How to Buy a New Car

Buying a new car is a little like a game show. Choose the right door and you win your prize — a sweet deal on new cars. Choose the wrong door and you’ll lose money and hate the shopping experience. Navigating the car-buying process has never been easier, thanks to the transparency created by the internet.

1. Set your budget

Start by deciding if you want to pay cash, take out a loan, or lease your new car. Paying cash makes your budgeting process pretty simple, but don’t spend all your savings. And remember that you will also have to pay sales tax, registration and insurance. Use the NerdWallet auto loan calculator to figure out the right monthly payment and down payment.

2. Choose the right car

Now the fun begins — buying the new car for you. Think about how you plan to use this car. For example, if you have a family, you’ll want enough room for everyone plus ample cargo space. If safety is a top priority, check out the Insurance Institute for Highway Safety for crash tests.

3. Check reliability and ownership costs

You want to make sure to choose models not only for their dependability but also for their low cost of ownership. Consumer Reports and J.D. Power collect maintenance reports from owners and rate all cars for reliability.

A closely related issue is the total cost of ownership. To buy a new car，Some cars are cheap to buy, but will cost a lot in the long run because of insurance, maintenance, repairs and depreciation. Several automotive websites — such as Kelley Blue Book’s Five-Year Cost to Own or Consumer Reports’ Cost of Vehicle Ownership—show estimates of these expenses. It may be wiser to shell out a bit more money upfront when buying a car.

4. Test-drive the car

Ideally, you want to test-drive all the new cars you’re interested in buying in quick succession so that the impressions will be fresh in your mind for comparison. Consider setting aside a morning or afternoon for the process, and, if possible, do it mid-week when the dealership isn’t too busy.

Rather than just walking on to the car lot, call ahead and schedule an appointment with the internet sales manager. That way, the right model will be pulled out and ready to go.

Select a test-drive route that has a bit of everything: hills, rough pavements, curves and even a stretch of highway.

5. Locate your car

Maybe one of the cars you tested meets your needs and is the right color. If not, you will have to search local dealerships until you find the right car.

Nearly all dealerships list their entire inventory online. But if you’re searching for an unusual color or option combination, you can use sites that cover an entire region — or even the whole country. Many new cars are listed on sites such as Autotrader.com or CarGuru.com. Manufacturer websites might also allow you to search a broader area rather than individual dealerships. Keep widening your search area until you find exactly the new car you want.