Apart from the home you own, the next biggest purchase you may ever make is your vehicle. While most of us dream of sliding behind the wheel of a shiny new vehicle, the fact of the matter is that used cars may be an even better purchase decision. Before you buy a brand new car, here are some things you should consider about why buying a used car may be the right choice for you.
A Lower Price Tag
The real draw for many who are looking at used cars in Canberra is that they have a lower price tag. We tend to generally associate the price of an item with its quality, but this is not necessarily true when it comes to a used car. As long as you research the used vehicle of interest and have it inspected for any major (and costly) issues, you will end up saving significantly on the cost of your car.
Keep in mind that purchasing a new vehicle also comes with a number of extra “hidden costs” which you may not realize. Some of these costs include:
- Shipping charges
- Destination fees
- Dealer preparation fees
- Advertising fees
- Processing fees
Finally, do not forget that by purchasing a used vehicle, you have more price negotiation power than if you were to buy a new car. Do your research, understand the worth of the car, and negotiate with the dealership until you reach a price you feel comfortable with.
Little to No Depreciation
We have all heard that the moment you drive a brand new vehicle off of the lot, it begins to immediately lose its value. This is true for new cars, but it is not necessarily true for used cars. In fact, the moment you drive a used car off of the lot, it generally retains the same value. If the vehicle is only 1 to 2 years old, it may still depreciate, but you will lose a lot less money and at a slower rate.
Cheaper Registration and Insurance Fees
Depending on the make, model, and year of your car, choosing a used car can help you save hundreds of dollars a year in insurance premiums and registration costs. In many states, the registration fees will rapidly decline once a vehicle is 5 years or older from the year it was manufactured.
A Greater Selection of Vehicles
Choosing to purchase a used car means opening yourself up to a variety of different vehicles. You can purchase a vehicle of any make and of any model from any year. Your purchase options are unlimited.
Purchasing a used vehicle is not nearly as risky as many think. Some used vehicles may still be under their original warranty, and the dealership you buy the used vehicle from will also likely have an extended long-term warranty which you can purchase.
As long as you do your research, get the car checked out by a reputable mechanic, and pay a price you can afford, you will be driving your new, pre-owned vehicle for the next several years.