Buying a car - the process...
 

Hi everyone, when I arrive in LA in 10 days(!) I will be looking to buy a used car asap. Something up to 10 years old probably for a couple of thousand dollars.

Can anyone advise on the process or correct me where I wrong below please?

1. Identify car, check insurance and buy it (Get the 'pink slip' from the current owner?)
2. Call insurance to pay for quote previously obtained.
3. Get inspection certificate. (Total guess that one...)
4. Drive to local DMV to register vehicle (can be done online? expensive?)
5. Pay tax (is there vehicle tax like here?)

Is that how it goes?
Thanks :)

Re: Buying a car - the process...
 

To add, I plan on getting a CA license asap but since I need to get an SSN card which can take a while to receive, I can't apply for my written test and temporary license until I do. Am I right in thinking I only have 10 days to get a temporary license? Am I also right in thinking I can buy a car without a US license?

Re: Buying a car - the process...
 

I wouldn't do this.

Re: Buying a car - the process...
 

Yeah well I wouldn't do it either but I will need a car and my budget (inc insurance) is under $4000 so I don't think I have much of a choice.

Re: Buying a car - the process...
 

I agree, American used cars are expensive, and often expensive junk. You should expect to pay at least $5,000 for something that isn't a complete POS. Anything less than that

(i) is going to look like a rolling breakers yard,

(ii) may be dangerous even to drive - California has no annual safety inspection/MOT, and

(iii) is more of a future stream of repair bills and frustration than a reliable means of transportation.

Re: Buying a car - the process...
 

Yeah but... I will need a car and my budget (inc insurance) is under $4000 so I don't think I have much of a choice.

Re: Buying a car - the process...
 

I don't know about CA but some states make you pay sales tax on private sales when you go to the DMV to register it.

Re: Buying a car - the process...
 

I do understand, but a 2K car is not what you might think it is here.

Re: Buying a car - the process...
 

CT require sales tax on used cars.

Re: Buying a car - the process...
 

Well if you're serious about buying something that cheap, look at the used car dealers with signs in Spanish, or "Se hablo Español" signs, and if you have the income put some of your money towards a down payment and have them finance the rest. Dealers at the bottom end of the market usually have signs saying "buy here, pay here", meaning the dealer is providing the finance, not a bank or credit company - the interest rate will make your eyes water, but for a more reliable car it is worth it. ..... Then take a look at cars in the $6,000-$8,000 range, and try to find something with less than 150,000 miles on the clock and that isn't fit for the scrap yard.

Re: Buying a car - the process...
 

4-5K would land you a Civic, or similar, that isn't a complete shed and would hold you over for a while.

Re: Buying a car - the process...
 

Probably with 200,000 miles on the clock - but don't be too fazed by that, cars in the US often do crazy mileage. Our Accord is currently at 313,000 miles. ..... Yes, you read that right! :blink:

Re: Buying a car - the process...
 

I'm not sure my situation is particularly representative of the norm here. We're a start up in the US with a very limited budget. I am not rich and do not have much in the way of savings. What I do have is going on rent, deposit and last months rent plus living expenses until my first paycheque in September. It's tight but doable.

Yes, I am hoping for a good deal on a small car for $2-3k (max) but I have to believe it's possible because I've done enough stressing out the last 6 months for a lifetime and right now I need to figure out how I'm going to get to the office and to meetings on this kind of budget.

Re: Buying a car - the process...
 

Your budget will take an extreme hit if you think like this. Cheap cars are cheap for a reason and usually that means it will cost a fortune to fix when it goes wrong! It's extremely hard to find any kind of warranty apart from the remainder of a manufacturer's warranty if applicable, but that would be a much newer vehicle and way out of your price range. Alternatively, you could buy a third-party extended warranty at a cost.

As an example, last year, my wife's 2007 CR-V, which we bought new, had to have the A/C compressor replaced. Cost from an independent mechanic? $1300!

Insurance will likely be paid in installments, so you can possibly up your budget. As with anything, the more you know, the better. Check pricing on Edmunds.com and KBB.com before you even go and look and be prepared to haggle.

Personally, I would seriously rework your budget if you want to be able to get where you're going without worrying all the time and you want to keep your hand out of your pocket as much as possible.

Trust me, if you drive away and it dies, the dealer will NOT be sympathetic.

Re: Buying a car - the process...
 

