Looking for a car.. <$10k, <9L/100km, >2006, <100,000km, Hatch/Sedan, Auto, Cheap Maintenance, Good/decent resale value

illumination on 07/03/2014 - 21:14
Last edited 11/03/2014 - 23:43

Hi all,

Looking to buy a car..

Criteria:

  • Price: $10,000 or less including rego (does not need to include insurance) - willing to increase if I can be convinced that it's worth it
  • Transmission: Auto
  • Year: >2006
  • Fuel efficiency: 9.0L/100km or less urban driving in real usage
  • Mileage: Either <90,000km or 100,000km+ ONLY if timing belt/major servicing completed
  • Body type: Hatchback/sedan with good boot space
  • Maintenance: Cheap, or able to maintain at places with capped price servicing (hybrids although fuel efficient cost too much to maintain?)
  • Must have: ABS (anti-lock braking system), full service history, no crashes
  • Brand: Nissan, Toyota (preferably not Corolla hatchback - this is my previous car), Honda, Volkswagen, Hyundai, Mitsubishi, Mazda
  • Ideally: Bluetooth & aux input, cruise control, reverse sensors, foldable seats (for extra storage room), good resale value (Toyota/Honda mostly?)

In terms of hatchbacks, stats tell me Honda Jazz's are fuel efficient and friend says they have good boot space + backseats are foldable.
Sedans, I'd imagine boot space wouldn't vary too much.

I've looked at carsales.com.au and given my budget I think I would have to be going for a second hand car (which is fine).

My friend reckons I should look for a private seller and get a certified mechanic to inspect the car, instead of going to a dealer because dealers tend to miss out a lot. Having said that, dealers seem to be the places where you can get 3 year warranties and all that.

Any tips/ideas for cars? Anything in particular to look out for?
Thanks in advance - would appreciate any advice.

Automotive

Comments

  • Car-la-la on 07/03/2014 - 21:21
    +1

    auto or manual?

    • illumination on 07/03/2014 - 23:09

      Sorry forgot to include that.
      Auto.

      Edited it together with the OP.

  • cpho on 07/03/2014 - 23:10
    +1

    Mazda/VW are out of the price range.
    Would go with something Japanese, so I'd say Toyota Corolla? Common enough car, should be one no matter where you live.
    Mitsubishi 380s havent got a great resale, but if you can find one running LPG, then it'd be pretty efficient.

    Take a look at CarSales, because with that many filters, you'd surely narrow it down to a couple dozen cars. Then just pick whichever looks nice, take it for a drive, rinse and repeat

    • illumination on 07/03/2014 - 23:24

      Yea fair enough thanks for the advice. Do you know if cars running LPG would cost any more to maintain than those running regular unleaded petrol?

      I forgot to mention that I'd prefer not to get a Toyota Corolla. Not a hatchback at least as this was my previous car. It's a great car but just feel like something slightly different.

      I am also somewhat thinking of the process - i.e. dealer or private then get a certified technician.

      • cpho on 09/03/2014 - 18:28
        +1

        I cant remember where I read it but I think it's 35/40%? more than the Unleaded fuel consumption?
        So the 380, which is a 11/100km car, will be 15/100km on LPG. Still much cheaper.

        But you have to check because there's a few different types of those LPG systems.

  • MustResistPurchase on 07/03/2014 - 23:35

    What year are you after?
    Perhaps a 2008 Honda Civic VTI will do. Fits your criteria, just might be hard to find.

    • illumination on 10/03/2014 - 00:32

      2005 or 2006 and later.
      Definitely a car I would consider but haven't seen any of them come up from my searching so far!

  • [Deactivated] on 07/03/2014 - 23:42
    +7

    Personally at this price point and from what you've described above, I'd be looking at a used 2010-2011 Toyota Yaris or a Mazda 2.. possibly a Honda Jazz if you can find one within budget. Any of these are good on petrol and will hold value well - the first 2-3 years is where the bulk of the depreciation occurs. If you want auto you might need to stretch a tiny bit past 10k to get a recent example.

