The commutes in Boston can be treacherous. The Boston Globe reports that heavy snow in the first week of February forced many drivers to endure commutes that were seven times longer than usual, and a recent TomTom report ranked the city No. 16 on its list of the worst U.S. cities for traffic.
If you live in Boston, your drives to and from work in traffic might have wreaked havoc on your car, and now you need to replace it. Or, perhaps you've realized your vehicle gets poor gas mileage and you want a fuel-efficient car. Whatever the reason, you might decide that now is the time to save money for a new car.
You should know, however, that there are many creative ways to save money. The following is a list of things you can do if you’re looking to buy a new car in Boston:
1. Start saving money now
The first thing you need to do is put money away for that new car. “Zero down” offers are enticing but hard to lock in. Start saving money for your down payment by putting a little bit aside from your paycheck every month.
2. Stay within your budget
Sure, everyone dreams of driving a BMW or Mercedes, but staying within your spending limit is always the best policy, especially if you’re saving to buy your very first car. Remember that coming up with the down payment is one thing, but making the payments for the next three to five years is another. There are many fine cars out there well within your price range — you just have to go out there and find them.
3. Trade in or sell your old car
After finding the best price for a new car, you should think of other ways you can save money. One way is to trade in or sell your car. If you believe you can sell or trade in your old car to help you afford your new car, perform the necessary steps to increase its value. For example, keep the car clean, fix it up a bit, and get it appraised.
According to U.S. News & World Report, getting the asking price for your old car is key. Check Kelley Blue Book, and be sure not to price your vehicle too high or too low. If you’re leaning more toward trading in your vehicle, don’t just go for the highest trade-in by face value. You should try to increase your incentives as well.
Read: 5 Ways to Increase a Car's Trade-in Value
4. Find the best car loan interest rate in Boston
The interest rate on your car loan can make a huge difference on what you can afford. If you qualify for a low rate, you will most likely enjoy affordable monthly payments. Getting stuck with a high APR, however, might mean having to pay thousands of dollars extra for your car.
To get the best possible rate, check your credit ahead of time, and make sure you're in good standing. Check out car loans at Boston credit unions and local banks, which tend to offer the best deals to residents. Right now, a rate less than 4 percent is ideal, but keep in mind only borrowers with great credit will qualify for the best interest rates in Boston.
5. Use a checklist for buying a new car
Sometimes it’s easy to forget all the things you should look for when buying that new car. That’s exactly why you should make a checklist. According to Consumer Reports, some of the most important things to look for are:
Dings, dents, scratches and scrapes
Cleanliness inside and outside the car
A current state inspection sticker
Lights and turn signals that work
Full gas tank
Odometer that's virtually at zero
Working brakes
These are just a few things to check for. Remember, when everything works properly, you save money in the long run.
Don't overlook gas mileage and the ‘Boston Factor’
When it comes to deciding which car is best for you, it’s important to remember that where you live and how far you have to drive is a major consideration. Those who live in smaller towns where the commutes are minimal will probably not list gas mileage at the top of their lists. But if you live in a major metropolitan area like Boston, long drives to and from work might be the norm.
So, pick a new car that can handle the commutes for a couple of years. That last thing you want to happen is your new car breaking down on you too soon, forcing you to go through this whole process all over again.
This article originally appeared on GOBankingRates.com: How to Save Up for a New Car in Boston