Buying a used car can save you thousands of dollars compared to a new car. It’s a great way to maximize your vehicle's value, whether you’re on a budget or not. Plus, there tend to be hundreds of thousands of listings you can choose from while shopping online.

The trouble is knowing what to look for when buying a used car. If you’ve never made a purchase before, you may not know what the reliability of regular oil changes means or if the front turn signal light will be as simple to fix as the seller says. That buying process is even more important when you’re looking out of state.

Here’s some guidance so you avoid making a big mistake when purchasing such a sizeable asset.

What Should You Check Before Buying a Used Car?

First things first, you need a simple list of what to check when purchasing a used car. You’re probably going to spend between $26,000 and $32,000 on a used vehicle. While that’s much lower than a new Toyota Highlander or Nissan, it’s still a sizable chunk. The basics of what you should check include:

  • Asking price compared with similar vehicles
  • Mileage for the vehicle's age
  • Number of previous owners
  • Accident and damage history
  • Title status
  • Maintenance and service records
  • Remaining factory or extended warranty coverage
  • Open safety recalls
  • Seller reputation
  • Financing terms and dealer fees
  • Cost of registering, insuring, and transporting the vehicle

Those are the good and easy factors. You can even create a spreadsheet and list out your top 5 models. Some used car websites will do this comparison for you. Having those basics helps you create a better shortlist of what to buy.

What to Look for in Buying a Used Car: The Specifics

1. Decide Whether the Used Car Fits Your Needs First

The most important consideration when buying a used car is whether it fits your driving lifestyle. Do you need something with a 3rd row because you have a larger family? What about an EV for commuting to and from work each day? How about something fun and sporty for when you go south for the winter? Will the truck bed be long enough for your job?

Match the used car to your daily needs. That will help you get more value over the short and long term.

2. Research the Vehicle's History Before Getting Attached

Part of what to look for when buying a used car is verifying its history. You can use the VIN (vehicle identification number) on a service like CARFAX to check the car’s:

  • Accident and structural damage history
  • Salvage, rebuilt, flood, or other title brands
  • Reported odometer readings
  • Number of previous owners
  • Maintenance history
  • Previous rental, commercial, or fleet use
  • Open recalls

Even when you find a clean-looking Ford Taurus with great features, you want that car history report to verify things you cannot see in the online listing’s photos or videos. A good red flag to watch for is when the listing omits things it should include. That could mean the seller isn’t trustworthy.

3. Look at Maintenance, Not Just Mileage

Maintenance matters more than mileage. A Ford Focus with 45,000 miles on it, perfectly maintained by the owner, is likely better than the same used car with only 12,000 miles, but used by a younger driver who does food delivery and rideshare all day long.

Maintenance helps you prolong the vehicle's lifespan and avoid costly repairs. The mileage doesn’t tell you the full story.

4. Is the Listing Fully Descriptive?

What to check when purchasing a used car must include the listing details. Some sellers won’t tell you there’s a funky smell from transporting their Great Dane to and from the beach. They might also not include a photo of the trunk, where a giant stain from delivering fish for a food service app sits.

The description should be detailed and include the trim level, asking price, the reason the seller is selling, gas mileage, overall condition, modifications, any repairs, and the vehicle's full history. Without those details, you’re risking your money.

5. Take a Real Test Drive or Get More Details

When you’re buying online, you probably cannot visit the seller for a test drive. What you can do is ask for specifics about any damage that needs repairing. Plenty of people buy a used car knowing they may have to make a few repairs here or there.

The difference is in the details. The listing may have red flags that aren’t being disclosed. You want to know whether white, blue, or black smoke is coming from the exhaust. What about fluid or oil leaks, rust, or any onboard diagnostic codes? Those details are what can make or break a deal. If your used car arrives with the check engine light on, it had better be explained in the listing.

