Recently I embarked on my journey to buying a brand new car! Ive been so busy with doing my research on a whole bunch of different cars and the cost of owning them. So ive had to take a break and go car shopping. Ive decided to take this intermission and share my experiences with you.

 

 

 

 

 

Before you even begin to look at cars a few things have to be established first, and only you can do this things, this is one of the first "adult" things most people do.

 

Establish your budget: I used to sell cars briefly and one of the biggest issues that arise after people find a car they like is that you have to break their hearts and tell them they cant afford it.

 

Establish a down payment: Save up enough money to put down on the car so that you can get lower monthly payments. If you already have a car, get it appraised so you know how much your car is worth so you can get the most value for your trade.

 

Establish your credit: Chances are you don't have $20,000 sitting pretty in your bank account. This means more than likely you are going to have to apply for financing. Credit is one of the most difficult aspects of buying a car to overcome. If you don't have credit, lenders are less likely to trust you on if you will pay for the car like you promised. It is very possible to walk into a car dealership with enough proof that you can afford the car, but they wont sell it to you if you have no credit. Then you will have to burden someone to be your Co-signer, this person that will become responsible for your loan if you can no longer make payments. If you have bad credit it means they are taking a risk because of how you managed your money in the past.

 

Establish New or Used: There are pros and cons to buying a new car and a used car. You have to decide for yourself which is best for you. The obvious benefits to buying a new car are very apparent. But those very pros can become the things you hate about your car a few years down the line. Used cars are cheaper but they have been used by someone else for half of their life. Everyone driving habits are different and those habits if bad, can increase the wear and tear on a car in ways that may not be so obvious.

 

Establish your Wants and Needs: What kind of car do you want? A 2 seater? A sedan? Maybe a 4X4? If you know what kind of car you want it gives you a place to start when you begin looking. What do you need your car to do? When you decide what kind of car you NEED what you want may not mesh well. If you live in the city and you want a big 4X4 SUV, if you cannot justify the need for such vehicle you may find yourself resenting your choice later on.

 

Establish an Insurance Quote: Insurance is a necessary of buying a car. By law, you cannot buy a car from a dealer without insuring it first. Unfortunately if you are not careful in choosing the right car Insuring it can be more difficult than actually purchasing the car. Insurance is one of the biggest areas where people can get scammed out of their money. New cars cost more to insure than used cars. If you buy a new car you must carry a higher amount of insurance because if you are still making payments technically you don't own it yet. Two door coupes are more expensive to insure than regular sedans and SUV's and trucks are more expensive than both. Insurance factors many other things you cannot control such as your Zip Code (if you live in a high crime area your car will cost more to insure), your age (younger people are more likely to be "Reckless") Your Gender (Boys are more likely to street race than girls thus insurance rates for men are higher than women) and the age you got your license and how long you've had it (some people get their license at 16 while others may get it at 21, the longer you've had your license with no accidents and tickets the lower your insurance will be). Some companies offer lower rates than others, shopping around for good insurance is a process in of itself.

 

 

 

 

 

Beginning your journey: Once you've decided to begin now you need a place to start shopping lets start with those who are looking to buy a new car.

 

First understand that dealerships operate independently of the manufacturer, typically large companies called Auto Groups run multiple dealerships in one area and typically offer the same buying experience and prices. Darcars, Koons, Passport and Pohanka are examples of Auto Groups. Now you have to choose a manufacturer. Which car company builds cars that catch your eye? Which one builds cars you can afford? Which company builds cars that last? These are all things to take into consideration.

 

I narrowed my choices to Ford, Toyota and Nissan. I have owned two Toyota vehicles (1993 Toyota Camry and 2003 Toyota Rav 4) which have lasted well beyond the 100,000 mile mark. I have had good experiences with Toyota and it is well known how long their vehicles last. Toyota vehicles are also cheap to repair when things do go wrong and almost any mechanic can work on them (opposed to say Mercedes-Benz or BMW). Nissan's styling department is very good at making cars than you want to be seen in and like Toyota, Nissan vehicles have legendary reliability. However, I stopped looking at newer Nissan models because of the limitations of Transmission options. All new Nissan models feature Continuously Variable Transmissions (CVT) which have awkward characteristics and do not mesh well with everyone's driving habits. Theses Transmissions are prone to wear out faster than normal because of their tendency to shift gears more frequently, they also require special expensive fluid and are costly to repair. I decided on Ford because they produce my favorite sports car and an American Icon..... The Mustang..

 

 

 

 

 

During the 2009 economic collapse Ford was the only car company that did not take Federal Auto Bailout money. Ford restructured and recovered on its own. Prior to 2009 most Ford models were built in Mexico and this was hard to ignore. Ford closed its plant in Mexico and revamped its production at its plant it Michigan where quality control was easier to monitor. My dream car had finally arrived and i wanted it so bad i went and test drove it without crunching the numbers and my dream shattered. here is some advice so your dream car doesn't crush your spirit.

 

Understanding trim levels: The Ford Mustang comes in 6 trim levels divided into groups meant to appeal to people who have different wants and needs. Trim Levels are different versions of the same car that include or exclude certain features which effect the final price of the car. One version may be cheap and basic while the top of the line model features all the bells and whistles everyone wants.

 

The V6 Mustang is the base level of the lineup. It features Ford's SYNC hands free feature which allows you to make commands using your voice, a backup camera and that's about it.

