10 common mistakes to avoid when buying a used car
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10 Common Mistakes People Make When Buying a Used Car

November 22, 2024

Quick Summary:

Avoid common pitfalls when buying a used car to save you from buying a lemon. Make sure to thoroughly inspect the car inside and out, and don’t forget about the test drive! Make sure to check out the car’s service history, do a PPSR and get the car checked by a mechanic. 

It’s also really important to do your homework – research recalls and the long term cost of the model. Most importantly, trust your gut, negotiate confidently, and never feel pressured to settle – there’s always another car out there!

Table of Contents

As a pre-purchase inspector, I witness firsthand the mistakes that people make when buying a used car. Whether you’re buying your first car or your fifth, there are some things you should never skip. These tips will make all the difference in ensuring you drive off with a reliable vehicle that won’t surprise you with hidden costs. 

In this blog, I’ll share my tips and insights to help you avoid common pitfalls and make a confident, informed decision. From knowing what to look for during your inspection, to understanding the importance of test drives, PPSR checks, and maintenance logs – I’ll cover all the key steps that could save you time, money, and a lot of headaches.

1. Not Knowing What to Look For in The Inspection

Okay, so let’s start with the most obvious thing. Before buying a used car, you need to give it a really thorough visual inspection. This is one reason I’d recommend always arranging a meeting during the day so you’ll be able to see faults clearly under the light of day. You’d be surprised what you miss in the dark!

Exterior faults to look for when inspecting a used car

Exterior faults to look for when inspecting a used car

Start your inspection by walking around the car and looking carefully at the paint and panelling. Here, we are not only looking for damage like scratches and dents, but also for signs of dodgy repair work.

Take a good look at the paint work. Try to catch the light at different angles on the panels as this will help you see marks or dents you wouldn’t have noticed otherwise. Mismatch in colour or texture in the paint and overspray (usually around the edges of panels or near the rubber trim) can indicate panels have been repainted. 

Also, pay attention to uneven gaps especially around doors, the hood, or trunk and any ripples in the metal. That’s often a sign of bodywork after an accident. Any previous crash history should show up on a PPSR report (more on that later), but sometimes minor accidents that weren’t reported won’t show up, so you can never be too careful.  

Here’s a list of some of the things I check as part of a pre-purchase inspection: 

  • Body Panels 
  • Sunroof & Convertible 
  • Rear Suspension 
  • Rear Brakes 
  • Rear Rotors
  • Front Suspension 
  • Front Brakes 
  • Front Rotors 
  • Tyres & Spare Tyre 
  • Side and Rearview Mirrors 
  • Exterior Lighting Systems 
  • Transmission 
  • Drive Shafts 
  • Tail Shafts 
  • Steering Components

Check for rust when inspecting a used car

Especially in Queensland, you’ll want to make sure that the car hasn’t been affected by floods or damaging off-road use. 

Cars that have been impacted by floods will show signs of rust under the bonnet, check around the alternator and bonnet latch especially. 

For 4x4s and utes (pickups), make sure to take a look under the car. Salt water and sand buildup on the undercarriage can rust pretty bad, so you might be surprised with what you find. Sometimes sellers aren’t even aware of it.

Rust isn’t always obvious to buyers, but it can lead to huge repair bills down the road if not caught early. Usually, when I find this type of damage I recommend buyers to reject the car, it’s just not worth it in my opinion.

Interior faults to look for when inspecting a used car

Interior faults to look for when inspecting a used car

Make sure you get a good look inside the car, too. This isn’t just about checking that the seats aren’t stained, it also gives you a chance to test everything inside and make sure you won’t be paying to fix the air-con or mirror adjustment electronics.

Here’s a list of everything I usually check during a PPI: 

  • Seats (including adjusters)
  • Seat Belts 
  • Rear Window Demister Rear 
  • Front Window Demister 
  • Heater System 
  • Horn
  • Window Operations 
  • Interior Lights 
  • Trims 
  • Radio 
  • Air-conditioning System 
  • Windscreen Wipers 
  • Windscreen Washers 
  • Remote Central Locking (test on both keys) 
  • Headlights Operation 
  • Warning Lights

2. Not Asking to Test Drive

Okay, so this one is also a surprisingly common mistake. I think buyers can sometimes get a bit shy about asking for a test drive, worried the seller will get defensive. But here’s the thing: as a buyer, you’re the one in control. If the seller refuses a test drive, that’s your cue to walk away. It’s just not worth the risk!

A test drive gives you a real-time feel for the car’s condition. It’s your chance to catch anything odd about how it drives, sounds, or behaves. Trust me, without a test drive, you’re basically going into the deal blind.

