Tips for Buying a Car During Tough Times

Buying a car is a big decision that can feel overwhelming at times. Should you buy new or used? Should you purchase or lease? How big of a car payment can you actually afford? Throw in a pandemic and a global microchip shortage that has caused the supply of cars to dwindle and you’re left with a new set of complications that is unique to the post-2020 market.

Understanding how to buy a car in the midst of these complications means that you may need to adjust your game plan. Supply constraints and uncertain market conditions could make finding the right car for you a bit more challenging. A great car deal in this unusual market is typically the result of planning ahead, teaming up with a dealership that puts you first, and acting quickly.

Plan Ahead and be Prepared

It’s always a good idea to consider your financials first. Figuring out financially what the best option is for your budget will help you stay ahead of the game. Checking your credit report ahead of time will also give you insight into what your options are if you are considering financing or leasing.

Next, decide whether you want to lease or buy and consider your trade-in value. Know that you’ll have fewer options to choose from because of decreased inventory, but that the same amount of demand is still in place. This means that if you see something you like – it’s better to act sooner than later.

Something to Consider:

Will Car Prices go Up or Down Given the Current Climate?

From an industry standpoint you’ll quickly find that because of current vehicle supply constraints, used car values are near record highs which is good news if you’re planning to trade in your current vehicle.  However, this also means that because of the lack of inventory, prices may also be up and you’ll need to remain flexible and alert in order to navigate the under-supplied market.

The good news is if you don’t see what you’re looking for, you don’t have to let empty lots stand in your way. Shopping with Holman means you’ll have tools to help broaden your search beyond what meets the eye. You can learn how here.

A New Car Buying Experience

A silver lining of living in a pandemic-affected world has been the streamlined online car buying processes, which means you have the option of researching and beginning the purchasing process right from the comfort of your own home.

Once you’ve weighed out your options for buying new versus pre-owned, models that fit your needs, and budget, you can view inventory conveniently online. Whether you’re buying new or looking to trade-in, you can utilize tools such as the Kelley Blue Book Instant Cash Offer tool to lock in the value of your current vehicle, or Holman GO, our digital retailing tool, for an easy, fast, and transparent buying experience.

Using Holman GO’s Design Your Deal tool will help you browse thousands of new and pre-owned vehicles of every make, model, and color to find the one that fits your lifestyle, budget and needs.

You can complete as much or as little of the car buying process online as you’d like to save you time when you get to the store. Regardless of how far along you are in the process: research stage, setting your preferences, customizing your payment, adding protection plans, or applying for financing, you can visit the dealership and pick up right where you left off. At any point, you can stop by to see the inventory for yourself, take a test drive, ask questions or receive assistance in any area.

What if I Don’t See the Car I Want?

If you can’t find the vehicle that you’re looking for, whether online or in person, you still have options. Our experts can help you gain access to inventory that is currently in-transit or available through our extensive network of dealers. We can also pre-order if necessary, meaning we’ll place a custom factory order for the vehicle that you want so that once it becomes available, you’ll be the first to know.

While the auto industry may look different for some time to come, the good news is that if you’re prepared, getting behind the wheel of your dream car can still become a reality.

The above is meant as general information to help you understand the different aspects of insurance. The content of this blog is not an insurance policy, does not refer to any specific insurance policy, and does not modify any provisions, limitations, or exclusions expressly stated in any insurance policy. In order to fully understand the coverages and other features of a specific insurance policy, we encourage you to read the applicable policy and/or speak to a Holman Insurance Services agent. Coverages and other features vary between insurers, vary by state, and are not available in all states. Coverages are subject to the terms and conditions of the actual insurance policy or policies involved in a claim. References to average or typical premiums, amounts of losses, deductibles, costs of coverages/repair, etc., are illustrative and may not apply to your situation. We are not responsible for the content of any third-party sites linked from this page