Three Smart Reasons to Buy a Used Car
Depending on your needs and budget, buying a used car is a convenient and sound investment. Most of the time, late-model used cars are as reliable as brand-new cars. However, if you aren’t quite sold on the idea, check out some of these benefits of buying a used car.
An often-overlooked negative to buying a new car is the instant depreciation. As soon as you drive the vehicle off the lot, you stand to lose about 10 percent of the value of the car, an instant waste of money. Used cars allow someone else to take the loss, and you get a fair value for your vehicle.
Today as opposed to ten years ago most late-model used cars come with a transferable warranty from the manufacturer. That means you get a mileage or time warranty on the used car, even if you’re not the original owner. This is a great way to save on expensive maintenance if something happens to the vehicle.
Insurance on new cars is expensive because many lenders require you to carry comprehensive coverage on the vehicle. These cars are also more valuable, which means a higher premium. Used cars, however, don’t need extra coverage unless they have a huge price tag. For example, theft and collision coverage isn’t always necessary or practical for a used car because the monthly premium isn’t worth the coverage.
Buying a used car is a great decision when you don’t want to break the bank. Just make sure to find a reputable dealer when purchasing the car. It’ll put your mind at ease and make the experience much more pleasant.