What to check during a test drive

What to check during a test drive
  • Dashboard Gauges: Keep an eye on those gauges. If you see any unexpected warning lights or notice the temperature gauge creeping up, it could mean underlying engine problems.
  • Unusual Noises: Listen for any sounds that stand out, like grinding, squealing, or clunking. These can be signs of suspension or brake issues, which are big red flags.
  • Signs of Prior Damage: Pay attention to how the car feels when you brake and steer. Any vibrations or pulling to one side could suggest brake wear, alignment issues, or even damage from a previous accident. These are things that could cost you big if you overlook them.

3. Not Getting a Used Car Checked by a Mechanic

Get a PPI

Okay, so if you’re starting to feel overwhelmed about everything you need to check to make sure you’re not buying a lemon, that’s when it’s time to call in the professionals. A quality pre-purchase inspection (PPI) will include everything I’ve talked about so far and more.

On top of what we visually inspect during a PPI, we also have a thorough look at the engine bay and flag anything that may require attention. Unless you’re used to working with cars everyday, it is really difficult to pick up on these issues. And, obviously, mechanical issues will hold the biggest price tag of all.

That’s why I think everyone should get a pre-purchase inspection, even for cars in good condition or new cars. Just recently I inspected a car that was less than 6 months old with no visible defects, and discovered that the previous driver had completely wrecked the suspension, causing thousands of dollars in urgent repairs. 

It happens all too often, so the cost of a PPI is completely worth it in my opinion!

What does a pre-purchase inspection include?

Here, I’m going to take you through what I do everyday for ASAP Roadworthys. But, if you choose to go with another company just make sure that you check it includes all the same things. You’d be surprised at how poor of a service some inspectors provide, even when they’re charging an arm and a leg for it!  

Our most popular PPI package, the Silver Package, includes the following: 

  • Thorough inspection of the inside out & underneath
  • A 10-15 page written report emailed on completion with photos & comments
  • Inspector will test drive to pick up any issues that aren’t noticeable when the car is stationary
  • Vehicle History Check – so you’ll know if it’s ever been in an accident or written off 
  • Verbal Report on completion

If you want more information about the specifics of the report, take a look at this example pre-purchase inspection report.

4. Forgetting a PPSR Check

Skipping a PPSR check is one of the easiest ways to end up with a lemon – or worse, a car you don’t actually own! This check is an essential part of our Pre-Purchase Inspection (PPI), but if you’re going with another company, make sure they include it.

What is a PPSR Check?

A PPSR check is like a background check for cars and tells you a lot that a regular inspection can’t. Here’s the three essential insights that the PPSR will give you: 

  • Is the car debt-free? If there’s still finance owing on the car, the lender could repossess it, and you’d be left without a car or your money.
  • Has it been written off? You’d want to know if the car’s been in a major accident, or worse, written off due to natural disasters like hail or floods. A PPSR search will reveal this.
  • Is the car reported stolen? Sounds basic, but you’d be surprised how often people don’t check if the car’s been reported stolen. This is a risk especially with newer cars.
  • Who is registered as the owner of the car? Make sure that whoever you’re dealing with for the sale is actually the owner of the car and that you meet at the address that the car is registered to. Ask to check their ID if you get a bad feeling, as a mismatch of these details could indicate a scam. 

5. Not getting a Roadworthy Certificate

A Roadworthy Certificate (RWC) might seem like just another piece of paper, but it’s actually a key part of buying a used car. Roadworthy certificates (also known as road safety certificates) are an official document to make sure that your vehicle is safe and maintained for all road users. 

In more simple terms, it essentially shows that your vehicle is safe to drive on Queensland roads. It’s actually a legal requirement in Queensland for the seller to get an RWC (at their expense) to transfer ownership of the car. 

It’s worth noting that an RWC is not the same as a pre-purchase inspection (PPI). The requirements for a car to be granted an RWC is just that it currently is safe to drive on the road. So, it won’t flag any non-major damage, issues that might need maintenance in the next few months or anything cosmetic like paintwork, whereas a PPI will. 

If you’re interested in finding out more about the differences between a pre-purchase inspection and a roadworthy certificate, I’ve actually written a whole blog post about it.

6. Not Verifying Maintenance Logs

Overlooking a car’s maintenance logs is a big no-no! Consistent servicing not only shows that the previous owner was responsible, but it also means the car is more likely to run smoothly for years to come. Trust me – simply verifying service history can save you from a lot of headaches (and repair bills) down the road.