    Servicing usually not too bad in years 3-4 of a cars life, year 5 usually has a fairly major service. Inspect the log book to check the next service isn't a major one eg 100k kms.

    Don't forget buying used cars in nsw attracts a 3% stamp duty when you transfer it into your name - also be mindful
    of how much rego is left, this could add another $400 or so if you need to renew shortly.

    Very importantly don't rush into anything and do your homework - especially if you are new to buying used. Golden rule is that another one will always come up - the same car left on the market for sale just goes down in value. Some NRMA advice here

    http://m.mynrma.com.au/motoring/buy-sell/used-cars.htm

    But a few tidbits from my own experience

    1. Make sure car has a full service history / log books
    2. Check the VIN number from the compliance plate (usually on the body of the car when you open the door) against the rego papers and that they are the same. Make sure the person you are dealing with is the owner.
    3. Check electrics etc - windows, instruments (speedo, odometer), speakers are working.
    4. Modifications will make the car harder to insure and harder to sell - better to hold out for a non-modified example.
    5. Always inspect in daylight if possible - blemishes in the paint or bodywork will be far easier to spot. Look at the car from the front and rear and check it looks straight ie no poorly repaired work
    6. Bring someone along with you for a second opinion on the test drive
    7. If it looks ok, then do a title search on the car to check if any finance owing, and a check with the RTA that it hasn't been written off before
    8. If those check out, and you want to buy put an offer in subject to it passing a an NRMA prepurchase inspection (about $250). If possible put as little money down as possible by way of deposit. Some mechanics aren't fantastic - if possible use NRMA for this, it'll also seem more independent that using your or the sellers mechanic.

    The big advantage with dealers is 3 month / 5000km statutory warranty - less likely to buy a lemon from a dealer since they'll be out of pocket fixing the car if anything is wrong. A friend of mine bought first and NRMA inspected later. The 3k or so of repairs were covered under warranty. The disadvantage is they cost more. As long as you don't skimp on your homework, there's no reason you can't get a great used car privately. Good luck!!

    • illumination on 09/03/2014 - 19:54

      Hey,

      Definitely appreciate the feedback you've provided!
      I didn't know about the 3% stamp duty. Does that apply regardless of whether purchasing from a dealer or private?

      With the servicing reference you made, are you saying I should check to make sure that if it's approaching 5 years or 100000km, I should check the logbook to ensure that a servicing has been done prior to me purchasing it, correct? Otherwise I take it that it's something quite costly I'd end up having to pay for shortly after purchasing.

      The friend of yours who made the purchase bought it from a dealer, and after NRMA inspected it he took it back to the dealer and got the 3k worth of repairs covered by the dealer?

      Thanks again.

      • [Deactivated] on 10/03/2014 - 00:04

        Hi no worries

        Stamp duty applies on a used car - both private and dealer. If the dealer advertises as a drive away price then it's factored in, if not then assume that there's an extra 3% on top
        http://www.rms.nsw.gov.au/registration/feesconcessions/stamp…

        Yep correct re: servicing - have a look at the log book and the description of the next service. If it's a big one you can always call up the dealership and ask them what it will cost. Forgot to mention, dealer stamps in the log book are better than local mechanics from a resale perspective.

        Correct again my friend bought it and it seemed inadequate for the towing (was a turbo diesel Navara) - thinking something was wrong he had it inspected by NRMA who found a few probs with engine and that it'd been banged up a bit on the underside from off-roading. Since he bought it from a dealer he gave the NRMA inspection report to them and they made good on the mechanical defects without any cost to him. He wished he got the NRMA inspection done first since he wouldn't have bought it but at least it's mechanically ok now.

