3. Is the car worth the asking price?
Now you've worked out how much you can afford to spend on a car, it's time to turn your attention to how much the car you're after actually costs. No matter how you're paying, you want to make sure you're getting a good price.
We all know that cars depreciate in value based on age, miles on the clock, condition and more. With so many factors at play, it can be difficult to determine, based on viewings and test drives, whether or not a car is truly worth what the seller wants for it.
Before you jump in and make an offer, be sure to do your research. Look up what similar makes and models have recently sold for, and use a tool such as RAC’s ‘Value My Car’, which takes basic information to give you an idea of how much a vehicle is actually worth. If you’re buying a used car, the price will often be flexible, so once you’ve done your homework, don’t be afraid to bargain if you feel the asking price is too high.