Buying a car is never easy, but gifting one to your teenager can be especially challenging. Whether your teenager has just turned 16 in the US or 18 elsewhere, getting a driver’s license is the first passage toward adulthood.
There are multiple considerations when purchasing a car, especially for a new driver, and here are ten important tips to help you make the best choice for your teen and everyone involved.
1. Define Your Budget
Whenever you make a large purchase, you should set a budget and respect the limit you set. With a car, there will be other expenses such as insurance, or improvement costs if the car is used. Even the most inexpensive of autos will still represent a hefty economic commitment.
Paying upfront may get you a discount while buying on credit may have financing costs attached. Leasing is also an option but may not be suited to the new driver behind the wheel.
2. New or Used? Do the Homework
This is equally as important as deciding to buy a car. There are many used cars in excellent condition but with lower, more affordable prices. New and used cars both have pros and cons. Here are several observations to keep in mind:
New Cars
- Feature the latest in new technology and aesthetic trends
- Have the newest in safety options and meet current standards
- May offer lower costs initially
- Come with a warranty
Used Cars
- Come with a lower price tag
- Cost less to insure
- Offer a vaster selection of vehicles to choose among
If you’ve found what appears to be the deal of a lifetime, it’s legitimate to have doubts. There may be something wrong with the vehicle that is not apparent. Get someone you trust, like the family mechanic to look over the auto before you sign on the dotted line.
A reputable dealer should have no problem with a car being checked out. When choosing a used car, look for a certified pre-owned vehicle. You can also have it examined by an ASE/National Institute of Automotive Service Excellence-certified mechanic. Reliability is fundamental when evaluating vehicles.
3. Cost Efficiency
Look for a car that is efficient in terms of operating costs. How many miles will your teen be driving daily or weekly? How many miles to the gallon will the car you like get? A cost-efficient car can save money long-term. Check out the government fuel economy rating for the vehicle in consideration.
4. Budget for Extra Costs
Once you buy the car, the expenses don’t end with the car itself. Plan on insurance costs, the registration of the auto in your or your teen’s name, and any revisions or fixes if the car is a used vehicle. Gasoline and maintenance will also add to the final sum.
5. Insurance
With a teen driver in the family, your insurance policy and costs are bound to change. Generally, your insurance costs will increase. Read the fine print so your teen and the car are thoroughly covered.
Ask about discounts if your teen is a good student, can take a defensive driving course, or if you install a safe driving monitoring device.
6. Share Expenses
Even if you gift the car to your teen, he or she should be involved in expenses. These might include gasoline, car insurance, or maintenance expenses. Clarify these points from the very beginning.
7. Test Drive the Vehicle You Are Considering
A trustworthy salesman not only will allow you to test drive the car but will encourage you to do so. This will allow you to get a feel for the car and if it serves your needs. Your teen should test drive it, too. If the car is a surprise, trust your impressions.
8. Driving Education and Safety
Make sure your teen takes driver’s ed and driving seriously. A new car may have all the safety features imaginable, but it’s who’s behind the wheel that will make the difference.
When considering safety, look at airbags, bluetooth capabilities, and hands-free features, so that your teen’s hands remain on the wheel. Consider features that limit the maximum speed limit and stereo volume to diminish distractions.
9. Size and Visibility
Consider size seriously. A compact car may be easier to drive in traffic or to park, but a larger car may offer more protection in the event of an accident. Check out visibility. Can your teen see clearly from all windows? Are there blind spots? If something in the design impedes visibility, it may not be the best option.
10. Style
Style may be less important to you, but to a teenager, it isn’t. Uncle Ed’s old car may not be the best of choices. When buying for your teenager, sound out likes and dislikes. Something as simple as color can make all the difference.
A Learning Experience
If you want to surprise your teen, you’ll have to trust your instincts when searching for and purchasing a car.
If you choose to involve your teen, all the better. It may be a learning experience as to what purchasing a car costs and entails. But this first experience can be a very important learning experience that will set the foundation for your child’s future auto purchases.