Cheap Cars - How and Where to Find The Cheapest Cars

Cheap Cars - How and Where to Find The Cheapest Cars

Cheap cars can be found and purchased from a variety of sources. Generally, people who are looking for cheap cars are simply attempting to find the best car that meets their needs, at the lowest possible cost.

For those who are looking for inexpensive cars, there are essentially three categories of options available to them - cheap new cars, cheap used cars, and cheap leased cars.

Used cars are cheapest

Used cars are available from dealers, individuals, auctions, and on the Internet. However, considerable care must be taken when buying pre-owned cars because most are sold "as-is" and will come without a guarantee or warranty. Certified Cars offered by dealers representing major car manufacturers are an exception, although more expensive.

Following are sources that provide the best opportunity for finding cheap cars:

New-Car Dealers Used-Car Lots - Most new-car dealers typically sell used cars as well. Although inexpensive cars can often be found on these lots, most such dealers only offer relatively late model vehicles that have been taken in trade or off lease, and are in good condition - and are relatively expensive. Older, less expensive vehicles are usually sent to auction to be purchased by independent used-car dealers and BHPH dealers (see below).

Independent Used-Car Dealers - Independent used car lots are a potential source of affordable cheap cars. Many lots have older vehicles that can be real bargains. However, proper caution should be taken to determine if the price is fair and that the vehicle has no hidden problems. Most used cars come without any kind of warranty or return policy.

Buy-Here-Pay-Here Dealers - A special type of independent used-car dealer that provides its own in-house financing, BHPH dealers sell older cars at relatively low prices, and cater to consumers with poor credit. Expect to pay high interest rates, get very strict payment terms (weekly or bi-weekly, cash only), and little or no forgiveness for late payments. Many BHPH cars have remote starter interrupter devices that can be used to disable the car if a payment is missed. Repossessions are frequent at this type of dealer.

National Used-Car Dealers - If you live in an area that has a Carmax superstore, this is one of the largest, most reputable used-car dealers in the country, and a good source of fair no-hassle deals - although not necessarily the cheapest deals. They inspect the cars they sell, provide a money-back guarantee, and a limited warranty.

New-Car Dealers - Don't overlook this year's new cars as a potential source of good bargains. There are currently tons of heavy rebates and other incentives being offered by car manufacturers, especially on domestic brands, that can often make certain new cars temporarily less expensive than used cars of the same make and model. Long-term, new-car incentives tend to also drive down the cost of used cars over.