 

The EcoBoost Mustang is a new addition to the Mustang line which keeps fuel economy at the front of its concerns. Its fuel saving engine makes it more expensive than the V6.

 

The GT is the Mustang everyone wants, it features the loud and powerful V8 engine and more exterior styling embellishments. This Mustang variant includes everything the lower trim levels have plus the 5.0 V8 engine.

 

The GT Premium is the Mustang everyone puts on their wall. It also features the big V8 engine and also includes every feature offered. These have bigger wheels, more color options, a body kit and rear spoiler, fog lamps and most importantly Ford's infotainment system called MyFordTouch or SYNC 3 which is only included in top Ford trim levels.

 

After reviewing the numbers i realized that i could only afford the V6 Base model which i loved and hated. One the one hand its a mustang, on the other its a very boring car that had no extra features. Along with this the cost of Insuring a Mustang is very high. My car insurance would have been more than my car payment.

 

I decided what i really wanted was a higher trim level in a car that would keep my attention for a long time while also being fun. The MyFordTouch system is what i really wanted. I began to look at the new 2015 Ford Focus.

 

 

 

 

 

The new Focus finally gets the "Aston Martin" grille and front fascia that have made Ford popular again. The Focus is a small/Mid-size car that that stacks up much better than similar cars offered by other manufacturers. The Focus comes various trim levels and is available in a 4 door sedan and a 5 door hatchback. The Hatchback is more expensive and more popular but i prefer the sedan.

 

The Focus S is the base model and is basic simple transportation and features no additional features and comes with steel wheels with hubcaps.

 

The Focus SE comes with 16' painted aluminum wheels and comes with Ford Sync as an option. The SE also features automatic headlights.

 

The Focus SE Hatchback comes with the same as the SE but in Hatchback form and also comes with a rear spoiler the sedan doesn't get at this trim level.

 

Focus Titanium is the premium trim level for the Focus. It comes with a Sony 10 speaker premium audio system with sub woofer, Sync with the MyFordTouch system, Heated front seats, dual zone climate control, push button start which somes with a smart key fob which can start and control the car without being near it. These models also come with a rear parking sensor to assist with backing. Titanium also comes with more wheel choices, fog lamps and a rear spoiler.

 

Focus Titanium Hatchback is the same as the sedan but comes with a removable rear tray for the rear cargo area.

 

The Focus ST is the performance version of the Focus and comes with a high output engine, a 6 speed manual transmission it comes with the Sync and MyFordTouch system as an option, bucket seats, a leather wrapped steering wheel, a front grille and fog lights unique to only the ST model, the smart key, removable rear tray and rear spoiler. The ST is only available as a Hatchback.

 

Focus Electric comes with most SE and Titanium features and is own such as regenerative braking and its own mobile app created by Ford.

 

Once i decided which features were most important to me i decided that the Titanium was the one for me.

 

 

 

Like most car manufactures Ford invested in creating an "infotainment" system for its cars. Ford contracted Microsoft to develop this technology. MyFordTouch takes most of the physical buttons off of the dashboard and puts the functions into a large 8 inch touch screen.

 

Divided into 4 quadrants the system controls Phone pairing, Navigation, Radio/Entertainment and Climate.

 

After crunching the numbers, i could afford the Focus Titanium and its a reasonable price to insure. I will be purchasing mine tomorrow.

 

But before i locked myself a new car... i looked at the exact same car but one that was Used.

 

 

 

I looked at the same car used which had many of the exact same features i wanted. The one i looked at was a 2012 model with 60k miles. Fairly low mileage and similar pricing for insurance made me consider this car for a long time. However after reviewing the numbers i found that the numbers for the same car used and new were so close that it would be better to spend $50 more a month for a new car. I also ran the carfax on the used car and found it had been involved in a minor accident.

 

This is one case where buying new may be a better option.

 

Buying Used: means that you need to be a bit more knowledgeable because you accept some risk when taking on a car owned by another person. If the previous owner did not maintain the car well you may find yourself stranded on the roadside because of a breakdown. The biggest thing about buying a used car is the source...

 

Buying from a used car dealer: should give you a bit more security because there is a chance for at least a 30 day warranty. Most larger used car dealers like Carmax only put cars on the lot that pass a difficult inspection. The bigger used car lots tend to have more expensive used cars because of this but this can give you piece of mind that your car will last for years to come. These dealers can also work with you to find a car that fits your budget and will give you financing options.

 

Buying a used car from an individual: carries the most risk and it is only advisable under certain circumstances. The most common way this is done now is on Craigslist.com. Craigslist is a web based classifieds section where people post their car for sale and agree to meet up with you so you can look at it and buy it. I have done this several times but my criteria was just having A to B transportation. If you just need a car to get you from place to place for less than $1000 this is a fair option. But when your car breaks down you will need to repair it yourself. If you do this i suggest finding a mechanic or family friend knowledgeable about cars to go with you. Pay a mechanic a few dollars to go with you and look at the car to make sure its in good condition. The most important thing to note when you buy a car from an individual is the law. Buying a car this way is considered an "As is" sale meaning if something goes wrong the seller is not obligated to fix anything unless specified in a contract. You are given limited protection when buying from a used car dealer because most states have "lemon laws". These laws state that a dealer must buy back a used vehicle if it experiences severe obvious mechanical or other difficulties within a 30 day period. Buying from a guy off the street doesnt give you this protection.