Have you ever heard the phrase “a new car loses half of its value as soon as you drive it off the lot?”
This statement has a lot of truth to it. Even though the number might not be exactly half, you do lose a significant amount of value within the first couple of miles it is driven.
It is a much smarter idea to buy a used car, and save some money by doing it.
Cars are built considerably better these days and can run much longer. There are many reasons to buy a used car over new, check out this guide to learn more!
Depreciation is the number one reason for buying a used car. When buying a new car, you will lose a significant amount of value during the first couple of miles you drive it.
Cars used to last up to about 100,000 miles maybe 120,000 miles, if you’re lucky, without having any major problems. Nowadays, cars are built to last and can last over 200,000 miles giving you all the more reason to buy used.
A new study conducted by the American Automobile Association took a look at the biggest expenses when buying a new car. Researchers concluded that depreciation was by far the biggest expense, accounting for nearly 40% of the cost of a new car.
Buying a Used Car Will Save You Money
Cars can be an expensive purchase. When car shopping, price is a huge factor for most people in determining what make and model they are looking for.
Not only will you be saving on the sticker price of the car, but you will also be saving on parts. Used cars have a great community of people that produce aftermarket parts. These aftermarket parts will save you time and money.
Aftermarket parts are the same as the parts manufacturers use, just at a fraction of the cost. When you bring your vehicle in for repairs and a part is needed, it could take a few days for the dealership to get the parts needed. Aftermarket parts are more widely available and just as good as the manufacturer, in many cases.
Some people may think buying new is the way to go due to the warranty you get. In this day in age, used cars can have warranties that are just as good as what you can get when buying a brand new car.
Buying a Certified Pre-Owned vehicle gives you the peace of mind that buying a new car would, at a better value.
Certified Pre-Owned warranties cover most of the same issues a new car warranty would cover.
According to Consumer Reports, Certified Pre-Owned vehicles “are often cherry-picked, have lower miles, and are cleaner vehicles with a clean history.” The warranty will help protect against major defects and costly repairs.
Reduced Insurance Costs
When purchasing insurance for your vehicle, most insurance companies will give you a quote based on the value of the car. So if you are buying a new car, it will be more expensive than if you were buying used. When your vehicle is less valuable, it will cost less to insure.
Minimizing Your Risk
It used to be that when buying a used car, you get what you pay for. Nowadays there are laws in place to help protect consumers from buying faulty cars.
Used cars are protected under the Uniform Commercial Code (UCC). The code states that the used car that was purchased has an implied warranty stating the car is fit for transportation. However, this doesn’t apply if the car is sold as-is.
Another great way to minimize the risk associated with buying a used car is to check the Carfax report. Checking the Carfax report will help make sure there are no hidden problems. The Carfax report checks for:
- Major accidents
- Open recalls
- Airbag deployment
- Service History
- Length of ownership
- And much more!
If you would like to get these benefits straight from the dealership, Monster Cars is a Carfax dealer that is dedicated to your satisfaction.
When you go car shopping, if you are purchasing a new vehicle, you are limited in the selection you have. With used cars, you have a massive variety to choose from.
Some people prefer older cars. Have you ever been to an antique car show? They are packed with antique car enthusiasts from every corner of the world.
Older vehicles have a huge fan base, and it doesn’t seem to be slowing down anytime soon.
Resources Available to Find Value
They have so many resources available to you when looking for the value of a used car. Websites like KBB and carguru.com give you all the resources you need to find the value of your car, and to also make sure you are not overpaying.
The advancement of vehicle history reports has made the used car buying process a breeze. Websites including Kelly Blue Book have made looking up the value of any vehicle much easier. All you have to do is enter the year, make, and model of your vehicle or the vehicle you are looking to purchase.
After answering a few quick questions about your vehicle, KBB will print out a report showing you a fair market range of your vehicle’s value and a fair purchase price. This way you can walk into the car dealership with confidence.
Are You Looking for Your Next Used Car?
We understand that buying a used car can sometimes be intimidating. There are so many commercials from dealerships promising you that they have the best price or deals with financing.
If you want the best service with a truly enjoyable experience, then check out our website to learn more. We are a family-owned business that is committed to helping you with all of your auto needs.