There’s nothing like walking into a car dealership, test-driving a dream vehicle, and customizing features to suit your needs. For many, the feeling of driving off in your brand-new ride, complete with that new car smell, is unbeatable. However, buying a used car is often a much better choice.
Did you know that, on average, people drive a vehicle for six years, whether or not the car was new when they bought it?
Opting for a used car can save up to 50 percent on your purchase price. These savings also translate to your car payments because you save on interest when you can pay your vehicle off faster.
Some car buyers will buy new vehicles assuming they can sell them later. However, cars depreciate as soon as you drive them off the lot. The most significant drop in your car's price occurs in the first few years. When you buy a used vehicle that’s already depreciated, you can count on most of the value to hold.
Dealership fees and shipping costs can make an already painful price tag unbearable. Skip these hidden fees by buying a used car; the doc fee is the only extra cost.
Many car buyers who are scared to purchase a used vehicle fear hidden problems that will cost them hundreds of dollars to fix once they rear their ugly heads. Don’t worry — being in the loop about a used car’s condition and mileage is easy. Plus, vehicle history reports allow you to learn more about the exact vehicle you are looking to purchase.
Certified Pre-Owned, or CPO, programs also ensure you know the car inside and out before you commit. Used vehicles with a CPO label have passed detailed inspections and may even come with extended warranties. It’s also much easier to finance CPO cars.
Pre-owned vehicles are cheaper to register and have lower annual fees in many states. That’s because registration fees are typically based on the car’s manufacturing year. If the used vehicle you’re interested in is at least three years old, you’ll save on fees.
Buying a used car can lead to insurance savings as well. Insurance companies consider numerous factors when determining your premium. The car’s value is one of the most im-portant considerations. This is because your car's value determines your insurance payout in the event of an accident.
Used cars have already depreciated. The car’s value evens out after a few years, and you can usually count on lower insurance rates.
Some people are scared to be ripped off by unethical. Knowing that car dealerships stay close to a vehicle’s suggested retail price, they prefer the thought of buying a brand-new car.
You don’t have to worry about overpaying when all the information you need is just a few clicks away. It’s easy to find entire websites, such as Kelley Blue Book, that are dedicated to determining the value of used cars.
Savvy buyers can use this information to their advantage when they negotiate.
Used cars are:
Used cars can be just as reliable as new cars, especially if you buy a certified pre-owned vehicle. Buying a used car offers the best of both worlds.