book or cars calm To research the price range for your preferred make and model Step two determine how much you want to pay for the car based on the fair market value? We emphasize this point because researching various websites can result in a fairly wide range on the pricing step 3 locate a mechanic that provides lymon checks a Lemon check on a vehicle can be a lifesaver in our experience. The price is range from 75 to 150 dollars per vehicle Believe me. It is worth every dime in order to avoid getting a crappy car indeed Step 4 in the car buying process is to prepare a forum email You’ll send the same exact email to every dealer you find online Who has your preferred vehicle in stock? The email should inquire about your specific vehicle car dealers often advertise loss leaders in order to pull you in a loss leader is an Incredible deal on a great car to get your attention But if you call you will find that that vehicle is actually no longer available This is why should always ask the dealer if that specific vehicle with the VIN number is in stock ask the dealer if they have any issues at all with you taking the vehicle to your mechanic to have it inspected a Dealership who takes pride in the quality of the vehicle that they sell will have absolutely no issues You should however be prepared to leave behind a copy of your driver’s license because you are essentially taking the vehicle In your email tell them that you’ve already been pre-approved and you are ready to make a purchase An example of what your email might include the make and model of the car. So a 2016 Nissan Altima with less than 50,000 miles for the price of $15,000 with tax title and license included now. I haven’t checked current pricing on this vehicle. So cut me some slack Make sure there’s a clean carfax report and you have two sets of keys or remotes for the vehicle Don’t go see the car unless the dealer agrees to these terms If they make you complete in the online form use your real email address and fake phone numbers There is absolutely no reason to speak with a salesperson until you reach an agreement online step 5 in your car buying process Be patient. Remember you have the power the car salesman needs to sell a car It’s important to remember that you have options send your form email to ten dealerships within 50 miles Also, don’t be afraid to work with a small dealer often a small dealer has more flexibility to work with you on your desired pricing and the terms If you are in a rush, you will not get a great deal. Some dealers will respond that you were being unreasonable Delete that email cut off all contact from that person he or she is unwilling or unable to make a deal Now that you’ve gotten through the most challenging part the online or email Negotiating and you have found a dealership who is willing to agree to your terms You are in the process of actually purchasing your vehicle The first step is to pick up the vehicle and take it to the mechanic Once the mechanic has given you the green light call your credit union and let them know that you’ve found your car Step 2 in the actual purchasing process is signing for the car You want to make sure you schedule your signing when you have time to review the paperwork? You should not feel rushed You want to make sure that the documents you’re signing match everything that you have actually agreed to in the email negotiation process While we want to believe the best in everyone It is important that we read the documents to make sure that there is no confusion or misunderstanding Regarding the terms Confirm that the VIN number on the paperwork matches the car fax and on the actual car Come with money order or cashier’s check in hand for your down payment The dealer will then contact the credit union for the financing terms of the vehicle Congratulations, you just bought yourself a car. Yeah You can do this the more prepared you are the more confident you will be if you liked this video, please subscribe We hope you learned something Thanks for stopping by until next time this is learn hustle grow

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2 thoughts on “How to buy a car- Our step by step process

  1. Saw the BiggerPockets interview. You two are a great inspiration as my Wife and I are preparing for a move to an area with a cheaper cost of living so we can begin to purchase real estate. Looking forward to more videos!

  2. Great work! Life long car guy here and only buy used. We have quite a stable including an Abarth, a Z28, and an M5.
    You two inspire me as I work to convince my wife that this real estate stuff will all work out.

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