Edmunds: Five big mistakes you need to avoid before buying your next new car

KEY TAKEAWAYS:

Record 19.3% of new car buyers finance $1,000+ monthly, driven by rising prices and interest rates.

Common mistakes include buying beyond means, rolling negative equity , and skipping preapproved loans.

Using internet sales departments and comparing prices online can save hundreds or thousands.

Considering certified pre-owned vehicles helps avoid rapid depreciation and reduces long-term costs.

Buying a new car has never been more financially daunting. A 2025 analysis from Edmunds found that a record 19.3% of consumers who financed a new vehicle in the second quarter of 2025 committed to a monthly payment of $1,000 or more. That’s nearly one in five buyers taking on what was once considered an extreme car payment — driven by high interest rates and rising vehicle pri