Mitsubishi Budgeting Tips

May 2nd, 2019 by

Mitsubishi makes some of the world’s most reliable and affordable cars. For many drivers, outright buying a new car, even an affordable one like the 2019 Mitsubishi Eclipse Cross, isn’t in the cards.

Budgeting for a new car is a popular topic, and here at your Clarksville, IN Mitsubishi dealership, we want to give our drivers as much information as possible. For most of us, the best way to purchase a new vehicle is through financing. However, you’ll still have to figure out what you can afford monthly, and that’s where car budgeting comes into play.

To start, it’s smart to get your entire budget in order. An easy way to do this is to break everything down into three categories: needs, wants, and savings. The money you’ll allocate for your new car comes out of the needs category. Second, experts recommend that you spend 10-20 percent of your monthly income on your vehicle. Remember that you’re paying for everything related to owning a car, however. Things like gas, insurance, and maintenance should be accounted for here.

Next, you’ll need to establish the total cost of the vehicle. Don’t forget to factor in the sales tax and registration fees along with the sticker price. This total amount will determine what you need for an auto loan.

When it comes to an auto loan and your budget, be mindful of your loan terms and length. Smaller monthly payments could hurt you over time due to higher interest. You can minimize the amount you owe on your loan by making a larger down payment and by trading in your existing vehicle, using its value toward your next car.

As always, here at our Clarksville Mitsubishi dealership, we’re here to help. We’ll not only show you the right models that fit within your budget, but we can also go over your budget with you and help you find the best financing possible. Visit us today!