Buying a Used Car "As-Is" | Importance of a Pre-Purchase Inspection
Credits: Getty / Kchande / Federal Trade Commission / Carfax
Buying a car can be stressful. Especially when you are buying a previously owned or used vehicle. It’s a big investment. Are you asking the right questions? Are you making the right decision? Anytime you are buying a vehicle “as-is” you have to protect yourself. Team Ryan Automotive is here to help you make the right decision for you. Start with this handy guide and then remember to contact us to schedule a pre-purchase inspection.
What is ‘As Is’?
The term ‘as is’ means exactly what it sounds like. It’s a legal term that means the car is being bought in whatever condition it is currently in. Typically, ‘as is’ is synonymous with ‘no warranty’ as well. Once the title is handed over, the issues of the car become the responsibility of the buyer.
Some issues are known or and some are unknown. This is why it is important to ask questions in order to fully understand the condition of the car before purchasing. Legally, the seller is required to answer honestly once you have asked the question; however, if you do not ask, they don’t have to tell you if anything that’s wrong with the vehicle.
Bear in mind, as a buyer, you have a right to know whether or not the car is listed ‘as is’. A car dealer cannot sell a car to you without disclosing that information.
Private Sellers vs. Car Dealerships
There are pros and cons to both of these options, so ultimately, it is important that you make the decision based on what’s best for you in mind.
With a private seller, the car will be sold to you as is. With that being the case, it is important to get a full rundown of the condition of the car. On the positive side, assuming the private seller has owned the car for a considerable amount of time, they should be rather knowledgeable about how the car is running and how it has been maintained.
Once the title is signed over to you, you are then responsible for anything that goes wrong with the car, so make sure you are absolutely positive the car is in good, working condition.
Private sellers are typically going to be a cheaper route than most dealerships. With a dealership, they are looking to make a profit, and private sellers may just be looking to get rid of a car.
Car dealerships may also sell you a car as is. Oftentimes, used cars at a dealership are known as CPO vehicles–which stands for certified pre-owned vehicles. A CPO vehicle is going to be more expensive than an as-is vehicle because it’s being sold with added incentives. It will often have a warranty, extending the number of miles covered. The car will have been thoroughly examined to make sure it meets minimum standards, and sometimes repairs will be done prior to selling to ensure its condition.
The idea of a CPO vehicle is you’re paying more money upfront, to avoid paying additional money for repairs. There is no guarantee of what will happen once the warranty wears off, and there also is no guarantee that the price of repairs will be low.
Regardless of whether you choose to buy from a private seller or a dealership. You need to have as much information as possible before signing on the dotted line.
4 Tips to Help You Buy a Car ‘As Is’
The process of buying a car ‘as is’ is similar whether you choose to buy new or used. For any big purchase, you want to make sure it isn’t a spur-of-the-moment decision. So, with that in mind, here are some steps to ensure you drive away feeling confident about your new purchase.
- Research, Research, Research
There’s a saying that’s rather popular nowadays, “Do your own research.” Research can help you determine what type of car you’re looking for, what features are a must, and what price range you want to stay within. Even if you’re looking to buy a new car, research is still an important part of that process as well. - Vehicle Report
Getting a rundown of the vehicle history is a very important step to buying a car ‘as is’. This will help you determine if the car is worth it. If major things have happened to the car (i.e. multiple accidents, flood damage, storm damage, etc.) perhaps that’s a sign to look elsewhere. - Don’t Forget That Test Drive!
The vehicle should feel right when you get behind the wheel. But it isn’t just about comfort or familiarity. Pay attention to how the vehicle steers and rides. Is it bumpy? Do you feel any shaking? What about the brakes? Are they responsive? If anything feels off about the car, take a deeper look at the past repairs and maintenance. - Inspection Time
Let’s say that the test drive went great. You are feeling good about the condition of the car. The price is in your budget, and it even has a few key features you were interested in. You probably gave it a glance over during your test drive. You asked all the right questions, and that’s great! However, it's still important to have the car professionally inspected.
Even the most enthusiastic car aficionados should have their potential vehicle inspected by a mechanic. For reliable and expert inspections, tow the car to Team Ryan, and we will ensure the safety and function of the car with a quality inspection. If the seller is wary of an inspection, that is reason enough for you to be wary about continuing, so keep that in mind.
What if I Purchase a Lemon?
Although there are no lemon laws protecting used car consumers in this state, a Georgia lawyer, Michael Flinn, has broken down the ways in which consumers are protected under the law after purchasing an ‘as is’ car.
As mentioned above it is imperative to get a thorough vehicle history, which includes asking questions about the car with the private seller or public dealer. Under Georgia law, if the seller or the car is deemed misrepresented orally, you can file a complaint for fraud. Essentially, if the seller lies about the conditions of the car or the history, that is a claim for auto fraud.
Flinn also breaks down another method of seeking legal action. Similarly, consumers are protected from auto fraud under the Fair Business Practices Act. Because of this, if the seller made any sort of misleading or outright false claims about the used vehicle, there can be a claim of Unfair Business Practices, under Georgia law.
With that being said, ask questions. Ask, ask, ask. If the seller didn’t tell you there was a problem because you didn’t ask, there’s nothing that can be legally done. However, if you ask about the specifics of the car, and the seller is not honest then you can take legal action, so that is why asking questions is so important.
Asking questions can also be intimidating. So, for first-time or 20th-time car buyers, here’s a list of questions that should be asked in this kind of situation:
- Has this car been in an accident and does it have a clear title?
- What is the status of the title?
- How many owners has this car had?
- Why are you selling?
- When was the last time the timing belt was changed?
- Do you have the maintenance records?
- Do you know of any issues or repairs that need to be made?
- How many miles a day or week are you driving this car?
- Do you mind if I take the car in for a mechanical inspection?
If the seller says no to an inspection, please be cautious of continuing. An inspection should be no problem if they are being open and honest about the conditions of the car.
If you’d like to contact us about an inspection before you buy a used car, we have two locations in Georgia. To reach our Buford shop, give us a call at (678) 765-7926. If you are in the Cumming area, give us a call at our Freedom Parkway location at 678-341-9602. Or you can schedule an appointment online.
