5 Benefits of Buying a Used Car

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In this article, you can be able to know the benefits of buying a used car.

USED CARS

5 Benefits of

Buying a Used Car


When some people picture a used

car, they think of a yellow clunker

sitting in the corner of an auto lot

with rusted rims, chipped paint,

and a “for sale: $2,000” sign on the

front windshield. They may

imagine a caricature of a car

salesman with a plaid suit, hat, and

mustache standing in the car lot,

attempting to sell naive customers

crappy cars at high prices.

This image, however, is for the

most part inaccurate. Sure, there

are lemons out there, but many

used car lots are filled with

certified vehicles, and cars that

look like new. If you go the used car

route, as opposed to buying new,

you can actually reap a variety of

benefits. Check out our list of some

of these used car pros.


BETTER PRICE

It’s nice to ride in a car that no one has ever

owned before, with that new car smell and feel.

But, that scent, brand new upholstery without a

single flaw, and single digit mileage doesn’t come

cheap. The price gap between new and used

vehicles was around $20,000 as of earlier this

year, according to Cars.com.

The interest rates on new cars do tend to be

slightly lower than they are on used cars,

however. Bank rate reports the average 48-month

rates on new cars at 4%, while used car rates are

slightly higher — at 4.99%. In spite of the higher

rates, in most cases, you still end up with a much

smaller total bill when you opt for a used vehicle.


DEPRECIATION

BENEFITS

Not only do new cars lose a large portion of their

value immediately, they are also precious to new

car owners who feel a gut punch when normal

wear and tear inevitably happens. Some new cars

lose as much as 40% of their value during the

first year. “With a used car, there’s no

depreciation hit the second you roll off the lot.

There’s also less mental depreciation, no need to

worry about the first parking-lot ding or rock chip

in the paint because chances are the car’s

previous owner or owners took care of those for

you,” Car and Driver reports.

When a car depreciates so quickly, this also

heightens the need for GAP coverage (optional

insurance coverage to cover the difference

between the amount of your loan and your car’s

actual value), which is another added expense.


POTENTIALLY AVOIDING

NEW CAR FEES

If you buy a car at the dealership — new or used

— you’re probably going to have fees (like taxes

and DMV fees) tacked on regardless to the

condition of the vehicle. You may also see random

other fees, like processing, preparation, and

advertising fees, which can add up to a hundreds

of dollars. If you buy a used car from a private

party, however, you can avoid some of theses

random fees.


VARIETY (YOU CAN BUY ANY

MAKE OR MODEL YEAR)

Do you have your eye on a 2005 Jeep Wrangler?

Maybe a 1979 Mustang Turbo is the car for you?

If you’re looking for a specific, older model, odds

are you’re not going to find it in new condition.

If you buy a used car, as opposed to a new car, you

have a much wider selection of inventory to

choose from and you’re not limited to models that

were released over the past year or two as you

would be when buying new. You have a virtually

endless supply of inventory to choose from.


TECHNOLOGY

These days, used car shopping is a different

experience than it was in years past. Consumers

have a plethora of information and resources

right at their fingertips. If you want to know a

car’s value, you have sites like KBB.com available

where you can search for the value of a specific

year, make, and model in various conditions.

Sites like CarFax allow you to find out historical

information about specific vehicles.

You can even find out the experiences of

thousands of other car-buyers who purchased the

same vehicle you have your eye on. Were others

happy with their purchase? Did anyone

experience problems with the vehicle? What

about the dealer? This information has made it

possible for used car buyers to find out more

information about prospective vehicle options

than ever before.


SOURCES

Article Source: CheatSheet

Image Source: callaghanmotors.com.au

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