How to Afford an Expensive Car in 5 Simple Steps
The luxury car market in America is worth $7 billion a year.
With so many families now owning luxury cars it can easily feel like you are being left behind.
So how do you get a luxury car if you are on a budget and feel like you cannot afford one?
Read our guide on how to afford an expensive car in five easy steps to find out.
1. Shop Around
If you’ve decided to buy a new car and would like something more luxurious, how do you begin the process?
Well, before you fall in love with the first car you see, take some time to do some research.
There are many different luxury car brands and models on the market, and finding one that suits your needs can take time.
Spend some time looking at various models online. You can use price comparison sites and consumer guides to help you work out which cars are the best value for money, as well as the best looking.
Next, visit some dealerships and ask to test drive some different luxury cars.
It is always worth test driving a car that you might not otherwise choose, just in case you might be surprised. And sometimes it is valuable to find out what you don’t want from a car, as well as what you do.
2. Know Your Budget
Knowing how much you have to spend on your luxury car can be quite tricky.
Most dealerships will offer monthly finance packages, so you should have some idea of what your monthly household budget is before you commit to buying a car.
It is also worth remembering that the larger the down payment you make as a deposit, the smaller the repayments will be.
3. Buy A Used Car
One solution to the problem of how to afford a luxury car is to buy a used car.
As soon as a new car leaves the showroom, it loses 15% of its value. So buying a used car can be a great way to save cash and still get a nearly-new luxury car.
A used car can be bought from a dealership or privately from an individual. Buying from a dealership could be more expensive, but may include warranties and service plans that you won’t get privately.
4. How To Afford An Expensive Car using SMART Goals
If it feels sometimes like all your hard work is not bringing you the rewards you want, such as a luxury car, then you should start thinking smarter.
SMART goals are:
- Specific
- Measurable
- Achievable
- Relevant
- Time-bound
Setting smart goals can help you to afford a luxury car, because they’re realistic targets you can work towards over time.
5. Take Out A Loan
In the last year, over 80 million Americans took out personal loans.
Taking out financing is one way to help you to afford a luxury car sooner than you might otherwise be able to.
As with all things though, it pays to shop around when taking out a loan. Interest rates can vary, as can the terms and conditions.
One option is just to take out a small loan to place as a larger initial deposit to make monthly repayments smaller.
Car Repair Information At Your Fingertips
So those are some tips on how to afford an expensive car.
Regardless of the type of car you are going to buy it is always important that you keep it well maintained at all times.
Here at CertifiedMasterTech we have all the information you need to stay on top of your automotive maintenance. Read our handy guides to maintenance and repairs to find out more.