Buy a New Car

Deciding to buy a new car can be both exciting and intimidating. Images of cruising the boulevard in a shiny set of wheels and smelling the aroma of a new car is irresistible to many. However, shopping around for a new vehicle is an emotional and important financial decision that requires some knowledge and skill to ensure the best deal. Below is a set of guidelines that will help get you into the driver's seat while avoiding buyer's remorse.

Figure Out What Suits You Best

Make a list of what is important for you in your next car as well as some of the things you don't like about your current car. This way you'll know what qualities to focus on and which to avoid. Try to go with vehicles that best fit your daily needs and your lifestyle. Read car reviews from sources such as autos.com and carsdirect.com to get an idea of what you might be interested in.

How Much Can I Afford

This is the biggest decision maker for most buyers. Figure out how much you can afford, and it will save you nasty surprises later. Remember to factor in insurance costs, registration and fuel economy.

Narrow Down Your Search

Now that you know what is within your budget and which size car suits your needs, concentrate on two to three different models. Research both online and printed publications about these car's reliability and overall ratings. Renting the models that interest you can be a good way to find out if you could live with the car on a daily basis. Your dream car may also have a "twin" with the same chassis and engine, but a different name and styling. Sometimes, a better price or warranty may make the "twin" a better buy.

Looking for Your Car

The Internet has forever changed the way we do car shopping. With your price range, preferences and a few models in mind it's easy to pinpoint cars in your area that meet your requirements. Keep a list of the cars that interest you and prepare to shop.

Credit Is Not Overrated

If you are planning on financing your car, be sure to do some extra research. Make sure that you run a credit report on yourself to see how much of a financial risk banks will see you as. Also check with your bank or credit union to see what their finance rates are.

Arriving at the Dealership

Never arrive at a dealership not knowing what car you're interested in. Dealerships may try to pass on an undesirable vehicle that they are burdened with if they can detect that you are open to their suggestions. Even though it's easy to picture yourself behind the wheel, don't get caught up or too excited about a car. Dealers will also sense this and could put an emotional twist on the bargaining. Stress that you are just looking today and are considering other vehicles elsewhere.

Hitting the Road

The single biggest mistake many car buyers make is not test driving a car. This is an opportunity to catch any defects, problems or annoyances you may have with the car. Try to take the drive without a salesperson and drive a mixed course with freeways, traffic lights, hills and corners.

Let's Deal

Only agree to negotiate if you like the car and feel prepared to buy it. Keep a realistic figure in your mind that you consider a fair price for the car. If the dealer can't match your price, feel free to walk out. It's often the best bargaining tool you have. Always keep negotiations on the car's price, financing rates and trade-in value separate.

The Finale

Once you've negotiated a deal, the next step is the finance office. Here you'll be offered extended warranties, alarms, paint protection plans and much more. Most of this is unnecessary and overpriced though, so be sure to listen with a critical ear.

Once negotiations are through and paperwork is signed, you'll be ready to enjoy your purchase. A little knowledge, patience and planning can go a long way towards ensuring that you are getting a good deal on a new car. Good luck and happy shopping!