Buying a Used Car

1
Buying a Used Car

2
Finding a Car

• Know what you want
• Read reports, e.g., www.consumerguide.com

3
Finding a Car - Research

• ConsumerGuide.com/auto/used
• Sort by type of car full size (sedan), compact,
  SUV
• Provides recommended buy ratings and evaluations
  relative to other cars in same category
• Informs the vehicle life when it was made
  98-02
• Best buy is 99 or 00 in this case
• Primary Tech Features ABS, Passenger Airbag

4
Finding a Car - Research

• CG Automotive
•   Prices, Ratings and Reviews Used Cars Compact
  Car Reviews Ratings   Showing 50-56 of 82
  CarsPage 05 06 07 08 Show All Results
  
• 1998-2001 Nissan Altima Reliability
• 1998-2001 Nissan AltimaEnlarge     Class
  compact car Price Range 4,000-10,400 Built
  In USA Value In Class 6 (what's this)
  12345678910  LowHigh   CG Award (what's this)
• Other Altima Reviews2005 Altima2004
  Altima2002-03 Altima1993-97 Altima
• Other Nissan ReviewsNew Car ReviewsUsed Car
  Reviews Find a Used 1998-2001 Nissan Altima

5
Research - Highlights of Car

• 1998-2001 Nissan Altima Highlights Model
  Levels/Engines/transm
• Nissan's compact sedan got a major restyling for
  1998, adopting a harder-edge appearance, in
  contrast to the rounded look of its predecessor.
  Slightly larger in size, though on the same
  wheelbase as before, Altima also got a mildly
  revised powertrain and suspension. Overall length
  grew by 2.6 inches, width and track by about 2
  inches. Head and leg room also grew a bit. Four
  models were available base XE, volume-selling
  GXE, sporty SE, and luxury GLE. A firmer
  suspension went into the SE, which also got
  standard alloy wheels, wider tires, rear disc
  brakes (instead of the usual drums), and a
  body-colored rear spoiler. The GLE included
  leather upholstery and a power driver's seat. All
  models used the same 2.4-liter dual-overhead-cam
  4-cylinder engine, producing 150 horsepower and
  mated to a standard 5-speed manual or optional
  4-speed automatic transmission. Internal engine
  changes aimed to improve low-speed power
  delivery, and the automatic transmission was
  reprogrammed for smoother operation. Antilock
  brakes were an option. Nissan claimed a 20
  percent increase in structural stiffness. Altima
  had been the company's best-selling U.S. model,
  fighting in the tight compact family sedan
  market. Rivals to the restyled edition included
  the Ford Contour, Mazda 626, and Mitsubishi
  Galant.
• Year-to-Year Changes
• 1999 Nissan Altima Few changes were evident on
  Nissan's compact sedan. The SE and GXE gained
  variable-intermittent wipers, and the GLE got
  standard alloy wheels. A power antenna now was
  included in the GXE's optional Security and
  Convenience package. 2000 Nissan Altima Just two
  years after a major redesign, Altima earned a
  thorough makeover. That included availability of
  front side airbags, standard in the GLE and
  optional for SE and GXE. The 2.4-liter engine
  gained 5 horsepower. SE and GLE sedans gained
  standard 16-inch tires, replacing the prior
  15-inch rubber. They also added a cross-car brace
  in the engine bay. All Altimas got revisions to
  steering and suspension, as well as fresh front
  and rear fascias, a new center console (with
  automatic transmission), and new rear cupholders.
  Antilock braking remained optional, except on the
  base model. A new Appearance Convenience
  Package includes the GLE's suspension and
  6-speaker audio system. Leather upholstery
  remained standard for the GLE, optional for SE.
• 2001 Nissan Altima No significant changes were
  made for 2001.