Why service history matters

A solid, consistent service record means that routine maintenance was likely done on time, which is key for keeping the engine and other systems in good shape. Regular servicing helps extend the car’s lifespan, prevent costly repairs, and gives you confidence that the car’s been well-looked after.

If the owner won’t show you the logs or says they don’t have them, I would actually recommend walking away. In my experience, there are just so many unknowns in that situation that the risk is too big.

Checklist for reviewing maintenance logs

  • Frequency of services: Look for regular intervals, ideally every 10,000 km or every 6 months for petrol engines and even more frequently for diesel ones. If you notice big gaps between services, it could mean the car was neglected or that issues weren’t addressed promptly.
  • Avoiding major service costs: Keep an eye out for any major services that may be coming up. These can be costly, so knowing if one is due soon can help you negotiate the price or decide if the car’s really worth it.
  • Check for receipts: If the maintenance log doesn’t include receipts from the mechanic, take it with a grain of salt. Receipts verify who did the maintenance (and that it actually happened). If necessary, look up reviews for the mechanic online to see if the repair was likely done to a high standard or not. 

Maintenance logs are more than just dates and stamps – they’re your reassurance that the car’s been given the care it deserves. So don’t skip this step; a little time with the logs now could save you a lot of time (and cash) later.

7. Not Researching a Car Before Buying

Jumping into a car purchase without doing some homework is a common mistake, and it’s easy to see why – excitement and urgency can take over! But a little research goes a long way toward making sure you’re getting a car that’s safe, reliable, and a good value. 

Here’s what you should cover before handing over your hard-earned cash.

Checking for recalls

In my experience, many car models have recalls that owners may not be aware of, so it’s worth doing your research on this one. 

These could be minor updates, such as software fixes, or serious issues, like airbags or brake system repairs. Ignoring this might mean inheriting a car with unresolved safety issues that could be fixed for free by the manufacturer.

In Australia, the ACCC website is a great resource for checking recall information on specific makes and models.  This will provide you with a detailed look at the recall; including which cars are affected and possibly the VIN list of affected vehicles.

Get different opinions about the value of the car

Get different opinions about the value of the car

When it comes to understanding the car’s market value, doing some research can help make sure you’re not overpaying. 

Online car valuation tools that estimate your vehicle’s value based on factors like make, model, year, condition, and current market trends. Popular ones include RedBook, CarSales and CarGuides.

I actually reviewed all these tools in a previous blog, so read that if you want to learn more about car valuation tools.

Calculate long term costs

Okay, so the last point I’ll make about research is to consider long-term costs. Beyond the initial price tag, factors like repairs, fuel economy, insurance, and resale value can make a big difference in the car’s total cost over time. 

Some vehicles are known for affordable maintenance and parts, while others may have higher repair costs due to specialised components, especially in models with advanced tech features. Don’t forget to get a preliminary insurance quote, as premiums can vary widely between models. 

Usually I recommend having a look on car forums like the reddit thread r/CarsAustralia and search for the model you’re interested in. These usually have great discussions about the reliability and durability of the car, and give you a good idea for what is generally believed about the model (from someone other than the seller!). 

8. Being Shy About Negotiating

Once you’ve inspected the car (hopefully, you’ve also got a PPI), make sure you negotiate on the price. Use your knowledge of the issues of the car to get some money off the asking price. Never pay the initial asking price, sellers will almost always mark it up intentionally.  

Come to the negotiations armed with all the details. Research the cost of repairing any issues with the car and use this as leverage to get a price reduction. A little bit of negotiating can go a long way toward getting a better deal!

9. Ignoring Red Flags From the Seller

Unfortunately, there are so many people out there who have bad intentions when selling a used car. That’s why it’s crucial to pay attention to any red flags from the seller. 

If they are vague, avoid answering questions about the car’s history, or discourage an inspection, they’re probably hiding something. Trust your gut—if they seem too eager to rush the sale or are uncomfortable with you asking about the car’s past, proceed with caution.

To avoid being scammed altogether, make sure you never give away any money before you’ve inspected the car and met the seller. For more information about how to avoid used car scams, read my blog about checking a used car.

10. Not Being Prepared to Walk Away

At the end of the day, don’t let anything pressure you into finalising a used car sale. It’s easy to get emotionally attached to a car, especially if it looks great or the price seems too good to pass up. But trust me—if there are major repairs involved or the seller seems dodgy, there’s always another car out there.

As someone who’s seen it all in the world of used cars, I can tell you that no deal is worth rushing into. If the car doesn’t check out during your PPI or if the seller’s answers raise any red flags, don’t be afraid to step back. 

There’s always another opportunity to snag your dream car. Stay calm, stay smart, and be ready to keep looking if you need to. There’s no rush!

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