 TITLE: Buying a Car: How Much Can You Afford? CONTENT: How to Save When Buying a Car\n-----------------------------\nRegardless of your budget, here are some tips on how to save money when you're buying your next vehicle.\n### Buy Used\nThe average monthly loan payment for a used car is $161 cheaper than the average monthly payment for a new car, according to data from Experian Automotive. This savings adds up over the course of your loan to mean purchasing a used car instead of a new one could save you thousands of dollars.\nCars also depreciate over time, so the older the vehicle is, the less you'll pay. Just keep in mind that you'll want to balance the cost of the car and its reliability and safety. If you're not careful, you could save money on the purchase but end up spending thousands of dollars on repairs.\nBuying a certified pre-owned vehicle could be a good alternative if you're worried about the condition of a used car. These late-model cars get a thorough inspection and reconditioning from the dealer, who makes any needed repairs and adds a limited warranty. You get a near-new car but pay less.\n### Shop Around\nStart your car-shopping experience online by checking out multiple dealers in the area. If you already know what model you're looking for, run a search for it and compare prices.\nIf you're not sure what you want, this process can give you an idea of what prices to expect for different makes and models, and which may be the best fit for your budget.\nAlso, make sure to look up the value of the car on Kelley Blue Book or NADA Guides to get an idea of what the vehicle is actually worth. This may give you a bargaining chip with a dealer even if they're charging less than others in the area.\n### Don't Trade-In\nCar dealers will offer to buy your existing vehicle and apply its value as a trade-in to your vehicle purchase, similar to a cash down payment. This approach is convenient, but you'll usually get more money if you sell the car on your own and use the cash as a down payment on the new car.\nNot having another car to use in the meantime can make the process more challenging. But if you can, selling your car to a private party could make your new car more affordable.\n### Negotiate With the Dealer\nThe sticker price on a car is rarely non-negotiable. If you know how much the same make and model is going for with other dealerships and how much it's actually worth, you may be able to negotiate a deal with the salesperson.\nWhat's more, if you visit the dealership at the end of the month, quarter or year, they may be more willing to talk if they have sales quotas to fill.\nIn addition to the sales price, you may be able to negotiate on fees and add-ons, such as a warranty, maintenance contract and more. In a worst-case scenario, the dealer can say no. But if it works out, you could save hundreds or even thousands of dollars. END