Step 4: Research your prospective used car.

You will find all the information you need to make an educated decision about what to buy on the Edmunds.com used car pages. The major topics are accessed by clicking the links to the left of the screen that list such information as prices, standard features, specs and safety, warranties, consumer discussions, photos and video and resale values.

A helpful feature is "Car Ratings" which evaluates the different components of the vehicle. You can also read reviews of the car by current owners. Finally, make sure you use True Cost to Own (TCO)^® to see what other expenses you will incur (TCO data is not available for all cars).

Another essential part of the used car pages is Edmunds.com's True Market Value (TMV^®)pricing, a helpful guideline when car shopping. TMV pricing is based on sales figures of similar cars across the country. We will go into more detail about how to use Edmunds.com's TMV later.

One last vital step to getting a great used car deal: Make sure you run a vehicle history report on any used car you are considering buying. Several companies sell these reports, which are based on the VIN, but AutoCheck and Carfax seem to be the most comprehensive.

These reports can reveal vital information about the used car, including whether it has a salvage title (it has been declared a total loss by the insurance company) or if the odometer has been rolled back. This is also the time to decide if you want a Certified Used Car. If you do, see our article that describes the certified used vehicle programs offered by each manufacturer.

Used car shopping will involve inspecting the vehicle to determine its condition. This process is simplified if you buy a certified used car that has passed a thorough inspection and is backed by a manufacturer's warranty. But while buying a certified used car removes a lot of the guesswork about the vehicle's mechanical condition, you pay for this service.

Most new cars are sold with a three-year/36,000-mile warranty. Therefore, if you buy a car that is from 1-3 years old, with fewer than 36,000 miles on the odometer, it will still be under the factory warranty.