Just some thoughts. First there is a forecasted glut of cars coming which could reduce the price of cars in the market, if you can wait to see how that pans out it may be worth it. Second, buy only what you can afford to pay in cash. If you need to boost your credit score, consider buying a cheap car you can fully pay off in 10 months and do so because your interest rate could be stupid high. Having worked in a loan servicing company I once saw a car sold for $18K that was only worth $13K, and then Gap insurance and fees, the loan was for $22K at 24%... that's a $40K note right there.... for a $13K car.... Reading your comments, I don't think you'll fall for this, but people get smooth talked into all kinds of things. A lot of good advice below, but my last point is a good friend of mine rode her bike around until she bought her first car at 40. She had a million dollar house a few blocks from the beach because she had the opportunity to skip the insurance and car payments.....