First Car

[Billfred]

(Full disclosure: I work for a GM dealer.)

In the sub-$5,000 segment, you're probably best off minimizing your brand loyalty. Take sanddrag's advice and test it well. If you have a trusted mechanic, bring them along; if you're a take-it-to-the-dealer type, most will perform their used-car check for you at the standard rate (figure on $100, but call them first to confirm).

The market right now isn't going to be as rich as it was a few months ago due to the CARS program--regardless of one's views on the program, it means that nearly a half-million cars that were presumably worth less than $5,000* are now no longer on the roads. Even if you didn't want the cars that got scrapped, the folks who did are now going after the remaining cars. This might mean that your best deal is a few months off, but you'll know the local market better. Trust your gut.

Spoiler for On CARS trades being worth less than $5,000:

If a car was eligible for CARS but worth more than the voucher amount, the dealer and customer would process it as a normal trade-in instead. Some might've slipped through the cracks--GM, for example, offered 0% for 72 months for CARS customers, so the interest savings might've tipped the scales for some--but I know that most of our CARS trades were solidly worth less.

[Jay H 237]

Good points here and a few other things to consider,

Get the word out to relatives and friends, you never know if they were planning on selling or trading a vehicle in and may sell it to you instead. Generally they will be more apt to let you know if there's anything critically wrong with it. To be honest, in the under 5K price range with a 10 year old or more vehicle there is likely to be minor problems, you just don't want the major ones.

You're in Michigan too so keep the winters in mind with what you choose. A 2wd pick up won't be the best thing and a 4wd will hit you on insurance bad at your age. I drive a fwd 1997 Camry that I keep good tires on and for the most part have been able to handle the CT winters.

[Molten]

Originally Posted by Jay H 237

To be honest, in the under 5K price range with a 10 year old or more vehicle there is likely to be minor problems, you just don't want the major ones.

I'll second this one and add some minor problems can be good in buying a car. Mine still has no air conditioning, but the windows work and I got a much better deal then I would have gotten if the AC actually worked. The reason being most people need AC. If your willing to put up with something minor, it can lower the cost considerably. Just make sure it is something minor. Messed up cup holder? ok. Messed up mirror? Not ok.

I know this advice isn't something to use when picking a car. However, keep it in mind when discussing price. It might help you bargain it down, if it isn't already factored in.

[DonRotolo]

When seeking a car that will last a long time, the biggest issue is that of rust. Rust cannot be repaired - the metal must be replaced. This lowers the value of any such car dramatically, regardless of mechanical condition.

OK, so for your first car, you'll be unlikely to keep it for more than a few years - so a little rust is OK as long as safety isn't compromised. That'll cut the price. (It'll be easy to find rust in MI)

Just because you're looking for a "cheap" car, don't SETTLE. It is OK to look at 20 or more cars to find that one sweet bargain. Find someone who's got some car knowledge to "vet" them for basics - the posts above are good advice. Once you find a car that's great, THEN spend the $100 to have a professional mechanic go over the car carefully to tell you what's wrong with it.
(Every used car has something wrong with it. Nobody sells a car that's got no problems)

This offers a few benefits:

1. You learn if there is something expensively wrong with the car, and can back out of the deal.
2. You can learn what minor stuff is wrong with it, and use that in negotiating for a lower price. (Don't be afraid to negotiate a lower price. If you get even $100 off in 15 minutes, where else can you make $400 an hour? Negotiating is a matter of guts, don't be afraid to say exactly what you want and mean. Nobody's feelings will be hurt. It's business.)
3. Now you have a list of the little stuff you need to fix (or get fixed). Try repairing stuff yourself, it's a lot easier than you think. Buy or borrow a manual for the car.

When you do buy a car, go online and find the forums (like Chief Delphi) where folks who own these cars congregate. Every brand has them. Ask, and you'll get answers.


Lastly: This is a phobia of mine, so take it with a grain of salt. But, in a collision, Mass Wins. The properly belted occupants of heavier vehicles tend to fare better in collisions than those in lighter vehicles. I hope you never have a collision.

[Rick TYler]

As is usual on CD, you've been given good advice. I would have missed the rust bit, since that's rarely an issue on the west coast. I'm always amazed at the number of rusty cars in the midwest and east. Out here, cars don't get salt damage.

My favorite used car trick is to buy the oldest car I can find with the lowest mileage. The number of miles driven is a pretty fair estimator of how used up a car is, and the older a car is, the lower the price. I once found a six-year-old Subaru with only 22,000 miles on it. I felt like I was getting a new car for a third off.

For what it's worth, I think Edmonds pricing is closer than Kelley Bluebook online.

[AndyB]

I think any loyal viewer of Top Gear would have to suggest a Toyota Tacoma if you're going for pure reliability.

Part 1 (10:23): http://www.youtube.com/watch?v=Lrk6vsb77xk
Part 2 (3:03): http://www.youtube.com/watch?v=0Uc4Ksz3nHM&NR=1
Part 3 (4:22): http://www.youtube.com/watch?v=YfZDtC9kjVk