I saw this and thought it looked like a decent deal. I'm guessing it's a complete shed if what everyone is saying is true but if it were available I'd definitely have checked it out.

https://losangeles.craigslist.org/ws...701842932.html

Re: Buying a car - the process...
 

FIFY

Re: Buying a car - the process...
 

I know all this. I really do and I'm not being stupid or stubborn. I can't magic up money out of thin air. That's the crux of the matter and I will have to use my knowledge of cars to find a decent runner with an affordable price tag.

Re: Buying a car - the process...
 

It's on Craigslist. ...... Something doesn't smell right. :unsure:

Re: Buying a car - the process...
 

Maybe in the short term Uber would be better. Add the purchase price, insurance, running costs, repairs and you will get a lot of trips until you get more settled.

We're not wishing to be negative, but realistic. A $2k car is guaranteed trouble and cost. Winning the lottery would be a much better bet.

Re: Buying a car - the process...
 

Save on parking too, maybe even dabble in some public transport if you're not in a hurry.

Re: Buying a car - the process...
 

I understand that. I don't want this to turn into a thread with everyone telling me the same (spend more money when I have none to spend) and then making my replies look like I'm being defensive. I'm not. In an ideal world I would have $8k and I'd go grab a better car. I just don't. I will be enough travelling that uber might not be a good idea to be honest. I think I'll blaze through $4k in no time.

Re: Buying a car - the process...
 

"Enough traveling", sounds like you need something reliable.

Re: Buying a car - the process...
 

Have you considering just financing something newer from a dealership?

Ford in Denver were recently offering a $2000 down payment with 6 months free insurance and then I think the car was around $180-250 a month?

Figures are probably wrong but that's certainly what I'll be doing when I arrive. Everyone I've spoken to so far has said most of what you pick up under $5000 is generally going to be a massive PoS.

Re: Buying a car - the process...
 

That'll be a non-starter if he has no credit history - which is why I recommended finding a "buy here, pay here" used car dealer. See post #10, above.

Re: Buying a car - the process...
 

I was in a similar situation when I arrived, no money and no job and the wife's car crapped out instantly so ended up spending $1200 on a car. As others have said it will have issues but you can probably live with them, it had over 200k on it and the radiator leaked and the AC had issues too but beggars can't be choosers. It lasted long enough for me to get a job, credit history and for someone in an 18 wheeler to drive over the front of it at a stop sign so we got about 3K off his insurance so it did the job.

I would recommend signing up for something like Carfax though just to make sure you're not getting a totaled car as they're very common around that price range.

Re: Buying a car - the process...
 

It appears the OP is going to be in LA -- with lots of stop and go freeway driving, presumably. All he needs is something that's going to expire in the middle of the road in rush hour! As SpoogleDrummer said, a Carfax report is a must, especially if he's looking on Craigslist . . .

Re: Buying a car - the process...
 

At that age, Carfax makes little difference to the car. It's a cast that could be added into the price of the car. You take a chance with whatever you buy and if it's been rebuilt with even salvage parts, it has MORE chance of surviving than an old heap!

Re: Buying a car - the process...
 

Agreed. So long as it isn't obviously held together with ducktape and filler, and doesn't do an impression of a crab when you take your hands off the wheel on a straight, level road, then a Carfax report is probably a waste of money.

Re: Buying a car - the process...
 

Depends on the car and state you live in, and how lucky you feel as regards liability cover, but insurance for a newbie with no US driving history is typically $1k for 6 months.

Re: Buying a car - the process...
 

Hey there,

How long will you need the car for before you get into a position to maybe lease or buy a car? You could do worse than renting a car - its unlikely to breakdown (and if it does, you just swap out for another at their expense!) / insurance is included, you can drive with your UK license. Just did a really quick check, your $4k budget could carry you for over 7 months of unlimited and worry free driving.. . I did it when I moved over to Boston for 6 weeks, and then got all my material in order for a lease on a brand new Volvo with zero credit history.

Alternatively, if it is available, Uber has started Uber Pool Pass in some cities - In Boston, where I am, I'm paying $75 for 40 rides a month - my car is getting lonely since I started using Uber everyday!

Re: Buying a car - the process...
 

We've just moved to Maine on hubby's EB1A visa and working our way through things. Currently trying to close on a foreclosure -very traumatic! We've just bought a car with finance but hubby has a lifetime pension which they accepted as proof we could pay as we have no credit history here The issue on this is that the rate is horrendous. We looked for a cheap car ($3K) thought we had struck lucky with an Equinox which had been p/ex for a new vehicle at a reputable dealer. It turned out to be unroad worthy and couldn't get a sticker (US MOT equivalent). Be careful I would look at seeing if you can do a deal with an Uber car. Build up credit history and lease a car.