6
Research Road Test Review

• 1998-2001 Nissan Altima Road Test
• Review Updated 02.22.2005
• Pros
• Quietness, Ride, Passenger room
• Cons
• Automatic-transmission performance
• Consumer Guide Road-Test Evaluation
• Acceleration is little-changed from the prior
  generation--in short, nothing to shout about. Our
  test GLE ran 0-60 mph in a so-so 10 seconds with
  automatic transmission. The 2000 models should be
  a bit swifter. There's also little change in the
  transmission's reluctance to downshift promptly,
  or in its abruptness when it does. Our test GXE
  returned a somewhat disappointing 20.3 mpg, while
  our GLE averaged 23.4 mpg, despite hard city
  driving and performance testing.
• Expect a smooth, absorbent ride except on
  washboard surfaces, where minor wheel pattering
  disturbs the calm. Alas, the ride exacts a
  tradeoff in mediocre body control over big humps
  and dips, plus more body lean in tight turns than
  we prefer. Even so, Altima handling is
  competently agile, aided by quick steering with
  good feedback. Braking with ABS proved to be safe
  and undramatic, if unexceptional by today's
  standards.

7
Research - Road Test Review

• Unlike previous Altimas, the current generation
  allows 6-footers to sit comfortably in tandem.
  The cabin still is not wide enough for three
  adults in back, but leg, knee, and foot space are
  all good, as is overall head room even with a
  power moonroof installed. Front bucket seats in
  the 2000 models are more supportive and better
  bolstered.
• The dashboard is nicely laid out, with clean
  gauges and convenient, guess-free controls that
  complement a comfortable driver's post. Commuters
  should welcome the new console-mounted dual
  cupholders--much more useful than the rickety
  pull-out contraption of old. Visibility is good
  except over-the-shoulder, due to high tail
  styling and wide rear roof posts. Trunk space is
  good, but not great. A wide rear-bumper shelf
  makes for some back-straining reaches, and the
  lid hinges intrude into the cargo area. The cabin
  has plenty of places for bric-a-brac, though not
  accessible to rear seaters.
• Value for the Money
• Acceptably solid and well-finished, Altima
  remains a must-see for value-minded buyers, due
  largely to its low noise levels and soft ride.
  Trunklids have felt tinny, however. Though
  unexceptional, Altima ranks as a nice family
  compact--less bland after the 2000 revamp.
• Consumer Guide Road Test Ratings
• 1999 Nissan Altima XE/GXE Rating
• Performance6 Fuel Economy8 Ride Quality8
  Quietness8
• Interior Room6 Cargo Capacity6 Insurance Costs4
  Value within Class6 Total52

8
Research Reliability

• 1998-2001 Nissan Altima Reliability
• Trouble Spots
• Consumer Guide's Auto Editors have scoured
  repair bulletins and questioned mechanics to
  search for commonly occurring problems for a
  particular vehicle. In some cases we also give
  possible manufacturer-suggested solutions. In
  many instances these trouble spots are Technical
  Service Bulletins posted by the manufacturer,
  however, we have our own expert looking at
  additional vehicle problems.
• Keyless entry The remote keyless-entry system is
  difficult to program. (1998) Vehicle noise A
  broken BTV valve bracket causes a rattle under
  the hood. (1999-2000)
• NHTSA Recall History
• None to Date.

9
Finding a Car

• Know what you want
• Know what you can afford

10
Car Budget

• New Cars 20,000
• 3 to 3½ yrs 10,000 35-50k miles
• Usage cost 10k tax I for 3 yrs
• Years 4-6 6,000 50-85k miles
• Usage cost 4,000 tax I for 3yrs maint 500
• Years 7-10 3,000 85k
• Usage cost 2,000 tax maint 1,500
• Age is critical on cost, Years 5-7 are typically
  optimal

11
Finding a Car - Useful Life

• Know what you want
• Know what you can spend
• Determine the car life and miles you need
• 5,000 miles/yr for 3 yrs, you can handle higher
  mileage car
• 15,000 miles/yr for 3yrs, you will need lower
  mileage car
• Buy the portion of car you need (e.g., small
  town, older couple)
• Determine features you want
• The used car market discounts heavily for manual
  transmission, 2 wdr on SUVs

12
Finding a Car

• You are now ready to start looking for a car!
• Good sites for car buying
• - cars.com
• - autotrader.com
• - ebaymotors.com

13
Finding a Car Good Price

• Check the market price for the car
  www.autotrader.com
• Select about 100 mile range
• Grade levels, engines, features
• Write down prices to understand what the market
  is bearing
• Reference also Blue Book values
• www.kbb.com or www.nada.com
• 3 price levels - Lender, trade-in, retail levels

14
Finding a Car- Who to Buy From

• Choices
• 1. Large Dealer High margin, overhead, no
  history, easy to clean up car problems, higher
  accountability reputation in town
• 2. Small Lot Dealer - Medium margin, overhead,
  no history, easy to clean up car problems, low
  accountabilitymay move or go out of business
  tomorrow
• 3. Private Owner
• A. Keeps car like a baby or pet, follows manual,
  utilizes same mechanic, keeps maintenance records
• B. Functional maintenance, does not go the extra
  distance and is concerned about cost more than
  care
• C. Irresponsible owner no maintenance
  schedule, no records, careless, no clue about
  cars
• Private Owner type A is best bet to buy from!

