Buying a used vehicle is a good way to save money and still find the vehicle you’ve been dreaming of. Whether you have certain car needs you need to meet (like a four-wheel car for winter weather or backseat for kids) or you’re limited by your budget, today’s options of used cars are just as good as new ones and come at a considerably lower cost.
Buying a used vehicle—whether it’s from online websites like Craigslist, car classifieds, or from a used vehicle dealership (please visit https://www.pmwltd.co.uk/pages/car-sales for more information)—simply costs much less than buying new. The average cost of a new car is $25,000 while that of a used one is $10,000. If you’re getting it from an individual, you may even negotiate the price or barter to lower the costs.
A new car depreciates about 20% as soon as it leaves a dealership and depreciates a further 10% during the first 12 months of ownership. Studies indicate that most vehicles are worth only 60-70% of their initial value 3 years after their purchase. When you get a used car, the original owner will already have absorbed all the depreciation.
Find good deals
People who own new cars tend to be quite a fussy lot. Many of them turn over their vehicles after a couple of years, while others may conclude that the monthly fees are just too costly. If you take your time to find good used cars, you could find some incredible deals from those who are looking to sell.
No costly dealer repairs
When you buy certain models and makes of new vehicles, the parts covered by the warranty are not valid if you decide to get your own mechanic. This means you have no choice than to have your repairs done at the dealership. This is essentially the dealership’s strategy to get you to use their costly service. When you purchase a used vehicle, you can have the repairs carried out on your terms.
More value for your money
This is one of the best things about buying a used car instead of a new one. With the help of that annoying depreciation, your hard-earned cash can give you more options than if you buy a new vehicle. Your budget might afford you only an entry or base-level vehicle if you buy new. However, if you buy used, the same budget can get you something better equipped or fancier.
Used vehicles are reliable
Vehicles that are made today are far better than those that were made last century. As a matter of fact, by the middle of 2015, cars driving on American roads had an average age of 11.5 years. Modern cars are built to last longer, making today’s used cars more dependable and reliable.
Lower insurance costs
The main factor that insurance companies use to determine car insurance rates is a car’s value. That makes sense because the pricier the car, the more cash they’ll possibly have to pay in case of an accident. Since used cars have a lower value than new ones, they generally have lower insurance costs. In fact, some used cars can forgo theft and collision insurance, which adds a considerable amount to the total cost of insurance.
Cheaper registration fees
Older cars are often cheaper to register, depending on your area. Of course, some states have the same fee regardless of what kind of vehicle you register, but others charge their fee based on the age, weight, and even power of a car. In addition to registration, a number of states charge annual taxes, which are usually based on a car’s age as well.
Save on maintenance costs
As you’re not getting new parts to repair your used car, maintenance costs are usually lower. You also can save on internal configurations, premium oil, and so on.
Car history reports & lemon laws
When you’re shopping for a used car, you can check its history report online, which may help determine the sort of state it is in. Also, there are lemon laws around, which lessen the risk of buying a used car with hidden faults.
A good way to save the planet
If you’re making an eco-friendly car buying decision, a used car can be a good option to take. In fact, building a new car takes more energy than purchasing a used one, so long as it doesn’t gobble up gas.