Benefits Of Buying Used Cars
Buying a used car can prove really beneficial especially during this recession period. They have greatly improved on the reliability front and also you get ample varieties for selection. But more or less the main advantage of buying an old car is its affordability.
Price – Buying a new car is a way more expensive deal than getting an old one, especially if you'd like a luxury car like a BMW. The price gap between the two is very large, almost half of the original cost. According to a research done by CNW marketing experts show that the transaction price, before fees and taxes for a new car in 2008 has ranged between $25,536. And at the same time the transaction cost involved for used cars was $8,244. Unless and until you are planning to buy your new car on lease, it is going to prove a really heavy deal in the starting. To buy a new car in installment, you need to make a down payment of at least 10 percent of the total amount and then installments for every month. The less you pay initially, the more you need to pay for your monthly installments.
Certification Programs – Another reason for many people opting for used cars is the proliferation of certified pre-owned programs. Earlier, this option was available for only for expensive luxury cars like Lexus, Ferrari, Mercedes, land rover etc. But these days almost every manufacturer has started giving these programs. Some of the CPO cars benefits are that vehicles under CPO category go under strict vigilance process of cosmetic and mechanical items before they get their certification approved. Also, manufactures give more consideration to late models, low-mileage old cars and big vehicles like trucks with no damage or criminal history for their certification. CPO vehicles have an extended warranty which is more than the usual factory warranty and the warranty includes the same features just like a new car, like assistance for roadside and so forth. Also, there are some companies which offer financing facilities for car loan at a lower rate as compare to a new car. It should be noted that CPO cars are more expensive than just a normal used car and it is definitely worth it as there are no chances of you getting cheated.
No Depreciation – One of the major problems with a new car is that their values depreciate as soon as you take it out from the showroom. The value is greatly decreased in the first few early years of ownership. