Car, refrigerator, washing machine…all are big purchases. Obviously, some are bigger than others but all involve planning and more money than you would spend on a normal day. You want to make sure that what you buy is going to last and be what you want. I mean, you are spending a lot of money on said item. Before you spend your hard earned (and saved) money, here are questions you need to ask yourself before making a large purchase.
Making a Large Purchase- Questions to Ask First
Can I buy used?
I firmly believe in buying only used cars. New cars just aren’t worth the expense. But what about washing machines? Dishwashers? Other large appliances? My current dryer and former washing machine were purchased used almost nine years ago. The washer just finally gave up about a year ago and the dryer probably has another year or two. I bought higher quality used instead of cheap quality new. Do your research to know what features you want, what brands last and are easy to fix, etc. If you can’t find what you want used to match what you need, then you will know you need to buy new.
Can the purchase wait?
I replaced my old, broken washer with a brand new one last year. I hate it. It was the cheapest model and it’s awful. But it does work. Replacing it can wait until I have the money saved up. We would like to replace one of our vehicles with a super crew cab truck. We don’t need it right now as both current vehicles are doing okay. It can wait until we find a fantastic deal. Both are examples of needing/wanting to make a big purchase but knowing waiting for a great sale is possible. Make sure you ask if you need the item now or if it can wait.4 questions to ask before you make a big purchase Click To Tweet
How am I going to pay for it?
Obviously, I think the best way to pay for big purchase is with cash. But I’d be a hypocrite if I said it was the only way. I know that, for the truck we want, we will have to have some financing as, while both our current cars are still going, my van is 13 years old. Replacing is going to need to happen in the next couple years. There’s no way we will have the full amount of cash to pay for a $15,000-25,000 truck in that time. Know how you are going to pay for your item. If you would need to borrow a lot of money or have extremely poor credit, go back and revisit question number two.
What am I going to do with the old one?
If you are replacing a car, most likely you are selling or trading in your old one. If you are selling an appliance, the answer isn’t so straightforward. If the item is completely worthless, you need to know how to dispose of it. If you are selling it, you need to decide what it’s worth, where to list it, where you are going to store it until it sells, etc.
Making a large purchase is inevitable. At some point in your life, you are going to have to do it at least. Be sure to ask yourself these questions first to get the most bang for your buck and keep from breaking your budget.