Buying a car checklist
Buying a car is a significant financial decision. Whether new or used, the process carries risks—overpaying, inheriting undisclosed problems, or facing delays with finance and registration. A clear checklist helps you navigate the purchase confidently, protect your money, and secure the right vehicle for your needs.
Why a checklist matters
Financial protection: Cars are high-value purchases, often involving finance. A disciplined process ensures funds are used securely.
Risk management: Prevents issues like outstanding finance, hidden damage, or legal liability.
Efficiency: Keeps the transaction structured so settlement and registration happen without delays.
Pre-purchase checklist
Define your needs and budget
Decide on type (small car, SUV, ute, EV, etc.).
Set a maximum budget, including insurance, stamp duty, and transfer fees.
Arrange conditional finance pre-approval if required.
Research the market
Compare prices on multiple platforms.
Check resale value trends.
Assess running costs (fuel, insurance, servicing).
Check the vehicle’s history (for used cars)
Run an official encumbrance/finance check.
Review service records and logbooks.
Confirm VIN, odometer reading, and registration status.
Look for accident or write-off history.
Inspection and test drive checklist
Physical inspection: Look for paint mismatches, rust, leaks, tyre wear.
Interior check: Electronics, infotainment, air conditioning, seats, warning lights.
Documentation: Confirm compliance plates, VIN, and matching rego papers.
Test drive: Assess acceleration, braking, steering, transmission shifts, noise, and ride comfort.
Independent check: Book a mechanic’s inspection for peace of mind.
Negotiation checklist
Agree on price in writing.
Clarify inclusions (accessories, spare keys, charging cables).
Discuss any warranties (statutory, dealer, or manufacturer).
If private sale: confirm seller’s identity and ownership.
Settlement and handover checklist
Contract of sale
Document parties, price, vehicle details, condition, inclusions, and timing.
Payment method
Use secure transfer or escrow.
Avoid paying in full before confirming clear title.
Transfer and registration
Lodge transfer forms immediately.
Pay stamp duty/transfer fees.
Ensure roadworthy or safety certificates are provided if required.
Insurance
Arrange coverage to begin at the exact time of handover.
Handover
Collect keys, manuals, service history, receipts, and accessories.
Record odometer at transfer.
Common mistakes to avoid
Skipping a professional inspection.
Failing to run a title/finance check.
Forgetting on-road costs in budget.
Paying before confirming clear title.
Overlooking insurance start time.
A car purchase is safest when treated as a structured transaction, not an informal deal. By following this checklist, you can reduce risk, protect your money, and take ownership with confidence.
This checklist is for general guidance only. Always check the specific requirements in your state or territory before purchasing a vehicle.