What to Look for When Shopping for a First Car

1. Decide Who's Going to Pay

One of the first discussions to have when considering a first car is determining who will cover the costs. While parents often contribute significantly, even footing the bill entirely, this doesn't necessarily mean they should also take on ongoing ownership expenses. Encouraging young drivers to share in these costs, such as gas, insurance, and maintenance, teaches them early financial responsibility. If your teenager has saved enough money to contribute towards the purchase, it's wise to consider splitting the ownership expenses, such as alternating costs for routine maintenance or even major repairs.

Sharing these responsibilities helps young drivers understand the gravity of car ownership. Beyond the simple acquisition, cars require significant investment over time—something teens need to learn to appreciate. Additionally, by sharing the costs, parents may also be able to afford a safer, more modern vehicle for their child, offering better safety features and fuel economy.

2. Create a Realistic Budget

Establishing a budget for purchasing a first car is essential for setting expectations. Begin by determining how much can be allocated towards a down payment, monthly payments, and incidental expenses. Remember that car ownership comes with recurring costs, including insurance, fuel, repairs, and routine maintenance. Teen drivers, in particular, can face high insurance rates, but there are ways to mitigate this. For instance, adding them to a family policy or choosing vehicles with high safety ratings can lower premiums.

Parents may also choose to co-sign on a car loan to help establish their child's credit history. This can be a valuable first step in helping young drivers build financial responsibility. Additionally, consider the pros and cons of purchasing a new versus used car. While new cars are generally more expensive, they come with warranties that provide peace of mind against unexpected repair expenses. Alternatively, certified pre-owned vehicles offer a balance between affordability and reliability, often including warranty coverage and modern features.

3. Prioritize Safety Features

Young drivers are statistically more likely to be involved in accidents, making safety a top priority when buying a first car. Recent advances in safety technology have made newer cars inherently safer, while older vehicles often lack critical safety features. Avoid the temptation of purchasing a car simply because it's large or inexpensive—size alone doesn’t guarantee safety.

When considering a vehicle, check its crash-test ratings from the National Highway Traffic Safety Administration (NHTSA) and the Insurance Institute for Highway Safety (IIHS). These ratings provide insights into how well a vehicle will protect occupants during a collision. Beyond crash-test ratings, look for key safety features such as:

• Antilock Brakes (ABS): Helps maintain control while braking, particularly on slippery surfaces.
• Electronic Stability Control (ESC): Prevents the car from spinning out during sharp turns.
• Airbags: Front, side, and curtain airbags provide additional safety for all passengers.

Some advanced safety technologies can also make a significant difference. For instance, Ford's MyKey system allows parents to set speed limits, cap audio volume, and disable certain entertainment features while driving. General Motors offers Family Link and Teen Driver technology, which enables parents to monitor their child's driving behavior. Hyundai's Blue Link provides alerts when speed, curfew, or geographic boundaries are violated—helping reinforce safe driving habits.

4. Consider the Driver's Needs

When purchasing a first car, it's important to think about the practical requirements of the vehicle based on how it will be used. If the car is primarily for commuting to school or work, fuel efficiency should be a key consideration. Look for a model that offers good mileage and won’t cost too much to fill up.

Alternatively, if the car will be used to haul sports equipment, musical instruments, or camping gear, you'll want something with ample cargo space. Drivers who live in regions with snowy or rough terrain may need a car equipped with all-wheel drive (AWD) for better handling in challenging conditions.

While keeping needs in mind, it’s also good to think about wants. Young drivers may desire features like a high-quality stereo system or infotainment options—and while these are worth considering, they shouldn't come at the expense of safety or reliability. The goal should be to find a balance between practicality and desire, ensuring the vehicle meets both the driver’s needs and their budget.

5. Financial Planning for Ownership Costs

Ownership costs extend well beyond the sticker price. Insurance, fuel, registration, and maintenance are ongoing expenses that need to be considered before purchasing a vehicle. For young drivers, insurance can be one of the most significant costs, often costing hundreds or even thousands of dollars annually. Some insurers offer discounts for vehicles with advanced safety features or for drivers who complete defensive driving courses—it’s worth researching these opportunities to reduce costs.

Routine maintenance should also be factored into the budget. Costs for services such as oil changes, brake checks, tire rotations, and other minor repairs can add up over time. Having a realistic budget for these expenditures will help young drivers avoid surprises down the road. Additionally, budgeting for an emergency fund to cover unexpected repairs can ensure they are prepared for any mechanical problems that may arise.

6. New, Used, or Certified Pre-Owned?

When deciding on a first car, parents and teens need to consider whether they should buy new, used, or certified pre-owned (CPO). Each option comes with its own advantages and drawbacks.

• New Cars: Buying new means you get the latest features, enhanced safety systems, and a manufacturer warranty that can cover the first few years of ownership. New cars are generally more reliable, but they come at a higher cost.
• Used Cars: Opting for a used car can be a cost-effective way to own a reliable vehicle without the depreciation hit that comes with buying new. However, used cars may lack some of the latest safety features.
• Certified Pre-Owned (CPO): CPO vehicles are a great middle ground, offering reliability, an extended warranty, and many modern features without the high cost of buying brand new. CPO vehicles are also subject to rigorous inspections, making them a safer choice than buying from a private seller.

The choice between these options will largely depend on budget, reliability, and how important certain features are to the young driver and their parents.

7. The Bottom Line

Buying a first car can be an exciting and liberating experience for young drivers, but it comes with a set of responsibilities that shouldn’t be underestimated. From establishing a budget and deciding who will pay, to ensuring the car is as safe as possible and suited to the driver's needs, there's a lot to consider. While practicality should be a priority, balancing safety features, vehicle reliability, and a young driver's desire for comfort and style can result in a rewarding outcome for both parents and teens.

MotorVero aims to make the car-buying process straightforward by providing access to a variety of cars that fit the specific needs of young drivers. From budget options to advanced safety features, MotorVero’s platform is designed to help users make informed choices and ensure a positive first car experience. By focusing on affordability, safety, and practicality, MotorVero connects buyers to suitable vehicles while making the entire process less daunting for both teens and parents.