Purchasing a used car can be a smart financial move, given a car is a depreciating asset. However, the process has many pitfalls that could turn a good deal into a costly mistake.
Approximately 38.6 million used light vehicles were sold in the United States in 2022. Hence, recognizing the red flags while shopping for a used car can save you from common traps, additional expenses, and the fear of driving an unsafe vehicle.
Read on to know 10 red flags to watch while buying used cars.
Inconsistent Vehicle History
Check for discrepancies in the car’s history report, including mismatched VINs or a history of multiple ownerships over a short period. These inconsistencies can signal that the vehicle has been involved in recalls or accidents, subjected to extensive damage and severe repairs, or tampered with in other ways, such as an odometer rollback.
As per NHTSA’s database, it was found that 227 out of 600 vehicles (approximately 40%) were recalled for unsafe defects, including engine stalling or catching fire, brake failure, airbags that injure or kill, and seatbelts not working correctly in the event of a crash.
One-fourth of recalled cars (without being repaired) find themselves in used-car lots where they are sold by dealers who choose not to inform the buyers about the safety hazards.
Visible Rust
Rust can be a significant problem in used cars, especially in regions with harsh winters where road salt is used or if the vehicle has been flooded. Extensive rust or body damage can compromise a car’s structural integrity. Surface rust is still manageable, but rust can compromise the car’s safety, especially on the frame or undercarriage components. Check for rust under the carpet, doors, and around the pedals. Get a pre-purchase inspection done by a qualified mechanic to know the extent of damage and necessary repairs.
Unusual Sounds Or Smells
Take the car for a test drive; we always advise you to go with a friend or family who knows a little about cars. An extra set of eyes and ears comes in handy to detect strange noises and smells. If you come across noises such as knocking, squeaking, or grinding, it could indicate serious mechanical issues. Likewise, odd smells like burnt oil or musty odors can suggest problems with the engine or a history of water damage.
Signs Of Flood Damage
452,000 flood-damaged cars in the U.S. were back in circulation in 2023, a 13% rise from 2022. Flood-damaged cars often have electrical, electronic (airbag control issues), and mechanical problems that may take months to surface. Check for signs like musty odors, discolored carpeting, mud in the trunk or under carpets, or water stains in unusual places. Be cautious, as flood damage can severely affect a car’s longevity and reliability.
Poor Repair Work
Poor repair work is a major red flag. If you are looking for accident damage, look for the signs in the car body, such as in front of the radiator, under the trunk carpet, or the wheel wells. Carry a flashlight with you; don’t be embarrassed about it. It’s your money; they can’t expect you to throw it away. Look for signs of amateur or haphazard repairs, such as mismatched paint, uneven panel gaps, or poorly aligned components. These indicators suggest that the car might have undergone poor-quality repairs after an accident, compromising its safety and value.
Engine Issues
Engine problems are one of the most common issues found in used cars. Check for warning lights on the dashboard, excessive exhaust smoke, a puff of blue smoke when a cold engine is started, or signs of oil leaks around the engine. Additionally, it is essential to find out if the engine jerks or makes unusual noises during acceleration. These symptoms can indicate engine troubles that might be expensive to fix. While there, check the oil level for cream-colored formation under the oil cap. Furthermore, look for leaks underneath the vehicle while idling.
Rough Ride
Without a test drive, you will not be able to assess the car’s overall acceleration, handling, and braking performance; hence, always insist on a test drive. Does the acceleration feel sluggish? Does the vehicle vibrate excessively? Does the car pull to one side? Does the car make unusual noises during gear shifts? Do the brakes feel soft or require excessive pressure to stop? All these indicate underlying mechanical problems and could lead to costly repairs.
Inconsistent Odometer Readings
According to the NHTSA, 450,000 vehicles are sold annually with false odometer readings, which costs car buyers more than USD$1 billion. Compare the odometer reading with the vehicle’s maintenance or inspection records. Examine the tires; the car should have original tires for an odometer reading of 20,000 or less. Signs of odometer fraud include wear and tear, such as the brake and clutch pedals.
Suspiciously Low Price
In 2023, the average price of a used car in the U.S. was around $27,000. If your dealer or the car owner is quoting a significantly lower cost than the market value, it indicates that the car has underlying problems and might need massive repairs. The seller could be trying to offload a vehicle with hidden defects, salvage history, or title issues. It is advisable to know the market value of the car you are interested in, and if it is offered at a substantial discount, it’s better to proceed with caution.
Pressure From The Seller
High-pressure sales tactics are a red flag. If the seller rushes you to make a decision, refuses to allow a thorough or pre-purchase inspection, or refuses to provide necessary documents (including a clear title, maintenance records, or receipts for recent repairs), he is trying to hide some negative aspects of the car. Hence, proceed with caution.