What is the best car under 5000?

10 Best Used Cars Under $5,000
  • 2009 Nissan Sentra.
  • 2008 Mazda6.
  • Sponsored.
  • 2008 Ford Focus.
  • 2006 Honda Civic.
  • 2005 Toyota Corolla.
  • 2005 Honda Accord. The Honda Accord is a midsize sedan with roomy back seats that easily fit three adults.
  • 2005 Toyota Camry. Consistently positive reviews earn the Toyota Camry a spot on our list.

Where is the cheapest area to buy a car?

New Hampshire is the overall winner in the cheapest state to buy a car race because of the state’s super low registration fees, and no sales tax. Florida slides into second place with a diverse inventory, and car prices that are 10% below the national average.

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Is 5000 good for a first car?

Experts recommend that you spend $5,000 to $10,000 on your first car. But honestly, it all comes down to what you can afford. Here are a few simple tips to help you calculate a figure that would work well for you: Don’t spend more than 15% of your gross pay or 20% of your take-home pay.

What is the best car under 5000? – Related Questions

What is the cheapest I can get a decent car?

Cheapest New Cars (With Automatic Transmissions)
  • 2022 Chevrolet Spark LS: $15,695.
  • 2022 Mitsubishi Mirage ES: $16,990.
  • 2022 Kia Rio LX: $17,275.
  • 2022 Hyundai Accent SE: $17,670.
  • 2022 Nissan Versa S: $17,775.
  • 2022 Kia Forte FE: $20,115.
  • 2022 Hyundai Venue SE: $20,125.
  • 2022 Kia Soul LX: $20,505.

How much mileage is too much for first car?

Age – brand new cars are often unaffordable for first time car buyers so if you’re buying a second hand car, make sure you check the mileage. Richard recommends looking for a car with an average mileage of 12,000 per year or less, with a good service history and long MOT.

Is 5000 dollars good for a car?

With $5,000, you’re going to be limited to used vehicles. Most new passenger cars start around $20,000, and the going average for new vehicles overall is around $40,000. Some things you could expect from used vehicles under $5,000 include: At least 100,000 miles or more.

What is the ideal price for a first car?

Though budget for a first car depends on one’s income and life stage, $5,000 to $15,000 is a good range for the average person’s first car. This price range will typically eliminate junker vehicles that have severe mechanical issues, and the range is wide enough to include a wide variety of quality vehicles.

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What is a good car payment for a first car?

NerdWallet recommends spending less than 10% of your take-home pay on your car payment and less than 15% to 20% on car expenses overall.

How much should I save to buy my first car?

Save for a down payment

Aim to cover at least 20% of the purchase price, which might take some time. Being patient and saving up for a large down payment is likely worthwhile if you can delay getting a car until you have the funds. It will save you money overall and lower your monthly costs.

What should you avoid when buying your first car?

11 Mistakes to Avoid When Buying a Car
  • Failing to research cars and prices ahead of time.
  • Not finding your own financing options.
  • Shopping for a car at only one dealership.
  • Focusing on monthly payments only.
  • Not negotiating enough.
  • Not test driving the car.
  • Falling in love with a specific model.

How many miles should a used car have?

As a general rule, you should assume that the average car owner puts 12,000 miles on a car each year. To determine whether a car has reasonable mileage, you can simply multiply 12,000 by its age. That means good mileage for a car that’s 5 years old is 60,000.

Should I talk to my bank before buying a car?

But even some car dealers favor preapproval. “I always suggest that you apply for financing with your bank or credit union before you go car shopping,” says Michael Bradley, fleet internet sales manager at Selman Chevrolet in Orange, California. “Then let the dealer try to get you a better rate than you already have.”

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What should you not tell a car dealer?

5 Things to Never Tell a Car Salesman If You Want the Best Deal
  • ‘I love this car. ‘
  • ‘I’m a doctor at University Hospital. ‘
  • ‘I’m looking for monthly payments of no more than $300. ‘
  • ‘How much will I get for my trade-in? ‘
  • ‘I’ll be paying with cash,’ or ‘I’ve already secured financing. ‘

When should you not put money into a car?

Most experts suggest following the 50% rule. This means that you should do any repairs that cost 50% or less of the value of the vehicle. If costs are higher than this, you may want to start looking for a new or used car.

What is the safest way to pay for a car?

Bank drafts, contrary to common belief, are not as good as cash, so treat them just as you would a personal cheque. An online bank transfer is one of the safest ways to pay, as it avoids having to handle large amounts of cash and the problems associated with cheques.

How to buy a car cheaply?

How to Buy a Car For Cheap
  1. Pay Cash. One of the best ways to save money on a car loan is to not get a loan at all.
  2. Get Pre-Approved.
  3. Improve Your Credit Score.
  4. Choose the Right Time of Year.
  5. Buy a Manual.
  6. Don’t Do a Trade-In.
  7. Try Auctions.
  8. Lease a Vehicle.

How can I get a cheaper car payment?

How to get a lower car payment before buying
  1. Buy a used vehicle.
  2. Make a large down payment if you can.
  3. Trade in your current vehicle or sell it privately.
  4. Improve your credit score before you apply for a loan.
  5. Shop around for the best financing.

What’s the smartest way to pay off a car?

Refinancing — or just making extra payments — are the best ways to pay off your car loan faster. Even if it’s just a few extra dollars a month, you will reduce your debt and may cut a few months out of your loan.

Does paying off a car early hurt credit?

Paying off your car loan early can hurt your credit score. Any time you close a credit account, your score will fall by a few points. So, while it’s normal, if you are on the edge between two categories, waiting to pay off your car loan may be a good idea if you need to maintain your score for other big purchases.

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