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You’ve been bitten by the new car bug. Or perhaps you’re just so tired of your current car; you can hardly stand to drive it anymore.

You’re about to embark on the research phase of the car buying experience (which is the right course of action). But, before you even begin pointing, clicking, and eyeballing these shiny new toys; take a step back and determine just how much car you can afford to own and operate.

The conventional wisdom is not more than 20% of your monthly income your net (take home) pay not your gross pay. And by the way, while you’re doing your figuring on this 20% monthly cash outlay; make sure you include all the cars you own.

Regardless of whether you don’t even pay rent or own your home outright, stand firm on the 20% rule.

On your way to calculating your 20% budget, in addition to the purchase price, be sure to factor in any down payment and/or your trade-in value. The bottom line you’ll finance is the bottom line.

Of course, the more money you put down the more car you can buy and still be under the 20% rule. Keep in mind, the more money you put down doesn’t affect how much you actually pay and cars are severely depreciating assets not investments.

Once you get close to determining your 20% number, you’ll need to know the going interest rates you’ll be paying on your borrowed money. And since we’ve now broached borrowing money and interest rates you should also plan on getting a copy of your credit report while you’re at it.

Another important aspect to consider is the costs of ownership involved with the car. Things such as fuel, maintenance, and insurance premiums can run up some hefty numbers on you in addition to your monthly payment.

Maintenance and insurance costs are somewhat related, because insurance companies take into account the cost to repair a vehicle as part of their premium calculation. So, if you are looking at a car that is expensive or difficult to repair, you’re probably also looking at higher insurance premiums as well.

So, even though you should keep the 20% rule firmly in mind as your are crunching your numbers, don’t overlook all the other monthly expenses associated with the car you are considering.

Taking the time to get all of your financial and budget numbers in place before you seriously begin looking at your intended makes and models will serve as a good financial rudder for you during the car buying process and make for much wiser purchase.

Jeff Neilan’s car dealer experience offers insightful car buying tips that save you time and money. Be sure to visit http://www.acarbuyersguide.com for car financing tips, ownership costs, & more.

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We all want a lovely car, which we can drive around, have fun with our family and friends. This can easily come true if you buy you car with some care and be vary of any useless piece of machine being sold out to you. Buying a car is quite easy but you need to be cautious about certain small things.

Make a decision of what you want:

The first thing and foremost thing is for you to decide, whether it will be a new car or an Old car. The choice really depends on various factors with pros and cons towards both sides. Number of accident, number of previous owners etc decide how much you will pay for the older car and what condition it is in. The history of car is quite important and should be kept in kind while deciding upon a used car.

There are many people who have got great deals on used cars and are quite happy on their wheels.

Budget:

This may put some constraints on the make/model and accessories you go for. It’s not important to have fixed sum in mind but a clear picture of your maximum budget will surely help. You may end up buying something that you will regret later so always keep a figure in mind as your topmost ceiling. YOU need to be quite clear about how much you can afford, based on that you can make a good purchase.

Technology:

Today various cars offer different technology that is they have different engines that deliver wide power. Think about what you want in terms of who will drive, how much driving will be done in terms of miles etc and in what kind of terrains. Once you have a fair idea of what kind of car you need and how much you are willing to pay, you can begin you research on used cars as well as new cars. The best place would be to go to a car dealership. Before that you can make your search sitting at home using the Internet. There are several sites that offer information about cars and their mileage etc.

Many sites on internet offer great deals on used cars as well as information on what to buy, where to buy it from and when to buy. Sites like ConsumerGuide.com, Autoweb.com, Autobytel.com and Car.com offer great deal of information on this issue. Weigh all the cars against your requirements to eliminate the ones that do not fit the bill at all. All cars that make into the list can be later inspected and then you can buy best car.

The websites also have classified listings of both dealers and individuals to sell used cars. Person-to-person transactions through people you know, or via online and print classifieds is a good option as you can avoid a dealership and hence the commission.

Understand your car:

Any car you buy, used or new must be fully understood by you, that is what are the technical details, mileage, repair requirements etc. Other things you should check before finalizing any car/model are the ratings of the car, the mileage, safety and so on. You need to read as many reviews as possible on the make / model of the car. You can also go through the professional reviews like the ones published in the Automobile magazine or on sites like CarReview.com.

Your friends, co-workers and family can also pas on information about good cars in market so seek their advice also. Among all these people, you’re bound to find someone that drives or has driven the make or model you’re researching.

In general a little research and advice, you can easily get a fix on a car that bests suits your needs and will go along way in your hands.

Jeff Meier of Jam727 Enterprises at http://www.Jam727.com offers this and many other useful information web sites. Further detailed information on how to get the best price for a car can be found at http://www.wisecarbuying.com.

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Given that all the roadside hassles that will result when you car breaks down will pale in comparison to the problems you will have if you do not properly have the right plans to take care of your car’s troubles, it might be a good idea for car owners to invest in a suitable warranty for their car. The main issue that comes up in the repairing of broken down cars is that of cost. It can cost you an arm and a leg to fix a broken car, especially if you don’t have any knowledge of how to do basic repairs yourself.

In this case, getting an extended warranty to cover all the incidentals that will occur to you and your vehicle is better than good sense, it is a sound investment. And, unlike a standard warranty, which ends after a set period of time, usually one that is very short, the extended warranties offer a fuller and more comprehensive package that will protect and repair your car for a long period of time.

Because you never can be certain what potholes the next turn conceals, or of the slight imperfections that contribute to massive and expensive errors occurring in the lifetime of every car, extended warranties will offer you the best protection. They offer wide coverage that is designed to ensure that whatever problem you encounter, or virtually all the troubles that you come across with your car, will be taken care of.

While other warranty plans will offer some or all of the cost of repairs when you car breaks down, an extended warranty does them one better. It provides almost always a full coverage of all repair related costs as well as giving you another car to drive around in, to get back and forth from the places you need to, while your car is in the shop getting fixed up. And it should go without saying that this sort of service will be even more important as your car starts to get up there in years, as the likelihood of a breakdown just increases as your car ages.

What’s more, the providers of extended warranty plans value extended warranty customers more so than they do customers of standard warranties. This is shown by the fact that they give more services to those who sign up for extended warranties than they do to those who sign up for standard warranties. For instance, a company that provides extended warranties usually will have all of the claims sent to it resolved with a business day or two. They do this to ensure that you lose the least amount of time and money on account of the problems with your car.

Given that there are literally hundreds, if not thousands, of companies that can provide you with an extended warranty, the field is rife with competition, a fact that drives down the cost of extended warranties and gives you the widest possible choice. If you are looking for an extended warranty, the best place to start looking is on the net. Go to the engine of your choice and search for what providers offer that suits you.

Gregg Hall is an author living in Navarre Beach, Florida. Find more about this as well as a new car buying at http://www.newcarbuyingsecrets.com.

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