15
Finding a Car via Phone Criteria

• Save time using phone interview elimination
  questions
• Develop a matrix to pull data from ads
• Car model, grade level, year, miles, cost, main
  features, plus elimination questions

16
Bad Car Elimination Questions

• Are you the original owner of the car? If not,
  how long have you owned it? Did you know the
  original owner?

17
Bad Car Elimination Questions

• Are you the original owner of the car? If not,
  how long have you owned it? Did you know the
  original owner?
• Who drove the car most of the time?

18
Bad Car Elimination Questions

• Are you the original owner of the car? If not,
  how long have you owned it? Did you know the
  original owner?
• Who drove the car most of the time?
• How many miles are on the car? How many of those
  were highway miles?

19
Bad Car Elimination Questions

• Are you the original owner of the car? If not,
  how long have you owned it? Did you know the
  original owner?
• Who drove the car most of the time?
• How many miles are on the car? How many of those
  were highway miles?
• Has the car ever been in an accident?

20
Bad Car Elimination Questions

• Are you the original owner of the car? If not,
  how long have you owned it? Did you know the
  original owner?
• Who drove the car most of the time?
• How many miles are on the car? How many of those
  were highway miles?
• Has the car ever been in an accident?
• Do you have all the maintenance and repair
  receipts?

21
Bad Car Elimination Questions

• When the car needed maintenance, where did you
  take it?

22
Bad Car Elimination Questions

• When the car needed maintenance, where did you
  take it?
• If you were going to keep the car, what repairs
  would you expect to have within the next few
  months? Years?

23
Bad Car Elimination Questions

• When the car needed maintenance, where did you
  take it?
• If you were going to keep the car, what repairs
  would you expect to have within the next few
  months? Years?
• After I look at the car, and if I am still
  interested, may I take it to my mechanic to have
  it checked out?

24
Bad Car Elimination Questions

• When the car needed maintenance, where did you
  take it?
• If you were going to keep the car, what repairs
  would you expect to have within the next few
  months? Years?
• After I look at the car, and if I am still
  interested, may I take it to my mechanic to have
  it checked out?
• How much rust is on the body?

25
Bad Car Elimination Questions
26
Bad Car Elimination Questions

• Places that tend to rust first
• - Around the wheels
• - Anywhere along the bottom of the car
• - Seams in the car
• Also check for bumper alignment
• If the bumper is not aligned properly, they
  have probably hit something.

27
Bad Car Elimination Questions

• How much rust is on the body?
• Why are you selling the car?
• Was the car kept in a garage or carport?

28
Carport
29
Bad Car Elimination Questions

• Was the car kept in a garage or carport?
• How badly worn is the interior?

30
Torn Seat

• Duct tape
• Look under seat covers if you can

31
Bad Car Elimination Questions

• How badly worn is the interior?
• Is your asking price negotiable? If not, why not?

32
Bad Car Elimination Questions

• How badly worn is the interior?
• Is your asking price negotiable? If not, why
  not?
• What options does the car have?

33
Options to look for

• Air conditioning
• Automatic transmission
• Power windows
• Power door locks
• Power steering
• Power brakes
• More options more potential problems

34
Bad Car Elimination Questions

• What options does the car have?
• Do you have the owners manual?

35
Phone Interview Questions

• 1. Are you the original owner of the car? If
  not, how long have you owned it? Did you know
  the original owner?
• 2. Who drove the car most of the time?
• 3. How many miles are on the car? How many of
  those were highway miles?
• 4. Has the car ever been in an accident?
• 5. Do you have a file of all the maintenance and
  repair receipts on the car?

