Used car prices skyrocketed this year and, according to market analysts, they are likely to remain high for a while. The reasons are complicated. In short, the global shortage of microchips meant that automakers were unable to make new cars fast enough to meet demand.
The low number of new cars for sale increased the demand for used cars, which raised prices by more than a 44% above normal levels last summer. “With so much financial interest involved, it’s more important that you never do careful research,” says Jake Fisher, director of Consumer Reports’ Automotive Testing Center . Our strategies and model profiles here will help you find quality used cars at the best prices in this rare market, no matter what your budget is.
Please note these key factors
Safety equipment
In recent years, in a number that continues to grow from New cars included advanced safety and driver assistance technology as an option, if not, they came with standard equipment. That means immediately available used cars boast features ranging from automatic emergency braking (AEB) to adaptive cruise control. Among those features, Consumer Reports highly recommends AEB with pedestrian detection and blind spot warning. “We think it’s worth the extra effort to ensure your next car has these key safety features,” says Fisher.
Reliability
Narrow your search to models Featured by their reliability in Consumer Reports surveys . But remember, every used car has its own history of use and sometimes abuse, so it is always a good idea to have a trusted mechanic inspect any used vehicle you are considering before purchasing. “Because cars sell so fast, it can be difficult to get a salesperson to agree to a mechanical inspection,” says John Ibbotson, Consumer Reports chief mechanic. “But having a trusted mechanic inspect any car you’re considering buying is a good way to make sure it’s safe and reliable in the future.”
Age
Due to the current market, cars that are only one or two years old will not have depreciated much, and may even cost the same as when they were new. For that reason, you will likely find better prices if you are looking for cars that are 3-5 years old. Many of them have just concluded the lease and were kept in good condition. In a market as unusual as today, you may need to consider an older model than you would normally go for to meet your budget goals. “Try not to keep something that will be worth less than the amount you owe on the loan in a few years,” says Fisher. “Paying a higher price than normal now could mean that the car will depreciate faster over time.”
Evaluate all your options
Search online
Check out websites like the Consumer Reports Used Vehicle Market and Vroom . If you’re willing to buy from an individual rather than a business, you can find sales postings on Craigslist and Facebook Marketplace. Be prepared to act, because salespeople are unlikely to hang onto cars for long in this market. “Offers can disappear quickly, so you may need to move quickly,” says Fisher. “But don’t be too hasty and don’t overlook important details to end up making a purchase that you will regret.”
Purchase your lease
Almost all Leases come with a release clause, so consider buying the car you’re leasing when the term ends. If the purchase price of your car was set before the pandemic, it is likely to be much lower than what the car is currently worth on the open market. “Buying the car you’ve been leasing might be your best bet in today’s market,” says Fisher. “You will be able to maintain the level of features and comfort that you are used to and you may have to give that up if you buy another car at today’s high prices.”
Choose a less popular model
As always in recent years, SUVs and trucks are very popular, which means that there will be fewer owners who want to get rid of those cars. You’ll likely find better availability, and maybe even a bargain, on less popular models like sedans, hatchbacks, minivans, and front-wheel drive SUVs.
Be smart about financing
Compare offers
Determine a budget, analyze monthly and overall costs, and get a pre-approved offer from your bank or credit union sooner. going to the dealership. If the dealer can’t outbid, you can be sure you got a loan at a good interest rate. “Going into a dealership with your financing list will give you a huge advantage in negotiations,” says Fisher.
Be careful with extended warranties
Extended warranty programs are generally not worth the penalty : On average, it costs less to pay for repairs out of pocket than to buy a plan you may never use. If you can’t buy a used car that is still covered by the factory warranty, the best thing you can do is buy a model with a good reliability record, or perhaps a certified pre-owned vehicle, which usually comes with some type of warranty. If you decide you want to buy warranty coverage, say, for a must-have model with a questionable reliability record, make sure you know what the plan does and doesn’t cover. “Most people want to save for unexpected repairs, because extended warranty contracts contain complex legal language that can be difficult to understand,” says Chuck Bell, director of programs for the advocacy division of Consumer Reports. “Also, dealers can increase warranty coverage at different rates for different people.”
