How Much Should I Pay For A Car

In general the answer to how much should i spend on a car is as little as you can morgan housel a great writer for the motley fool says saving money boils down to making good choices on the three biggest expenses in your adult life.

How much should i pay for a car. Although it s not a huge. That 15 cap however only applies to consumers who aren t paying off any loans besides a mortgage. Both are horrible ways to decide how much you should be paying. Many buyers first decide on the car they want and let that dictate a monthly car payment or they let a car dealer help them determine how much they can afford.

How much should i pay for a used car. This tool which can be found by clicking car research at the top of our site and selecting trade in value pricing will show you the current. How much should you spend on a car. To determine what a fair price would be for a used car for sale either at a dealership or by a private seller check our appraisal tool for its true market value.

As an example of what you should pay for a car say you ve found a vehicle with a sticker price of 31 000. For example if after taxes you make the u s. But how do you really know how much you should pay for the new car you re interested in. The house you buy the car you buy and how much you pay for college.

3 5 over a dealer s new car cost fair profit new car offer. So how much should you spend on a car. What price should you pay. I get emails asking me all the time how much should i pay for a car you should calculate your offer to be somewhere within this range.

So under that guideline if your net pay is 3 500 a month it s best to avoid spending more than 525 on car costs. Another rule of thumb says that drivers should spend no more than 15 of their monthly take home pay on car expenses. What price should you pay. But as a rule of thumb your car payment should not exceed 15 of your post tax monthly pay.

The invoice is 29 000 and the dealer holdback is 3 percent of the invoice which comes. The three rules of car financing. An offer of 3 5 over a dealer s true new car cost is a very acceptable offer when purchasing a new car.