What Car Can I Afford? 3 Price Ranges to Help You Figure it Out

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What Car Can I Afford? 3 Price Ranges to Help You Figure it Out

Posted on November 28, 2022

 

Thinking about your next car and asking yourself "what car can I afford?" You’re going to need to establish how much money you have available, and what exactly that money will get you, that’s why in today's article we’re going to be establishing exactly that.

 

Establishing a Budget 

 

Let’s start by establishing how much you have available to spend. This is going to be split into two parts, how much money you have on hand, aka deposit money, and how much you have available monthly for loan payments.

 

 

The first one is easy, just open up your bank account and have a look at what’s available to spend, for the second you’re going to have to make a budget.

 

Open up a spreadsheet and track all of your income and expenses throughout the month, once you subtract one from the other you’ll see how much you have leftover at the end of the month. You shouldn't use this amount exactly as your limit, leave a buffer between that and the amount you’ll actually be paying towards car loans.

 

Low End Cars

 

Most people assume that “Low end” automatically means bad, and while there certainly are low end cars that are just cheap and bad, you can still get a good deal if you’re smart about what you’re looking for.

 

Hatchbacks are the ideal class to look at here, small and agile but still with plenty of space for if you're looking for something bigger, the used car market is ideal for this price range.

 

Mid Range Cars

 

 

In the middle of the road you're looking at Sedans and SUVs as well as some of the higher end hatchbacks and lower end Sports cars. The middle is really the ideal place to be for choice. Within this range you’ll be able to get a car of any shape or size to suit your needs and be confident in its quality. This is also where you may find some of the high end cars on the used market.

 

High End Cars

 

To be frank it’s unlikely that you’ll be shopping for high end cars unless you’ve been saving for a while or happen to already be sitting on a massive pile of money. This is the domain of ultimate luxury, ultimate Performance, and at the very top, both.

 

 

Anything in this range could easily cost you millions, so it’s unlikely that you’ll find any used cars here, though at those prices you might find a few used cars up for grabs.

 

We hope this article helped answer your question if what car you can afford. If you have any more questions, please don't hesitate to contact us.

 

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