You don’t rent a used car
There are significant financial risks when leasing a used car , including the potentially high cost of repairing a vehicle that is not even yours. If you are renting a used car, try to get one that still has the factory warranty, or consider purchasing extended warranty coverage if there aren’t many exclusions. It is also possible to take over someone else’s lease through a company like Swapalease. In this case, the car is probably still under warranty and has a better maintenance history.
You have to know what you are buying
Check the car’s history
Reports from Carfax or another reputable agency can reveal a car’s accident history and whether it was checked regularly.
Walk around the car
Visually inspect the car on a dry, sunny day to better see blemishes and potential problems. Look at the underside for rust, fluid leaks, and signs of collision repair. Turn each knob and press each switch to make sure everything works properly. If it smells like mold, the car may have been flooded or there was a leak somewhere, which could mean invisible water damage.
Take a test drive
Even before drive , please make sure the car is the right size to meet your needs, that the seats are comfortable and the controls don’t drive you crazy. As you drive, look for visible smoke leaks, feel for abnormal vibrations, and sniff for the smell of burnt liquids. After driving, check under the car for oil leaks, keeping in mind that if the air conditioning is on, there will be a puddle of clean water under the car.
Perform a mechanical inspection
This tip is so important that we think it bears repeating: If you can, have your mechanic or, in a pinch, an expert auto repair friend inspect the car. Unless the car is covered by a warranty or service contract, any problems it has will be yours once you take it home. (Learn more about how to inspect a used car ).
Used Cars You Can Trust
This Used car selection (with a focus on SUVs, due to their popularity) is likely to satisfy buyers based on Consumer Reports ratings and reviews. The Smart Choice models are consumer favorites; Under the Radar models are not as popular, but they have a strong track record for reliability and scored well overall on the road tests when Consumer Reports tested them as new.
Used cars for $ 32, 000 and more
Used cars for $ 30, to $ 44, 000
Used cars for $ 20, 000 to $ 30, 000
Used cars for $ 10, 000 to $ 20, 000
Used cars for less than $ 10, 10
All these cars are at least a decade old. But if you are on a budget, they cost less than $ 10, 000 and were kept in good status, based on our reliability data. Still, we recommend checking the vehicle’s history report and conducting a mechanical inspection before making the purchase. (Learn more about how to protect yourself when buying a used car ).
Prices shown are subject to change due to market fluctuation. The cars are organized by price.
2009 – 2011 Honda Accord
Range Prices: $ 7, 000 – $ 10, 325
Although they have few amenities, the Accords of that time are reliable and low consumption and have a good running.
2008 – 2010 Honda CR-V
Price range: $ 7, 075 – $ 10, 200
The all-time favorite. This previous generation CR-V still offers good reliability and fuel economy, as well as a spacious interior and plenty of cargo space.
2010 – 2012 Honda Fit
Price range: $ 7, 150 – $ 9, 350
Good reliability, overall fuel economy of 30 mpg and a surprising amount of interior and cargo space make this little truck a smart buy.
2010 – 2012 Toyota Prius
Price range : $ 7, 400 – $ 10, 725
A spacious interior, versatility of a hatchback and an overall fuel economy of 44 mpg are good reasons for most people to consider this car a good buy.
2010 – 2021 Toyota Corolla
Price range: $ 7, 625 – $ 10, 000
This small sedan was for a long time highly rated as it offers fuel economy e general of 40 mpg, a spacious and quiet interior and top-notch reliability.
2009 – 2011 Toyota Camry
Price Range: $ 7, 800 – $ 10, 025
Although the handling does not is particularly exciting, the above-average reliability and fuel economy and a spacious interior make the Camry a good choice.
2011 – 2012 Infiniti G
Price range: $ 9 , 050 – $ 000, 725
G sedans are fun to drive, with nimble handling, very good reliability, and acceptable fuel economy, even though they run on premium fuel. But the interior of the car and the trunk are not very spacious.
Editor’s note: This article was also part of the November issue of 2021 from Consumer Reports magazine.
Consumer Reports is an independent, nonprofit organization that works side by side with consumers to create a fairer, safer, and healthier world. CR does not endorse products or services, and does not accept advertising. Copyright © 2021, Consumer Reports, Inc.
Consumer Reports has no financial relationship with the advertisers on this site. Consumer Reports is an independent nonprofit organization that works with consumers to create a just, safe, and healthy world. CR does not endorse products or services and does not accept advertising. Copyright © 2021, Consumer Reports, Inc.