First, you should take the time to narrow down a list of cars, trucks or vans that interest you. Take advantage of resources like http://edmunds.com and Consumer Reports to review possible vehicle options. Once you have a short list of vehicles that meet your personal needs, review the Kelly Blue Book values for each vehicle. You can easily access this information at http://www.kbb.com. Kelly Blue Book values will provide you with information on fair market pricing for vehicles, with age, condition and mileage taken into account.

When you have an idea of what sort of vehicle you want, and how much you should pay, it's time to begin shopping. There are several options when shopping for a used car. You can buy from a new car dealer that sells certified used cars, you can buy trade ins at a dealer that sells primarily new cars, or you can buy from a used car dealership. You can also check classified ads, Craigslist and other local resources to buy directly from an individual. Finally, you can consider online auction sites when shopping for your new used car.

You should also consider whether you will pay cash for your car, or if you need to finance it. If you do need a loan for your new-to-you used car, visit your local bank or credit union for the best interest rates. Keep in mind that you should expect full coverage insurance costs as well. Do avoid buying more car than you can reasonably afford when you have factored in payments, insurance, maintenance and fuel costs.

If you choose to buy from a dealer, be certain that the dealer you choose is reputable. If you are looking for a late model used car, several car companies offer certified used cars with nice warranties. If you have a bit more to spend, this can be an excellent option. Avoid purchasing from any dealer that requires that you finance through them. This is a sure sign of an unethical car lot. You should expect dealer prices to be significantly higher than prices in your local paper or on a car sold by an individual. Also, find out what warranties or return options are available should the car turn out to have problems.

When buying from an individual, it may be smart to spend a bit to have a trusted mechanic, or even a very knowledgeable friend, take a look under the hood and take the car for a drive around the block. While most people are honest about their vehicles, ascertaining any possible problems and relevant repair costs is critical. If you have chosen to shop online for your vehicle, taking advantage of EBay motors or a similar site, you are likely buying site unseen. Take advantage of any available buyer protections offered by the site to reduce the risk of a problem.

Buying a used car is a great way to save, but shopping smart is critical. Shopping smart for your used car can not only save you money, but save you the potential of a costly mistake should you buy a lemon.