Exploring the Benefits of Buying a Used Car
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By PAGE Editor
These days, it can often seem as though no matter how much you earn or save up, it simply doesn't go as far as it used to. This is for plenty of reasons, with inflation obviously being a massive part of it, but with a little bit of lateral thinking, you can often end up in a far better position. A case in point of this is when you're in the market for a new car.
While you can go down the route of heading to a dealership offering brand-new models, you risk not only having to pay an excessive premium, but much of that will be lost as soon as you drive it off the lot. Instead, considering a used vehicle can bring innumerable advantages that exceed those of a purely monetary reason. In this article, we are exploring the various benefits you can find when you opt for a used vehicle over something brand new.
You Can Buy Way More Car For Your Money
Although we did mention that the advantages are more than just saving money, we will be given one very good reason to choose to used over new. Because most of the models on offer at second-hand dealerships or on marketplaces have already suffered through their initial phase of massive deprecation, you are essentially snagging a bargain (as long as it's in excellent condition). Consequently, you can often invest your money in cars that you might never have been able to afford if you chose to save up for a new one.
This is particularly prevalent in the luxury car brands used market, where many of the most well-known premium brands have dropped significantly (regardless of mileage in some cases) that they can now be considered a steal. While you always need to ensure that you can afford the insurance and maintenance costs that often accompany such vehicles, the point is that with a bit of looking around, you will be able to find some unbelievable deals on some incredibly premium cars.
Reduced Depreciation Rates Over Time
We have to discuss depreciation if we are ever to convince anyone that buying used is a far better option than others. As we have already stated, almost all new cars will fall precipitously in value as soon as they leave the dealership, and they don't tend to stop dropping until they reach a particular value deemed acceptable by the market.
This is terrible news if you've just spent seventy-plus thousand dollars on a new BMW, but one man's loss is another's gain, and the savvy shopper will gain tremendously when the time comes the former wants to trade in their formerly new car for another. Not only will you gain from the decrease in price, but you will also have dodged the depreciation bullet that can wipe out value like nothing else!
Established Reliability Through Previous Ownership
This point is only really relevant if you purchase it via a dedicated used car dealership. You can undoubtedly find amazingly kept cars if you choose to shop around other forms of marketplaces; you are most likely to receive a higher-quality model from a dealer who has their reputation at stake. Nevertheless, the point remains that as long as the car is in tip-top condition, you are buying into a proven entity that has shown its reliability through several years of ownership and however many miles it has traveled.
Potentially Lower Insurance Costs
Insurance premiums seem to be on a never-ending cycle of creeping up and up to a point where it looks almost impossible to afford anything outside of the lowest offering as required by law. Fortunately, you can save a large chunk by choosing a used car rather than a new one and all the usual insurance issues that often accompany them. The problem is that when you buy a brand-new model, the insurer will cost your premiums based on the price of the car, conveniently avoiding the depreciation that occurs almost immediately. As such, you have lost money from the initial purchase and continue to lose out from what can usually be pretty extortionate premiums.
Flexibility In Financing Options Available
Perhaps one of the best points about going this route rather than the other is that you still have access to finance, which can further boost the amount you have at your disposal, increasing your options and making it more likely you'll end up in much higher-quality car than if you used your savings alone. As long as you understand how to shop around for the best deals, you can end up with a fantastic car that has been paid for with finance without a horrendous rate, or in other words, a win-win situation!
There are many reasons to choose a used model over a new one, not least of which is the fact your money will stretch much further. Outside of this, you benefit from reduced premiums and the fact that it will have already fallen in value by the time you purchase it.
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