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Home Finance Personal Finance

rewrite this title What to Look for When Buying a Used Car – NerdWallet

Shannon Bradley by Shannon Bradley
January 14, 2025
in Personal Finance
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You don’t have to be a car expert to quickly evaluate a used car you’re thinking about buying. Our car inspection checklist isn’t intended to replace a professional pre-purchase inspection, but it can help you assess whether a used car might be worth pursuing.

When to go and what to bring

When you inspect a car that’s for sale, it’s best to do it in the daylight. Take a small flashlight to look under it. If you’re considering several cars, a notebook and camera to record what you find can be helpful for later comparison. Also, have a paper towel to check the oil and a small magnet to test steel panels.

Planning to buy a car?

Explore the auto-buying platforms from our partners below.

New and Used Car ShoppingEdmunds offers expert car reviews, pricing information, and detailed comparisons for new and used vehicles. With comprehensive data on thousands of cars, trucks, SUVs, and hybrids, Edmunds helps users make informed decisions by providing valuable insights into vehicle performance, features, and costs. The platform also allows access to financing options, vehicle listings, and dealership information, making the car-buying process seamless and stress-free. Whether searching for a new model or a quality used car, Edmunds is a trusted resource for all automotive needs.

CarMax – Used car purchase loan

CarMax

Used Car Buying and FinancingCarMax is the largest used auto dealer, offering pre-owned vehicles at over 240 store locations with multiple finance sources through CarMax Auto Finance and partner lenders. Pre-qualification is available, enabling customers to explore financing options without impacting their credit.

CarsDirect - Car Purchase

CarsDirect – Car Purchase

New and Used Car ShoppingCarsDirect provides a broad selection of new vehicles, including cars, trucks, SUVs, and hybrids, through an extensive network of dealers to ensure great deals. For those interested in quality used vehicles, they offer access to over 1,400,000 listings, making it easy to find and secure the perfect car, truck, or SUV. The platform allows users to conveniently save searches and receive notifications when new listings match their criteria. Additionally, CarsDirect partners with numerous dealers to offer streamlined purchase options for both new and used cars, simplifying the buying process.

TrueCar

New and Used Car ShoppingTrueCar offers an extensive platform for buying and selling cars with transparent pricing and personalized offers. Their digital marketplace simplifies vehicle research, and with TrueCar+, the entire car-buying process can be completed online, including flexible financing, home delivery, and options for selling or trading in vehicles. Customers also benefit from a straightforward, no-hassle experience with trusted dealers. TrueCar partners with a network of verified dealers to ensure reliable transactions and competitive deals on both new and used vehicles.

Things to check when buying a used car

Here are four key areas to check on a car. Finding a few of the listed items doesn’t necessarily mean you shouldn’t buy it. However, if you find many items — especially if they’re indicators of serious problems — continuing your search for a car in better condition is probably a wise choice.

1. The exterior

☐ Paint is free of deep scratches and dents, and it isn’t blistering or peeling.

☐ No large rust patches; fresh paint might be an attempt to cover rust.

☐ Paint colors match on all panels; mismatched paint can be a sign of repairs.

☐ No gaps between body panels and bumpers; large gaps might be from accident damage.

☐ Magnet adheres to all steel body panels; if not, damage could have been repaired with filler.

☐ The windshield is free of cracks and chips.

☐ Windshield wipers are fully functional.

☐ Headlights and directional lights are intact and operational.

☐ Doors, trunk or liftgate work smoothly, close tightly and lock.

☐ The car rebounds, but doesn’t bounce up and down, when pushed down on each corner (tests the shock absorbers). 

☐ Tires are the same size and brand.

☐ Tires don’t have uneven tread; uneven wear can be a sign of alignment issues.

☐ Tires aren’t overly worn; a penny placed in the tread groove with Lincoln’s head down shouldn’t show the top of his head.

☐ No evidence of fluid leaks under the car.

☐ No rust on underbody surfaces.

☐ No obvious signs of damage, repairs or pieces hanging down beneath the car.

☐ The catalytic converter isn’t missing; in states with emissions standards, the lack of a catalytic converter can cause a car to fail emissions testing.

2. The interior

☐ Seats aren’t overly worn and are free of cracks, tears and holes.

