A used car is one of the best ways to save money and find a reliable transportation option. However, buying used often means dealing with the inevitable: finding problems, sorting out repairs, and haggling over prices.
You also have a vast range of car styles to choose from; you may need an SUV to help get you out and about, on or off-road, or you may need something a little more stylish to impress potential clients. That’s why this article has been put together that covers everything you need to know before making a final decision on your purchase.
· Insurance for a second-hand vehicle is lower
The first part of a vehicle’s insurance price is determined by the market value, or “book value,” of the car. A new car will have a higher book value than a used car. Therefore, the cost of insurance is usually lower for used cars than for new ones.
The cost to insure any vehicle will vary depending on things like the driver’s age and driving experience, as well as things like where the driver lives and what kind of policy they purchase. Generally, young drivers and drivers with lots of accidents or traffic violations on their record pay more to insure their vehicles. Insurance agents use computer programs to calculate rates based on these factors and others, so always get several quotes before settling on an insurance policy.
· Buying a used car saves you money
This is the most obvious reason to purchase a used car: it saves you money.
Used cars are cheaper than new ones, and that difference becomes even more pronounced as the price of a new vehicle increases. Traditionally, used models have had two major advantages over new cars: prices and availability. If you are looking for finance, the Auto Finance Online website can provide a quote.
Buying from a private seller means you can find an affordable vehicle, however, it’s worth noting that you will only get the manufacturer’s warranty if the car is fairly new. Buying from a dealer will offer the benefit of a dealer’s warranty.
· Most of the depreciation has already happened (and repairs may be cheaper)
A new car loses a significant proportion of its value the moment the car is sold. It will continue to lose much of its value in the first couple of years. Owners of a second-hand vehicle will benefit from a cheaper asking price for a high spec vehicle.
Parts for older cars are often easier to come by. You also have the option of buying spare parts on the second-hand market making it cheaper to maintain or repair a second-hand car in comparison to a brand-new vehicle.
· You have more options on the used car market
For many, money is a limiting factor in the style of car they can afford. When you go to the used car market you can opt for an older model making the purchase affordable.
Buying a used car is a great way to save money and still have a reliable vehicle. However, you need to remember that buying used means dealing with the possibility of problems. Always ask the previous owner about any accidents or previous repairs on the vehicle and get references from these people before making your final decision. Price is important as well, but consider your overall transportation needs, not only price, when deciding on a vehicle to purchase.