        Btw re: the auction houses (pickles, fowles etc) the majority of their stock is ex-fleet. Whilst servicing won't be an issue [edit - for cars with a full service history provided servicing won't be an issue] check carefully for scratches interior and exterior, spills on upholstery and smells eg cigarette etc - anything that was a hire car won't have had a lot of TLC - you are hoping to pick up some middle aged guy's company car. Anything that is a fleet car (camrys, commodores etc) depreciates like crazy over the first few years since the fleets dump them on the market - you can get them cheaply at dealerships or privately if you negotiate. Most of the buyers of auction cars are dealerships - so don't skimp on checking over a car thoroughly just because it's a dealer car.

        If you can find a one owner privately owned car, and that owner is a non-smoker and asking a fair price with a plausible reason for selling it that's usually a good start.. can't say it enough times but do your homework before you pay for the car in full. Usually a $50-$100 deposit is enough in a private situation. Much much easier to haggle with a private seller than a dealer (more specifically, a used car salesman..) the private seller won't be a pro and will be more likely to discount to move it. But if you see a dealer listing that is starting out at a reasonable price then no harm checking it out - the 3 month warranty is a definite plus.

        • illumination on 11/03/2014 - 23:24

          I've had a brief look at the auctions houses and I don't think I will go for them because it seems like you need to be present for the auctions (understandable) and I won't really be able to attend them since I'm working.

          And it's also hard for me to gauge the rough price too.

          Just on your comment on fleet cars depreciating like crazy - why wouldn't regular cars also depreciate like crazy if there's such a huge supply of ex-fleet being shoved onto the second hand market?

          Appreciate your advice!

  • Azn310 on 08/03/2014 - 00:12
    +1

    Jazz up to 2007 (first gen - GD) uses CVT transmission, very bad. So bad Honda decided to switch back to 5 speed autos on the newer ones. Hondas trans are generally not so good. But the car looks very sporty indeed.

    Id go with Toyotas anytime, Yaris is a good choice. Its looks doesnt say enough how tough that little car is. A lot of mechanics would agree with me on Toyotas. Just to mention a few details :

    Timing chain - last life time
    Cheap reliable long lasting parts
    Cheaper tires being smaller size
    Safe enough even though it is small
    Folding seat, even tho not as good as jazz, is still good.
    Car will last a long long time so you have time for other things in life.

    Source : owner of toyota hilux , toyota echo (yaris predecessor) and honda jazz GD (kind of a mistake but i try hard to keep the CVT from failing, pray everyday). Toyotas bought at over 120k km, feels like new.

    • Speckled Jim on 08/03/2014 - 11:10
      +1

      Hondas auto trans are generally not so good.
      Fixed.

      • illumination on 11/03/2014 - 23:26

        It seems CVT transmission are used on not just on Honda Jazz's but other Hondas too. It seems some post-2007 Hondas also have CVT transmissions too. Both you Azn310 and mcmonte feel Honda auto gears are crappy?

        • Speckled Jim on 12/03/2014 - 10:30

          Auto transmissions by Honda have a bad reputation. Their manuals are without peer (or used to be, think DC2R, CRX, S2000 and NSX).

          As for CVT, they're too new for me to comment on regarding reliability. But test drive one to see if it makes you nauseous or not. Some people find it an odd sensation.

    • illumination on 09/03/2014 - 19:56

      Don't know what a CVT transmission is. Will google it after this. Honda transmissions are not good in general, or just on the Honda Jazz's up to 2007 as you mentioned?

      When you mention the folding seats of the Yaris being not as good as the Jazz, how so? The Jazz is able to fold back more??

      From what I understand though it seems if I can find a Honda Jazz 2007+ without CVT trasmission I should be ok?

      • Azn310 on 13/03/2014 - 10:57

        Jazz you can lift up the back seats, not sure if new Yaris can do this. In some occasions, that helps a bit, like if you need to carry something that needs to stand up right and is taller than the loading area at the back. Jazz used to have a campaign to advertise the many ways they can fold their seats. Also due to petrol tank placed underneath the driver seat, there are more cargo space in the back.

        Mcmonte is right, i have no experience with hondas manual, so i will correct it, Honda autos are generally not so good.

        Seriously, if you go for toyota, you will have less to worry about.