☐ Upholstery is free of large stains.

☐ All seats adjust properly.

☐ Seatbelts extend, retract and buckle.

☐ No signs of water damage under carpets.

☐ No signs of leaks around the windows or sunroof.

☐ Free of odors, musty or smoky smells; heavy air freshener scent could mean something is being concealed.

☐ All controls, gauges and indicators are functional.

☐ Windows and sunroof (if applicable) open and close.

☐ Warning lights illuminate and go off.

☐ Everything functions properly, including air conditioner, heater, hazard lights, turn signals, door locks and the sound system.

☐ Smart device pairing works (if applicable).

☐ Mileage on the odometer is reasonable for the car’s age and condition; if not, the mileage could have been illegally rolled back.

3. Under the hood

☐ Rubber hoses for the radiator, air conditioner and other parts are free of cracks and holes.

☐ Hoses don’t feel too stiff, brittle or mushy; make sure the car is turned off and hoses are cool before touching.

☐ Belts aren’t worn or frayed.

☐ Wires and hoses aren’t hanging loose.

☐ Oil on the dipstick doesn’t have water droplets or appear grey or foamy, which could indicate a serious problem.

☐ Oil is amber colored, not dark brown, black or gooey.

☐ No shiny metallic particles in the oil.

☐ No sign of fluid leaks on the bottom of the engine.

☐ Fluid levels (power steering, brake, coolant, oil and transmission) aren’t low; fluids below the minimum level could indicate leaks.

☐ Battery terminals are free of corrosion; corrosion could indicate damage to other parts of the car.

☐ The radiator doesn’t show signs of leaking; radiator fluid is green or orange and not milky or a rusty color.

☐ No evidence of mice or other nesting animals, which could have caused damage.

4. When driving

☐ No clunking noise when putting the car into drive (for cars with automatic transmission).

☐ Drives smoothly and shifts gears as it should.

☐ Doesn’t vibrate at highway speeds.

☐ Brakes are effective and don’t make unusual sounds.

☐ Steering is smooth, responsive and returns to center after turns.

☐ No odd noises, squeaks or rattles; turn any music down to listen.

☐ For hybrid vehicles, the in-car display shows battery charging and discharging.

☐ For EVs, the estimated range displayed is close to the actual miles driven.

☐ Parking brake engages and disengages.

☐ No hissing noises under the hood or signs of fresh leaks after driving.

After a car’s checklist checks out

If you feel positive about a vehicle after going through the used car checklist, you may want to invest more time (and money) into confirming that buying the car would be a good decision. Here are some next steps to take:

Get a professional inspection. This will cost several hundred dollars, but a used car inspection by a trained mechanic with the necessary equipment is critical to uncover issues that aren’t visible to you.

Buy a vehicle history report. A vehicle history report tells you about a car’s past, such as number of owners, whether it was in an accident and how often it was serviced. Expect to spend about $30 to $45 for a comprehensive report.

Check safety ratings. See how the National Highway Traffic Safety Administration (NHTSA) and Insurance Institute for Highway Safety (IIHS) have rated the car[0]

National Highway Traffic Safety Administration. Ratings. Accessed Feb 19, 2025.

, [0]

Insurance Institute for Highway Safety. Vehicle Ratings. Accessed Feb 19, 2025.

.

Check for recalls. The NHTSA website lets you search for any unresolved recalls for a car[0]

National Highway Traffic Safety Administration. Check for Recalls. Accessed Feb 19, 2025.

.

Check for a branded title. Branded titles identify cars that have been damaged. For example, a car with a salvage title has been declared a total loss by an insurance company. Information about the status of a car’s title usually appears on a vehicle history report.

Ask for service records. See if it’s possible to obtain service and maintenance records on the car.

Look at a car’s Buyers Guide. The Federal Trade Commission (FTC) requires car dealers to display a Buyers Guide, which is actually a large sticker, on every used car they have for sale. The sticker tells you whether a car is for sale “as is” or with a warranty. It also lists the car’s major mechanical and electrical systems and problems to look out for[0]. 

Buying a used car can save you money and even enable you to step up to a higher trim level than you could afford with a new car. But it’s critical to know what to look for and what questions to ask about a used vehicle. Due diligence before you buy can help prevent a buying decision that you later regret.

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