There is a certain blissful feeling and comfort that possesses the user of a brand new car. The ability to use and enjoy new features and other benefits that come with a new car is tempting. Despite these advantages, the cons outweighed the benefits based on the budget and other considerations like insurance packages, registration fees, sale tax and other things about the new car. One of the best ways to solve these challenges that come with a new car is to use used vehicles rather spend all your saving or getting an unsustainable loan to own and use a new car. There are thousands of reasons to use used vehicles rather than a new car.
Brand New car depreciated more with uses
The first con of a new car is the depreciation of the value of the car within one to two years of use. The amount of a brand new car starts depreciating on driving away from the dealer’s showroom. You would argue with me that the value of a used car also depreciates from uses. The reality of the automobile market value makes a new car to depreciate by at least 50% of its actual initial price. Using used car will give you the opportunity to sell back the car at a reasonable price not far-fetching from the money you paid to buy the car. The users of used cars have higher chances of finding buyers for their car whenever they wish to sell it. The reason is not far-fetch. It will be difficult for a brand new car’s owner to find a buyer willing to pay 70% of the initial price of the car. But a used car dealer Phoenix can easily find a buyer willing to pay 80% of the car’s initial value.
The Budget for the used car
The owing of a car is expensive, no doubt about that. But it’s more costly to own and use a new car. The budgeting is an essential consideration in owning or using a car. The decision to use a used car rather than a new one will not put you into a financial constraint. With a used car, you will able to use the car’s model with more features and qualities compare to a new car of the same price. Using a used car is a smart way to enjoy better things at a lesser cost. You will save thousands of dollars by deciding to use a used car instead of a new car. A new car depreciates tremendously, so it’s easy to get a used car with “like new” status. Using a used car not only save you from unnecessary financial constraints of monthly lease or loan payment, but also protect you from unwise investment on a new car. You can use the money for other things instead of in a new car.
Insurance Cost for Used Car
Although different factors determine the cost of automobile insurance, like insurance coverage, the model of the car, the location of the owner, owner’s driving experience, the age of the car possesses massive influence on the cost of insurance. The cost of insurance on a used car will be lower compare the new car of the same model. The user of the used car enjoys insurance coverage similar to a new car with lesser expenses. The logical explanation for the changes in the insurance cost arises from the cost of maintaining a new car to used car, the replacement expenditure in case of accidence, the likeliness of new car being stolen compare to a used car. The lists are endless, and this gives more advantages to the owner of a used car.
Better Aftermarket Communities and Maintenance
A used car is likely to have large communities of users who are willing to offer firsthand information about the condition or mechanical problems that might arise from the usage of a used car. An excellent example of aftermarket community is an automobile website forum where owners of a particular model of a car could ask questions about their vehicles and get helpful and informative responses about the supposed problems of their used car. This is often contrary in the case of a new car especially new model which has few communities of users. Regarding maintenance, the user of a used car will able to have access to the vehicle history report, for example, VIN, to know the record of the car to determine the effective way to maintain the car.
Selling Tax and Registration Fees
Finally, as a user of a used car, you will not incur sale tax whenever you decide to sell your used car. This is not the case with a new car as it’s subject to sale tax. Another good reason why you should use a used car is the opportunity to save money from registration fees annually. A lot of state charge car registration fees based on the age and usage of a vehicle.
The Used Car that Suits Your Needs
Having aware of the cons of using a used car, you might be uncertain on the right requisites to choose a used car that will suit your needs. There are e several things to consider in knowing the best-used vehicle that is appropriate for your daily activities. Before deciding on the right used car, it’s essential to answer the following questions:
- The intending uses of the car. For which kind of daily activities the care will be used?
- Compatible with your lifestyle and family status. How many potential passengers in the case of a married individual?
- The financial state. Do you plan to lease or buy the used car with a loan and How would you able to finance the loan or lease. The monthly loan payment should not be more than 14% of your salary. And consider other expenses like fuel and additional maintenance fees.
- The feature of the car. Does the car have a tracking system and other protected feature from potential theft? According to National Insurance, Crime Bureau reports that seven out ten stolen cars lack modern protective feature due to the age of the cars.