36
Phone Interview Questions

• 6. When the car needed maintenance, where did you
  take it?
• 7. If you were going to keep the car, what
  repairs would you expect to have within the next
  few months? Years?
• 8. After I look at the car, and if I am still
  interested, may I take it to my mechanic to have
  it checked out?
• 9. How much rust is on the body?
• 10. Why are you selling the car?

37
Phone Interview Questions

• 11. Was the car kept in a garage or carport?
• 12. How badly worn is the interior?
• 13. Is your asking price negotiable?
• If not, why not?
• 14. What options does the car have?
• 15. What is the VIN (Vehicle Identification
• Number) so I can check
• www.carfax.com?

38
Important Principles

• Choose not to fall in love with the car or show
  that you are falling in love with it. This will
  affect your ability to negotiate a good price.
  As a seller, if I sense the person has fallen in
  love, I am not so willing to reduce the price,
  because I know they want to buy it.
• Trust that there will be other cars available!

39
What to look for

• Interior
• Condition sometimes indicates owners cleanliness
  and care
• Condition gives overall feel for use by family or
  single person

40
What to look for

• Exterior Care - Dents, scratches, dings - look
  down side of car

41
What to look for

• Tire wear uneven

42
What to look for

• Exterior
• Dents, scratches, dings
• Tire wear uneven
• Broken glass
• Lights
• - broken
• - water vapor on inside of lens
• - discoloration of lens

43
What to look for

• Function
• Oil leaks - look under car for oil on ground
• White milky oil stuck under cap

44
What to look for

• Function
• Oil leaks - look under car for oil on ground
• White milky oil stuck under cap
• Check oil and transmission fluid
• - Park on level surface
• - Leave engine running when checking
• automatic transmission
• - Turn engine off to check engine oil

45
What to look for

• Function
• Oil leaks - look under car for oil
• White milky oil stuck under cap
• Check oil and transmission fluid
• Dirty engine oil is black or dark

46
What to look for

• Function
• Oil leaks - look under car for oil
• White milky oil stuck under cap
• Check oil and transmission fluid
• Dirty engine oil is black or dark
• Check smoke from exhaust at start up
• (make sure its not blue or white)

47
What to look for

• Function
• Is the Engine Check light on?
• Are there any other warning lights on?

48
What to look for

• Function
• Is the Engine Check light on?
• Are there any other warning lights on?
• Check all accessories for operation
• - all windows, locks, power seats, etc.
• - all door locks and handles (stiff?)

49
What to look for

• Function
• Engine smoothness - rough idle?
• Noises/squeaks

50
Test Drive

• Engine noise change when shifting to drive

51
Test Drive

• Engine noise change when shifting to drive
• Smooth shifting while driving

52
Test Drive

• Engine noise change when shifting to drive
• Smooth shifting while driving
• Smooth steady breaking

53
Test Drive

• Engine noise change when shifting to drive
• Smooth shifting while driving
• Smooth steady breaking
• Smooth engine idle

54
Test Drive

• Engine noise change when shifting to drive
• Smooth shifting while driving
• Smooth steady breaking
• Smooth engine idle
• Pull car to each side in a circle and verify no
  noise

55
Buying the Car

• Talk them down!
• Asking price is not generally the least they
  will take!

56
Buying the Car

• Talk them down
• Find flaws in car

57
Buying the Car

• Talk them down
• Find flaws in car
• Complain about something

58
Buying the Car

• Talk them down
• Find flaws in car
• Complain about something
• Dont go alone! Bring a friend when buying the
  car

59
Buying the Car

• Talk them down
• Find flaws in car
• Complain about something
• Dont go alone - bring a friend when buying the
  car
• Ask a mechanic to look at the car
• Have a few cars in mind

60
Buying the Car

• Talk them down
• Find flaws in car
• Complain about something
• Dont go alone - bring a friend when buying the
  car
• Ask a mechanic to look at the car
• Have a few cars in mind
• Offer less and let them work up the price

61
Car Insurance, Title, DMV

• Car Insurance
• Once the price is settled, you will need car
  insurance to drive the car away
• You can check car insurance online
• Title see copy distributed
• Check for signatures, notary
• DMV - If title has not been notarized, then you
  both need to go to the DMV to process the title
  and get license plates

62
Congratulations on buying a suitable used car!