What to Look for When Buying a Used Car — And How to Read a Carfax Like a Pro

Buying a used car is both an exciting opportunity and a potential minefield. Whether you’re hunting for a budget-friendly 15-year-old truck or trying to save money by picking up a nearly new vehicle, the used car market can offer great deals — if you know what to look for.

In this guide, I’ll walk you through:

• Where and how to search for used cars
• How to decode a Carfax report
• The pros and cons of certified pre-owned (CPO) vehicles
• What to look for when browsing listings
• How to narrow your search and make confident decisions

Best Places to Search for Used Cars

• AutoTrader & Cars.com – Solid options with easy-to-use apps. But keep in mind, they only show listings from dealerships or individuals signed up with their platforms.
• AutoTempest – My personal favorite. AutoTempest pulls listings from multiple sites including AutoTrader, Cars.com, CarMax, Carvana, eBay, and even Craigslist. It saves time and casts a wider net, ensuring you see everything available — not just what’s posted to one specific site.

How to Search

Let’s say you’re in the market for a Ford F-150.

Start with two essential filters:

• Budget: Set a maximum price. Let’s say $30,000.
• Distance: Choose how far you're willing to travel — a 100-mile radius is often a good range.

Pro Tip: Don’t get too specific right away. Keep your search broad to see what your budget can get you. Example filters:

• Vehicle: Ford F-150
• Price: Max $30,000
• Drive Type: 4WD or AWD
• Year: Leave open at first

Note: If you're financing, your lender may restrict vehicle age or mileage — be aware of those limits when filtering.

Navigating Results Like a Pro

Now comes the fun (and overwhelming) part — browsing listings.

Here’s how to make sense of the flood of results:

1. Sort by Newest or Lowest Miles — Prioritize vehicles with fewer miles or newer models.
2. Take Notes — Click through listings and jot down features you like. Are you noticing a certain trim level with upgraded headlights, nicer wheels, or a specific screen size?
3. Look for Patterns — For example, maybe only Lariat trims have the wheels and headlights you want.

Narrowing Your Options — A Visual Example

Here’s what I noticed:

• Option 3 had sleek LED headlights and darker wheels — very appealing.
• Options 1, 2, and 5 had the same headlights but not the wheels.
• Option 4 lacked both features entirely.

This helped me realize that if I want those larger, darker wheels and LED headlights, I’d need to shop for a Lariat trim.

Finalizing Your Criteria

After all that research, here's what my search criteria looked like:

• Make/Model: Ford F-150
• Trim: XLT
• Year: 2020 or newer
• Mileage: Under 70,000
• Drive: 4WD or AWD
• Non-Negotiables: Backup camera, large touchscreen with Apple CarPlay, extended/full cab (no 2-doors), painted bumpers only

Bonus Tip: Always filter for Clean Title to avoid salvage or rebuilt vehicles.

Show Me the Carfax! (Expanded)

Carfax is more than just a check for accidents — it’s a report card for a car’s life.

What to Check:

• VIN Match – Ensure the Carfax VIN matches the vehicle in the listing.
• Window Sticker – Confirms original options — check if that big screen is OEM or aftermarket.
• Damage/Accident Reports – Pay attention to “functional damage,” tow info, and severity labels.
• Recalls – Make sure they’ve been completed. These are free at any dealership.
• Ownership History – Commercial or lease = often well maintained.

✅ Maintenance History

• Consistent service intervals (every 5,000–7,000 miles)
• Prefer service at dealerships or major chains
• Look for big items like transmission service, timing belt, or brakes
• Avoid cars with no service record — it likely wasn’t maintained
• Red Flags: Rapid-fire repairs, excessive brake/tire work, multiple check engine resets

Understanding Certified Pre-Owned (CPO) — What It Really Means

“Certified Pre-Owned” (CPO) is a term you’ve probably seen thrown around a lot on dealership websites and ads — and it sounds reassuring. But here’s what you really need to know before assuming a car is “good to go.”

