Dreaming about your dream car for long may not be necessary anymore, now that availing car loans has become far easier than before. But, before you make the decision of taking up a car financing option, the more important aspect is – you need to choose a suitable car. Although every one of us would want to own a luxury car such as benz, it is not really possible for everybody simply because of the fact that we can’t afford it despite applying for external financing options. So, what does it mean to find the right car?
Let us take a look at some of the driving factors behind purchasing a car
Irrespective of whether you are buying a car for the first time or not, fixing your budget is the first step towards realizing your dream car. The first thing you will consider would be the brand value of a particular range of cars. However, it is the budget that counts more than anything else. See, every time you think of applying for a car loan, lending institutions will typically look at your income which in turn determines your repaying capacity.
Therefore, it is imperative you fix your budget well within your means, so that you needn’t worry much when it comes to repaying your loan.
Once you have decided on the budget, the immediate move should be deciding on the purpose behind purchasing your vehicle. For instance, some people might want a car to commute to their work every day. Whereas there might be some others who might want a mid-size or large SUV types to go on frequent road trips and so on. You need to be clear on the utility aspect of your vehicle based on which the following three factors may be determined.
Depending on your use for the car, you can decide whether you want it to be petrol, diesel or CNG driven. Remember that, although a diesel vehicle may turn out to be more fuel efficient as compared to petrol, it needs a lot more maintenance. Take into account these expenses when you calculate your initial budget.
Insurance- a must
Availing insurance for your car is very much a necessity. Ensure that you find a reputed insurance company to help you with your car insurance. Also, did you know that when you have not made any claims on your previous car in the past year, then you may transfer the same to your new car? This in fact will help you with lowering your insurance cost for your new car, because you will be able to avail the no-claim bonus. Before going ahead, read the insurance papers carefully and try to find out if you can avail a no-claim bonus or not.
Be it the year end or any other major sale season, there are several dealers who will vie for your attention and try to give you the best possible offers for your dream car. Or there are also times when a new model is about to release, the old versions of the same car is on sale. Although it may initially look like you are saving up a big sum, later on you would be left wondering if you had made the right decision or not. So, never jump at those so called offers, unless you know for a fact that you will be benefited from it in every aspect possible.
Almost every car that is manufactured these days already has a built in set of accessories such as a/c, stereo system, Bluetooth and GPS and so on. There are also add on features you might want to include, these will in turn increase the overall expenditure which you need to bear in mind. Because, including accessories in your budget will make a difference of up to 1 lakh, sometimes even more.
Now, you should have a fair idea of what to consider while trying choosing a suitable car. It is not only about the brand or the budget, at the end of the day you should enjoy riding in your car, so choose the one that doesn’t hurt your wallet too much yet fulfills the need.
Want to know about the various funding options for buying your dream car?