If you're looking to save money and/or get a good value on your next vehicle, there are few better ways to accomplish this task than by buying used. Whether you're looking to purchase from a private seller or intend to go to to a dealer where you can buy pre-owned cars in good condition, buying a used vehicle just makes a lot of financial sense. Here are 3 reasons why buying pre-owned is better than buying new.
Minimize Depreciation After Purchase
In general, most new cars will lose a good chunk of their value as soon as they are driven off the lot. But used cars have already dealt with this steep decline. Instead of dealing with what could be a 20 to 30 percent loss in value during the first year of owning the car, you'll only have to deal with standard year-to-year depreciation. It's even possible, if you get a good deal on a used vehicle and take good care of it, that you could resell it in a few years for close to the same value that you purchased it for.
Save Money on Insurance
When you buy a used car, you won't just save money on the actual purchase, you could also save some money every single month after the purchase in the form of a lower insurance rate. The overall value of the car is one factor that most car insurance companies use in determining how much you have to pay every month for your coverage. Since used cars are of course going to have less value, your insurance rate should be lower. Also, consider that when buying an especially older vehicle, it might not be necessary for you to carry collision coverage if the cost of replacing the car when totaled would be the same or more than it would cost you to just buy another used car.
Get a "Better" Car
If you have a set amount of money that you want to pay for your new vehicle, you will simply get more for your money if you buy used. If you have a choice between getting a new vehicle with a bare bones package or a vehicle that is a few years old but that is tricked out with a sunroof, audio system and all the other extras for about the same price, it should not be difficult to see which is the better choice.
Buying pre-owned definitely has its advantages. In general, your "new" car will depreciate less after purchase, will likely be a better overall value and can continue to save you money going forward through your monthly insurance costs. Stop by a local auto dealer like Welsh Motors today for more information.Share