Shopping for a car can be a tedious and draining process. Determining what make, model, and features you want can be difficult enough, and becomes even trickier when you consider the high price of many vehicles. While the commercials you often see during TV sporting events and in magazines are generally for new cars, used cars are well worth considering, too. Here are five major benefits of buying a used car.
Cars are a depreciating asset
One of the biggest reasons to buy a used car instead of a new vehicle is that cars depreciate. What does this mean? Put simply, this signifies that the value of a new car goes down tremendously in the first six months that you own the car. On average, cars can depreciate up to 20 percent in value in the first year after you purchase them. This is even worse with popular models like Ford trucks and Subaru SUVs which can depreciate more than 40 percent in the first five years.
Damaged cars are less expensive
Sometimes, perfectly good cars are damaged because of simple, weather-related cosmetic damages. In these cases, damage from hail and other types of inclement weather can decrease the value of the car by several thousand dollars. Keep in mind that cosmetic damages rarely, if ever, affect the drivability of a vehicle. In fact, they are easily fixed by a company specializing in auto body services, making it even more worthwhile to search for hail damage cars for sale in your area.
A used car budget goes farther
One other positive benefit of shopping for used vehicles is that the money you have to spend on a car can often go farther when shopping for a used car instead of a new car. For example, $15,000 or $20,000 won’t buy you a new vehicle with many options or add-ons. However, if you look for a used car in that price range, it’s possible to get larger SUVs or even luxury sports cars that are only several years old. Since cars are built to last much longer than they used to be, purchasing used can be a great way to get an exciting ride on a budget.
Your insurance costs will be lower
Older cars don’t just save you money on their sticker price. They also save you on insurance costs and registration fees. When you consider that the average cost of car insurance is almost $1,600 a year, these savings can add up over the life of the vehicle. Especially when it comes to cutting down your monthly costs, lowering your monthly vehicle payment in conjunction with your insurance can be a great way to make the most of your paycheck each pay period.
You can shop with better information
A host of stories are in the news these days about car recalls. Especially when you buy a vehicle new, you are, in effect, buying blind. While everyone likes to believe that a new car won’t come with any problems, it’s much easier to do your research on an older car. Checking for recalls from government institutions is simple, and can help you ensure that the used vehicle you’re considering purchasing is devoid of any mechanical issues that might give you pause. This helps you avoid costly repairs several years into ownership of the vehicle.
Purchasing a used car can be an excellent way to save money and maximize the value of your car budget. From allowing you to shop for cars with better features to buying a car that you know will be reliable, buying used offers a host of benefits. Consider the above five reasons to buy a used car and shop with confidence for your next vehicle.