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Car Buying Tips from a Car Dealer

Buying Cars from a Car Dealer or Dealership

Use Car Dealer Near Me to find car dealers or dealerships near you.  Buying a new or used car could be the first or second biggest purchase in your life.   Buying a car for personal, practical or business reasons is for anyone who is looking to use the car for personal travel (visiting friends and family, casual driving or driving holidays), business purposes (driving for work, carrying goods and supplies or making deliveries), or for those who are simply planning to replace their existing car.  However, it’s not something to be taken lightly as it could cost you hundreds if not thousands of dollars by making a poor choice by not doing enough research.  When it comes to investing in a new car most people prefer to approach a car dealer or dealership whereas for used cars buyers can opt for dealers, private sellers or auctions. Here you can discover some of the important factors to keep in mind when it comes to choosing a car, car dealer or dealership.

Tips for Purchasing a Car from a Car Dealer


Check online for some car brands, makes and models that may be of interest and ask family and friends for their car experiences and advice.  Once you have decided on a few makes and models you should find and read the respective car reviews or if you prefer you can also find video car reviews to watch.  You should also have an idea of what the different car models cost brand new and second hand so that you have this information when negotiating with a car dealer.

Car Dealer Reputation

An important element to take into consideration at the time of purchasing a used or new car is whether your preferred dealer is reputed or not.  You can check a dealership reviews on most online platforms and also via social media.  A “Google My Business” or “Facebook Business Page” should be able to give you an idea of their reputation.  It is also worth bearing in mind that most people tend to leave a bad review as opposed to a good review but reviews have become a very useful tool for consumers.

Car Resale Value

If you are planning to buy a car and only own and that you can sell after having driven it for a few years, then look for a car dealer that can provide you with a vehicle that has a high resale value. This implies that you need to purposely invest in a car that you can resell or trade-in for a good price for when you want to purchase another vehicle.

Vehicle Financing

Financing is another important element for buying a new or used car unfortunately getting car financing or a car loan for a used car is not easy.  There are a number of ways to get and types of car financing and car loans, you could approach the dealer, your bank or financial institution, loan brokers, etc.  As with any financial decision you should always talk to your accountant or financial advisor where possible.  You should also fully read and understand any financial documents or contracts before signing them.

Auto Insurance

Before you acquire the ownership of the vehicle, don’t forget to get the car insurance for the same. In fact, you should ideally compare between 1 and 5 quotes from different car insurance providers to narrow down your decision.  Car insurance is not straight forward and you should understand what type of cover you want and the associated premiums and excess amounts payable.  As with car financing talk to a professional or advisor if possible and once again you should also fully read and understand any insurance documents or contracts before signing them.

Car Price

This is the most important factor to be considered at the time of choosing a car as it needs to be in your budget and that you can afford any car financing or car loan repayments. In case you are searching for the best priced car then check with the dealer what cars he has in your budget range then determine which cars are in good condition and are worth starting the negotiation process.  If you are purchasing a new car then you should try and get a quote from 3 car dealers near you and see if they can offer you a better price or extra’s or add-ons.

Inspect the car

You need to carry out a detailed inspection of the car both inside and outside.  If you don’t feel comfortable doing this yourself and don’t know someone who could help, you could find a local mechanic or get a motoring association like the NRMA to send out a mechanic to check the car for you, this is not free and could cost a few hundred of dollars.

Test Drive

No matter what you do, don’t forget to test drive the car before purchasing it from a car dealer.  Remember, a test drive is important to determine whether the car is in proper condition and if you are comfortable driving it.  Take your time with the test drive and if possible get a family member, friend or a mechanic to come with you.

Car History

Check the cars registration and service history is in order and if there is any outstanding debt owing on the car.  You could also purchase a car history report which could provide you with this information and more.


Check your relevant state and territories regulations in relation to buying and selling a car regarding for example warranties and cooling off periods.

Documents and Paperwork

Make sure all the documents and paperwork of the car purchase are intact and that the car dealer gives you copies of everything so that you don’t find yourself in any kind of trouble later.

Conclusion: Buying a car is not as simple as it seems, so a quick recap: 
  • take your time and do the research
  • find a car dealer that gives you a good price and service
  • get the right car insurance cover
  • make sure you have copies of all the paperwork
  • inspect the car before taking ownership
  • Happy and safe driving!

Here are some Australian Government Resources for buying and selling cars by state:

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