When it comes to purchasing a used car from a local auto dealership, it is important to establish a trusting relationship with them before taking final receipt of the automobile. There are many dealerships that are trustworthy and honest, but for every good salesman there is another who will try every trick in the book to sell you a lemon just to get a car off the lot.

Here are a few tips to help you keep your cool and come out ahead when doing your used-car shopping.

Know What You Want

From the first moments of deciding to purchase an automobile, it is important to know what you are looking for. If you want the mileage to remain below 25,000 miles, stand by that throughout the selection process. If you need a car that is cost efficient, make sure to offer that information to the salesman before taking a walk around the lot to look for a car to fit your needs.

Know What You Are Willing to Pay

Do your research and find out what the value of a particular car is so you will have a baseline to begin negotiating the price on. Decide beforehand what you are willing to pay and stick to your guns.

Be sure not to negotiate according to monthly payment amounts if you are financing through the dealer. This gives the dealer the advantage by creating a low payment by tacking on more months to the loan, but still selling you the car for far more than it's worth.

The Used Car Dealer versus the New Car Dealer

Cars in are sold out of two different style of dealer lots. The most common is the used car dealership. These dealerships sell only used cars and are often laden with cars with high mileage. While you may find a diamond in the rough, looking through the inventory and taking a multitude of test drives will be time consuming to say the least.

New car dealers will also carry an inventory of used automobiles. These are often the same cars traded in by consumers choosing to upgrade to something newer. Look for dealers that conduct strict inspections on traded-in vehicles that include mechanical and electrical inspections.

Financing a Purchase

If you will be financing the purchase of the vehicle, make sure to read the fine print of the financing agreement. Many lenders will only approve the loan if the car is under a certain amount of miles. In other cases, the dealer will try to finance the loan with new car terms leaving you with a huge negative equity as soon as you drive off the lot.

Vehicles will range from the classics to newer cars traded in for an upgrade. You can find a great used car that is more affordable than a new car if you take the time to find a dealer you can trust and a dealer willing to hear what you are looking for.