Ready to get into a new vehicle? When you want to purchase a new car, it’s important to consider your budget, as well as your Lexus financing options. These are a few tips to help you budget your next purchase at Lexus of Orange Park.
Set a Budget
Before you can start budgeting for your next purchase, you need to determine what your budget even is. Experts recommend looking at your income first. Your total car expenses shouldn’t exceed 20 percent of your take-home pay. This includes your car payment, auto insurance, maintenance fees, and fuel costs.
Then, you need to consider your existing debt. Your debt-to-income ratio should be under 36 percent, so if you have high debt already, adjust your budget accordingly.
Determine Your Trade-in Value
Your existing vehicle can be a valuable asset when purchasing a new car. You can use your trade-in as a down payment for your vehicle, which can keep you from having to dip into savings or spend extra time saving.
Your trade-in value can also drastically lower your total investment, giving you lower monthly auto payments as well. You can determine your trade-in value online, which can give you an idea of what you’ll have to apply.
You can also conveniently apply online to get pre-approved for auto financing, which helps you avoid any surprises at the dealership. Our application includes a few questions to help us determine how much you can afford. We consider your income, debt-to-income ratio, and also run a credit report. Then, we’ll help you find a loan offer with the most competitive terms.
Still have questions? Reach out to our Lexus dealership in Jacksonville, FL. Our financial experts are happy to help you find the best financing options for your budget!