Before looking at models, establish your total cost of ownership, not just the monthly payment.
Total vehicle expenses—including insurance, fuel, and maintenance—should ideally stay below 20% of your net monthly income .
Obtain a financing offer from a bank or credit union before visiting a dealer. This gives you a baseline interest rate to compare against dealership offers. Edmunds: New Cars, Used Cars, Car Reviews and Pricing
Aim to keep your monthly new car payment under 15% of your monthly take-home pay .
Effective research for a new car involves a three-pronged approach: setting a strict financial foundation, narrowing options based on objective data, and conducting strategic in-person evaluations. Experts from Consumer Reports and Kelley Blue Book (KBB) emphasize that the most critical work happens before you ever visit a dealership. 1. Financial Groundwork