Re: Buying a car - the process...
 

I think you can rule out being able to buy a cheap reliable car from a dealer. But you do get ordinary honest people selling their cars privately. Someone bought a single-owner damage-free 15-year-old car privately on craigslist for $2,500, and it turned out to be reliable as the seller had said. So you could try buying a car on craigslist, but you need time, and you need to get there quickly.

Re: Buying a car - the process...
 

I don't know about CA, but look on the DMV for the extras that go with buying the car.

Stuff like cost of a title, registration/plates, inspection, sales tax and possibly a town excise/property tax.

Spend a bit more of the $4K budget on the car and go for minimum state liabilities for insurance and hope you don't hit someone who is a high earner and have assets that'll be taken from you?

Re: Buying a car - the process...
 

The OP could try selectively shopping for discontinued marques as they lose value rapidly and are often especially cheap.

The last marque to withdraw from the US market, I think, was Suzuki, about 4 years ago. SAAB, Pontiac, and Saturn were shut down by GM in 2009 or thereabouts. .... GM also shut down Hummer, but the OP isn't going to get a Hummer for his budget.

Re: Buying a car - the process...
 

The last Saab was a 2011.

They are cheap to buy and reliable, especially in the colder states, but maintenance can become expensive. Up in Maine, they're pretty cheap and viable as there are a few junk yards that specialise in the parts but down in MA, not so much, so garages aren't as keen to get the parts that'll take a couple days to arrive.

Re: Buying a car - the process...
 

The OP could probably buy a car with a salvaged title for the money. Not something that I would do.

I was shocked when I moved here looking for a car for $10,000. Used cars are expensive on the whole in the US compared to the UK. I also got stung with "use tax" when I went to register the car.

Re: Buying a car - the process...
 

Thanks everyone for all your replies. Still unsure what I will do but I'll figure it out when I arrive on Monday!

Uber: This would rack up pretty quick, I might have to during the first month if I can't find a car but I'm still hopeful I can figure something out.

Public Transport: I would gladly use public transport if I could but where I need to go each day, the transport links are poor and I will be meeting people all over LA. It's just not an option (much like cycling).

Financing from a dealer: As Pulaski said, I have no credit.

Buy here, pay here: Thanks Pulaski, I will definitely look into this.

Salvage title: Might not be as bad an idea as it sounds. Definitely cheap, maybe repaired well, would need a thorough check but I read there are bargains to be had.

Renting: For long periods this costs so much money, well over $1000 a month when I looked. Where did you see an LA rental for $570?

Private: This is my first port of call, someone selling a decent car for less than $2,600 privately. It could happen...

Bob: I'll check CA DMV for that information, hopefully it won't be too much of an expense to register the car.

Insurance: I reckon this will be upwards of a bag of sand for 6 months so $2,600 for the car (ish) and then money for all the fees (up to 10% for use tax alone) sounds about my max.

Upon buying a car I need to pay for the following:
Transfer
Use Tax - Based on new registered owner's city and county of residence
Registration Renewal
Planned Non-Operation
Duplicate Title

When a gas-powered vehicle is more than four model years old, or a diesel-powered vehicle 1998 year-model or newer and has a GVWR of 14, 000 pounds or less, the seller is required to obtain smog certification when transferring ownership of a vehicle UNLESS certification was obtained within the last 90 days.

Re: Buying a car - the process...
 

Just a thought but try local garages. Mine in NYS sold cars that his customers were getting rid of when they were buying new ones. My daughter purchased a older Lexus for under $5,000 and he gave it a six month guarantee. This was three years ago and the car had over 100,000 miles at the time of purchase and is still running well (please don't let this jinx her).

Re: Buying a car - the process...
 

Thanks Rete, I'll be having a good look around for sure :)

Re: Buying a car - the process...
 

Try Kia and Hyundai dealers. Those cars are among the cheaper brands but still depreciate like a rock, so if they are traded in but too ratty to put on the forecourt and resell they are going to be pretty low value, and especially in the case of a Kia, not fit for much more than scrap.

By all accounts these brands are reasonably reliable, so should still be serviceable even if they are eight-ten years old and pretty tatty. So if one of those dealers has any trade-ins that they have stored around the back, waiting to be hauled off to auction, they may be the sort of car that you're looking for.