What is a CPO Vehicle?

A true Certified Pre-Owned car has gone through a specific inspection and reconditioning process by the manufacturer (not just the dealership) and comes with a limited warranty.

For example, Ford, Toyota, Honda, and GM all have their own official CPO programs, and these include:

• Multi-point inspection (typically 100–175 points)
• Powertrain warranty coverage — sometimes up to 7 years or 100,000 miles from original sale
• Roadside assistance and other perks like trip interruption coverage

But here’s the catch…

Some dealerships offer their own “certified” programs — but these aren’t backed by the vehicle’s manufacturer. These cars are often called “Dealer Certified” or “Certified Used,” and while they may have some type of warranty, it often:

• Only covers the powertrain (engine/transmission)
• Is limited in duration or has a very high deductible
• May not be transferable if you sell the car
• Does not include bumper-to-bumper coverage

How to Protect Yourself:

• Ask who is certifying the vehicle — the manufacturer or the dealership?
• Request a copy of the warranty details in writing — look for mileage, coverage parts, and exclusions
• Watch for "As-Is" clauses — even on supposedly “certified” cars

If you’re paying a premium for a CPO vehicle, it should come with real, manufacturer-backed coverage — not just a shiny sticker and sales pitch.

Bottom line: Not all CPO vehicles are created equal. Always verify who is certifying the car, what’s covered, and for how long.

Should You Consider an Extended Warranty?

Even if a car is not certified pre-owned, you may still have the option to purchase an extended warranty — also known as a vehicle service contract. This can offer peace of mind, especially if you’re considering a vehicle with higher mileage or outside factory warranty coverage.

What Is an Extended Warranty?

An extended warranty is a contract that covers certain types of repairs or replacements after your factory warranty expires. It typically covers:

• Engine and transmission repairs
• Electrical systems and onboard electronics
• Air conditioning and other major systems
• Sometimes more — depending on the plan

These warranties can be purchased through:

• The dealership (OEM-backed or third-party)
• Independent warranty companies
• Some banks or credit unions (if you're financing)

Why You Might Want One

Let’s say you find a car that fits your needs but has slightly higher mileage or is a few years older than you’d like. You could build the cost of an extended warranty into your budget to help protect against future unexpected repairs.

For example: Maybe your goal was a 2020 or newer model, but a 2018 fits your price point better. By saving $3,000 on the car itself and spending $1,500–$2,000 on a good extended warranty, you still come out ahead and gain added protection.

Things to Consider

• Coverage length: Look at how many years and how many miles are included.
• Deductible: Some plans require you to pay $100–$200 per repair visit.
• What's excluded? Read the fine print — not all warranties are truly “bumper-to-bumper.”
• Transferability: Can it transfer to the next owner if you sell the car?
• Where can you use it? Some warranties are only honored at specific repair facilities or dealerships.

Tip: Don’t feel pressured to buy a warranty at the dealership on the spot. Many extended warranties can be added within the first few months of ownership or after an independent inspection.

Bottom line: If you’re comfortable buying a slightly older or higher-mileage car, a quality extended warranty can help protect your investment and provide long-term peace of mind.

Planning Your In-Person Visits

You’ve got your top 3–5 vehicles. Time to go see them in person. Here's how to prepare:

1. Map out the route – Combine close listings into a single trip to save time.
2. Call ahead – Confirm availability, ask for updated Carfax, and verify key features.
3. Schedule appointments – Avoid long waits and ensure someone is ready to help.
4. Bring a checklist – Tires, interior wear, body panels, leaks, trim levels — have it written down.

What’s Next?

Once you’ve planned your visits, the next step is checking them out in person. I’ll be covering that in an upcoming article, including:

• How to do a proper visual inspection
• How to test drive like a mechanic
• What questions to ask the seller
• How to spot pressure tactics and red flags

📢 Be sure to check back soon for that detailed in-person inspection guide!

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Need a printable checklist or have questions? Drop a comment below or reach out — I’d love to help you on your used car journey.