Many people choose to purchase a new vehicle after the new year. They are done with holiday spending and the winter weather conditions are in full swing. Many dealerships in the automotive industry also offer big discounts to start off their yearly sales. If you are considering purchasing a new vehicle, you have probably thought about whether a new versus used vehicle is better for your situation. Used vehicles offer many advantages over new ones.
Hold their value better
You lose much of a vehicle?s value the moment you sign the contract. Even if you were to sell it to a different buyer minutes later, it is now considered used. Used cars go for significantly less, even if they are in great shape. It can also be more difficult to sell a new car, because most people looking to buy a new car go to a dealership over a private auto seller.
If you purchase a used vehicle, however, it will hold its value pretty consistently, as long as it is properly taken care of. The average vehicle will likely have three owners in its lifetime. You will find that the second buyer purchased the vehicle for much less than the original buyer did. It is also likely that the third buyer received it for even less, as most people do not properly keep up on the maintenance of their vehicles.
More buying options
When you purchase a used car, you will find that you have more buying options. For example, if you are interested in purchasing a Honda, one of the nation?s highest award winning cars, you will have to go to a Honda dealership for a brand new one. You may be limited to the vehicles they have on the lot. Honda is the largest manufacturer of engines in the world, they make over 14 million engines a year. However, you might still struggle with finding the exact vehicle you want.
You can go to another dealership, but it is likely that they all carry similar inventories. If you decide to purchase a used one, you can visit multiple used car dealerships for a greater diversity in inventory. You also have the option to purchase from a private seller.
Cheaper replacement parts
Cars need maintenance and upkeep regularly. This is what keeps them in great working condition and increases their value when you sell them later on. Too many used car owners lose out on profits in the automotive industry by failing to keep up with regular maintenance, such as tire rotations, regular oil changes, and vehicle inspections. When you own a used vehicle, you will find that replacement auto parts are much more affordable.
Newer vehicles are often newer, meaning there are less replacement parts available. They may be harder to make and take longer to receive, costing you more money. However, many auto sales companies and junk yards have multiple replacement parts for older model cars. The ease of getting these items means you pay less for them, saving you sometimes thousands of dollars. Neglecting vehicles costs the economy over $2 billion each year, making affordable replacement parts an important part of the automotive industry.
Fewer monthly payments
Brand new vehicles cost significantly more than used cars do. Buying a new car can be a bad financial decision, regardless of your financial situation. Spreading the payments out over many years may make them seem very affordable, expect that you are paying for many more years. By the time you are finished making your monthly payments, the vehicle is worth hardly anything. A used vehicle, however, will be paid off much quicker and can be sold for a profit, being a much smarter financial choice.
Many drivers will find themselves shopping for a new vehicle over the next couple of months. The automotive industry pushes inventory out the first couple months of the year. When you are shopping this car season, weigh the advantages of purchasing a used vehicle over a new one. You are likely to find that buying a used car is a smart decision for many reasons.