If you are in need of a new car, you may want to rethink buying new, and instead think about purchasing a pre owned car. Used auto sales have been on a steady rise for the past 7 years, and make up 3 out of every 4 cars bought. This is for good reason, as many used auto sales come with lower price tags than new vehicles.
The Benefits of Used Auto Sales
If you are interested in a used car, here are some of the benefits that can make them better options than new counterparts.
- Low Cost Cars First and foremost is the cost. Depreciation in value is very real, and as soon as you drive off the lot your new vehicle will depreciate by thousands of dollars. In the United States the average price tag of a new vehicle is around $35,309, meaning the auto loan for that amount, that your responsible for paying off, is technically more than the current worth of the vehicle by default. Overall you are losing thousands of dollars more than you would have if you had bought used.
- Sale Tax In addition to the higher up front cost of a new car, the sales tax on new vehicle can be outrageous. Sites like this can offer a visualization of how much new car taxes can be in your state, among others. If you are looking for the most savings possible, research the taxes in your location and factor that in when estimating the total cost of a new vehicle.
- Registration Fees In many states the the amount that you pay for registration is based on the model year, and total value of your car. Buying an older car can help save you save up to a thousand extra dollars when it comes to registering your vehicle.
- No Unneeded Features Many dealers will try to tack on extra features when you go to buy a new car. Not only are these unnecessary added expenses, but they will not factor into resale value when you go to trade in the car in the future. When you buy a used car you may not get all the features you initially wanted, but with the money you save you can afford to upgrade certain aspects anyway. However, if you do have specification that you absolutely must have, shopping around and finding them in a used car will still save you thousands over a new car.
- Condition Cars built today are able to go well over 100,000 miles. My own used car I bought 4 years ago is clocking in at around 180,000! My car before that went over 200,000 before it finally bit the bullet. You don’t have to worry about sacrificing function and condition when you buy new, chances are it will last you for many years to come. Additionally, many dealerships will offer warranties on certified used cars so that if you have any issues they will be taken care of.
Used auto sales are at an all time high, and it’s not hard to imagine why. Buying a used car has many financial benefits over buying a new vehicle, and additionally the money saved can go towards making your new used car exactly what you want it to be. Want AUX compatibility? You can find great radios for under $100 to replace the old model. (I use that example mainly because that is what I did after I bought my latest used car.)
If you are looking for great cars at affordable prices, used vehicles is the way to go. You can trust that they will last you for years to come, and you won’t have to worry about losing money with your purchase. You will definitely thank yourself later for choosing a used option.