  • mukie on 08/03/2014 - 08:59

    We were looking to buy something similar earlier this year. Honda Jazz, Toyota Yaris etc. same price range and stats. Looked around on carsales and read reviews and we ended up with a Suzuki Alto brand new (manual though) for under $10k. It was about the same amount as a second hand one believe it or not.

    As an auto it doesn't drive as nicely but as a manual it's pretty good for the little car it is!

    Depends what you require the car for, but we found this car very economical, has good reviews… Not the best looking but hey it gets me from A to B. Happy with it so far…

    For a sedan though a second hand Honda Civic, Toyota corolla? Holden's are not bad either.

    • illumination on 09/03/2014 - 20:00

      Just had a look at the Alto.
      For 10k brand new that sounds like a steal. Unfortunately I can't drive manual and I've just had a look at it and I don't particularly like the look.

      Interesting. Are you saying the Alto in auto doesn't drive well?

      Yes I'm definitely open to Honda Civics and corollas. Haven't really thought of Holdens because I think they're more expensive and have higher maintenance costs.

  • Wampus on 08/03/2014 - 13:44

    I would check out the car auctions like Pickles, and grab an ex lease Camry. It may be your only chance to grab some of the items in your 'ideally' list for about 10k.

    • illumination on 09/03/2014 - 20:01

      Oh I did not think of Pickles.. but that is definitely something I'll look into. Maybe GraysOnline might be an option too.
      Ex lease camry - does that refer to ex-hire cars from Budget/Avis/Thrifty and the like?

      • Wampus on 09/03/2014 - 22:38
        +1

        They are more likely ex-govt fleet cars, but you should check

  • hello007 on 09/03/2014 - 20:10
    +5

    Buying a used car. Tips

    Before you consider buying a used car please take some time to understand some basic principles about a car.

    This understanding will help save you money in the long term and help avoid buying a car that is an expensive mechanical nightmare.

    1. A car engine is basically a controlled bomb. Controlled explosions inside the engine power the car and make it move.
    2. If you remove the car's cooling system or the cooling system fails
      this 'bomb' will ''explode'' - and it's cylinder heads will crack - costing at least $3000 to repair - much more in isolated country towns.
    3. Result = minimum $3000 repair bill plus major delays.

    Australian cars experience extremes of heat and cold. The engine metal is
    always expanding and contracting.

    = so the risk of the above failure can be very high.

    SO YOU DONT WANT TO BUY A USED CAR WITH
    A COOLING SYSTEM THAT WILL SOON FAIL.= EXTREMELY
    EXPENSIVE -particularly if this happens in a rural area
    and you have to pay whatever the local mechanic wants to charge you - at least double city prices.

    But there are ways to reduce the above risks …

    CAR BUYING STRATEGY

    1. Hunt for the best value car you can find that meets your needs.

    Here's some Australian car sales websites:
    http://tinyurl.com/Carsites

    1. Do your normal basic checks.
    2. Tyres, visual inspection, steering, electrics undercarriage, rust, windscreen etc etc etc.
    3. Then lift the bonnet BEFORE turning engine on.
    4. Remove radiator cap.
    5. If it is Clear or dirty rusty water - walk away IMMEDIATELY, hand back the keys and say NO DEAL.

    WHY? because the radiator has not had coolant in it and is probably totally rusted. Flakes of rust will block the water pump. The coolant stops flowing to the engine. And the 'bomb' explodes. You pay the full $3000 repair price. So walk away from this deal.

    1. If you see coolant. STILL BE VERY SUSPICIOUS. It may have only been changed that morning and the cooling system has been rusty and clogged up for years! The engine may already be damaged.
    2. Gently squeeze some of the radiator hoses. If you feel a crunch like squeezing a box of cornflakes - then NO DEAL - Walk away.
    3. That crunch is rust - coating the hoses - then breaking off and blocking the water pump and the radiator = 'bomb' explodes.

    DONT TRUST THE SELLER TO BE TRUTHFUL ABOUT ANY ASPECT OF THE CAR.

