Everyone lives in a world where there is constant pressure from all media to consume and consume… and consume. We are bombarded with ads day in and day out to buy everything that everyone is selling. There aren’t necessarily any issues with this, but it does make people forget that there’s plenty out there to buy that isn’t brand new, but it is still perfectly good.
So, what is out there that is used but still very desirable? There are actually thousands of things that people can buy used from furniture to electronics that are “gently used”, but today this article is going to focus on one of those bigger used products that people should consider used car before new: cars.
Are there good things about buying a new car? Sure there are. There’s that new car smell and the ability to customize a new vehicle, but there isn’t all that much more than that. There are, however, many reasons to buy used:
Depreciation rates on cars are high – This is one of the biggest problems with buying a new car and one of the biggest bonuses to buying a car used. It’s been said many times, but it is true: a new car starts going down in value the second it’s driven off the lot. No one likes to hear this, but it is the biggest downside to owning a new car. Within a month of driving of leaving the lot, a new car loses ten percent of its value. Seem pretty steep? That drop increases to more than twenty percent after a year and forty percent after five!
What’s bad for a new owner is good for a person looking for a used car. If one gets a car that’s just one year old, they can save twenty percent on the price of the vehicle when it was new and that amounts to thousands of dollars in savings.
Get a better deal – The amount of research one can do on a brand new car is limited, especially if a prospective buyer is looking for the best price and once a customer starts customizations, the waters get even murkier. The reason is that new cars don’t have a track record, but used ones do.
A used car has been on the market for a while and, as a result, has an average purchase price. This allows for a customer of a car at a used dealership to be able to go in armed with information and get a better price on a used vehicle.
Be kinder to the environment – Buying new means using up more resources and buying used means that no new resources are being used. Now, a gas or diesel powered engine is still bad for the environment, but at least thousands more dollars worth of metals and plastics haven’t been used to make a new car. In addition, there are many hybrids and electric cars that go on the market used now, which only makes it even better for the environment!
Lease programs are desirable… once they’re done! – Many people use leasing programs for cars, which require that those vehicles are kept in top shape and are returned in pristine condition at the end of five years. At that point, the dealership puts it in the used category and places it on sale for a deep discount, and that car is in great shape!
Better payments – The biggest concern for anyone buying a car is if they can afford it. It’s the prospect of those dreaded monthly payments which makes everyone second guess buying a car. With a used vehicle, it can be paid up within the same period of time, but with lower monthly payments. More cash in a person’s wallet at the end of the month is always a good thing!
Lower Insurance – This differs from country to country and state to state, but used cars usually tend to have lower insurance rates. First, this is because insurance companies look at how much a car costs before assigning an insurance rate. If a customer owns a hundred thousand dollar car, their insurance is going to be higher than someone who owns a twenty thousand dollar car.
For this reason, a used car is going to be cheaper to replace and that means that an insurance company will charge less for coverage.
The buffet of cars! –This is where that pro of customization comes in for new cars. People want that customization, and believe that will be lost if they opt for a used one. The great thing about used vehicles is that there are plenty of them. As a result, a used dealership’s parking lot becomes a veritable buffet of vehicles!
All in all, used is becoming a better choice than new, which is something to carefully consider when it’s time to buy a car.