Key Benefits of Buying a Used Car
Buying a vehicle is a serious and expensive purchase, which is why you have to take your time and do an extensive research before you decide what car to buy. There are lots of things you have to take into consideration, including price, specifications, auto insurance, and payment methods. When looking to buy a car, a lot of people are faced with the dilemma of buying a used one versus a new one. Maybe a new car seems like the obvious choice, but there are some very significant benefits of buying a used car, related to price, maintenance and insurance, which should be taken into account by everyone who believes that new vehicles are the better option.
The main, and most obvious advantage of choosing a used car over a new one is the lower price tag. If you decide to buy a used one, you can get a pretty good model with great performances, at a very low price. For example, you could buy a used sports car that cost more than $80,000 a couple of years ago, when it was new, for as little as $40,000. This is because new cars lose much of their value the minute they leave the dealership.
Talking about depreciation, used cars are not affected by it as much as new ones are. New cars lose most of their value during the first two or three years. If you buy a used car, you don’t have to worry about it losing much of its value, since it already depreciated a lot when it was first sold as a new vehicle. This way, when you decide to sell the used car after a couple of years, you will be able to sell it at a price that will be pretty similar to the price you had bought it at.
Another reason why you should consider getting a used cars is the lower registration fee. DMV’s charge less for registering cars that are more than five years old, and you can save a couple of hundreds of dollars a year that way. Also, used cars are not subject to sales tax, which, for new cars, is as much as 7% of the purchase price.
Lastly, insurance for used cars is cheaper compared to new cars. This is because a new car is more expensive and has a higher value, and it costs more to replace parts and repair it in case it gets damaged in a collision.
In conclusion, owning a new car does have a lot of obvious benefits, but owning a used car has its own advantages, too, and you should consider this option before making your final decision.