    HE JUST WANTS YOUR $$$.

    DO YOUR OWN CHECKS.

    IF suspicious - walk away.

    1. Ok. So the car has coolant and all seems ok.

    2. Do other engine checks - see online for lists - oil brake fluid etc. And other car checks.

    3. Ok so now u think the car is ok. But you are not a mechanic and you are not totally sure.

    4. BEFORE you spend $100 on a mechanic make sure you do the following.

    (And you tell the seller the following when you FIRST contact them. If they won't agree NO DEAL. - don't even see the car.)

    1. Test drive the car. Go to an empty parking lot or big open off road space. Full hard turn car left and drive in circle about two or three times. And same in right hand turn. If you hear vibration or knocking the steering is damaged and Expect to pay $1500 to fix it. NO DEAL

    2. Before you see the seller and drive the car call a nearby radiator repair specialist.

    A good national chain is NATRAD.COM.AU.
    Book the car for a FREE five minute radiator pressure test.

    They pump air into the radiator coolant cap hole and you can immediately see if there is any problem with radiator or cooling system. Watch the pressure gauge if it moves = big problem. If not it's ok. While it's under pressure look under car for any leaks.

    1. If the car passes all the above and you are happy. THEN you can pay a mechanic about $100-plus to do his checks.

    Check services can range from expensive to single operators who do it cheap. See www.gumtree.com.au Or www.nrma.com.au for more comprehensive, but more expensive checks.

    Good luck!

    • MustResistPurchase on 09/03/2014 - 22:13
      +2

      I feel as though you're talking from experience.

    • illumination on 11/03/2014 - 23:40

      I like your thorough advice.
      I'll be checking this as a checklist as I am inspecting the cars :)

    • Azn310 on 13/03/2014 - 11:01
      +1

      Wow, did you spend time writing up all these? If so, you sir, deserve more +

    • SavatteDodo on 13/03/2014 - 15:52

      Connoisseur advice right here

    • Speckled Jim on 13/03/2014 - 17:00

      Go to an empty parking lot or big open off road space. Full hard turn car left and drive in circle about two or three times. And same in right hand turn. If you hear vibration or knocking the steering is damaged and Expect to pay $1500 to fix it.

      While you're at it, drive with full lock in reverse too. If you hear/feel clicking it's the CV joints. Assuming you're testing a FWD car.
      If they're on the way out, cheap-ish fix (~500 sometimes less). I'd leverage that against asking price if all else is ok.

  • illumination on 11/03/2014 - 23:42
    +1

    I've started sending out some enquiries and hoping to go and check some vehicles out on the weekend.

    I'm thinking of adjusting my mileage criteria to either consider cars under 90,000km mileage, or 100,000km+ if the timing belt has been replaced.
    I'm concerned of purchasing a vehicle that has racked up 95,000km which will then require me to take the car for major servicing shortly afterwards which I suspect would set me back $1000+.

    Does anyone know if fixed/capped price servicing is only available if you purchase through a dealer?

    • cpho on 12/03/2014 - 00:18
      +1

      I think you should be fine with a car around 100-130k km.
      Don't get it under 100k unless it's far down, otherwise like you said, that servicing. Usually with second hand cars, capped price servicing has run out, unless you're getting a newer car.
      Especially if you purchase a Japanese car, it'll go up to 300k - even if you have to throw a couple $k at it. You'll still get your money's worth, and still a so-so resale (read: trade in) price for it towards the end of it's life.

  • Medrad on 13/03/2014 - 16:16

    Check this out…
    http://www.carsales.com.au/private/details/Hyundai-i30-2009/…

    Award winning cars, not built like "old" Korean cars, definitely decent for the money.

    Bargain a bit, get the price down. Save a bit, get a slightly newer car.
    I searched NSW for you, guessing you're there. Fits all your requirements. Cheap to maintain, cheap to run, safe and reliable (as long as you drive it sensibly).

    I drive a Mazda, they are expensive for 2nd hand because they are worth it, but the Hyundai is worth it in your price/age range.

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