The good news is all 50 United States have “lemon laws.” These laws protect you when buying defective vehicles. What is covered with a used car will vary based on your state, so do your research ahead of time.

photo of a vehicle being transported on a trailer behind a van

6. Get an Independent Pre-Purchase Inspection

If you can, hire a local mechanic who lives near the listing's location and get an independent pre-purchase inspection. A GMC truck with a $1,000 repair may still be a great deal for your budget and needs. You just want reassurance you won’t end up with unexpected issues the moment the car arrives at your doorstep.

7. Compare the Total Price, Not the Monthly Payment

What to look for in buying a used car is the price. Not just how much the listing is, but the total amount you’ll pay upfront and over time. The total vehicle price should be budgeted for alongside taxes, dealer fees, financing costs, registration, insurance, immediate maintenance, and, if you need professional car shipping services from someone like Nexus Auto Transport.

You can often find negotiating wiggle room in these factors, so take your time with the buy. If there’s a $500 repair for new tires, you might be able to shave some cash from the purchase price.

8. Verify the Title and Paperwork Before Paying

Finally, when you’re buying a used car, never rush the paperwork. Make sure the seller has the VIN, mileage, price, and title details. For dealerships, you typically don’t have to worry. It’s the private sellers you need to take precautions with. You don’t want to buy from a private seller whose name isn’t on the title or who asks for money ahead of shipping the paperwork.

Remember, you can always walk away. You are the buyer, not someone obligated to complete the sale. If you feel something is off or a red flag crops up, simply choose to walk away.

Used Car Buying Decision Checklist

Factors
What to Review
Potential Red Flag
Vehicle History
Accident history, reported damage, previous use, title history, and open recalls
Major accidents, structural damage, flood history, or conflicting info
Ownership and Title
VIN, seller's name, lien status, and whether the title is clean, salvage, or rebuilt
Seller isn't listed on the title, VINs don't match, unresolved lien, or unexpected title branding
Mileage
Current odometer reading, vehicle age, service records, and mileage reported in the vehicle history
Odometer reading doesn't match previous records or mileage appears unusually low
Asking Price
Prices of comparable vehicles with similar model years, mileage, trims, and condition
Price is substantially below comparable vehicles without explanation
Seller Information
Seller identity, dealership reputation, reviews, and contact information
Pressure to pay quickly, inconsistent answers, unclear ownership, or reluctance to provide docs
Maintenance Records
Routine servicing, major repairs, manufacturer-recommendations
Missing records, long maintenance gaps, or expensive overdue issues
Inspection Results
Independent mechanic's findings, current condition, safety concerns, and estimated repair costs
Seller refuses an inspection or the mechanic identifies significant problems
photo of a car carrier transporting vehicles on the highway

Found the Right Used Car? Now Get It Home

A used car can be a wonderful addition to your home. It offers a more financially sound option, especially when buying for a college student, mother-in-law, or when you’re relocating to a new area for a job and need something more fuel-efficient for commuting.

Take time to consider the total cost of your used car before making a final decision. Don’t forget to factor in the costs of safely shipping that used car back home. It can add thousands of dollars to your price tag if you have to fly out and drive the vehicle back. A better alternative is to ship it using Nexus Auto Transport.

With over 500,000 successful door-to-door deliveries, Nexus will match your vehicle delivery needs with a professional, vetted carrier using open, enclosed, or expedited car shipping. You can read more about how this process works in our complete guide so you’re well-equipped when it comes time to search for a fantastic used car.

FAQs

Is it better to buy a used car from a private seller or a dealership?

A private seller often means you’ll get a better price, but the trade-off is the time to get the car and the document verification/handling. If you’re financing the used car, it’s often better to go through a dealership or get pre-approved for a loan that covers the price, so the seller knows you mean business.

What additional costs should I consider beyond the purchase price of a used car?

The actual budget you’ll need to consider includes the price of the used car as well as sales tax for your state, registration and title fees, insurance, financing costs, dealer fees, immediate maintenance, and any repairs. Shipping is another consideration you can verify using Nexus’ free online calculator.

When should I walk away from a used car even if it passes an inspection?

You want the VIN and mileage to match. Make sure the owner is selling it, not a third party you don’t trust. Reconsider the purchase if unexpected fees or maintenance issues arise that could cost you more than you’re ready to pay.

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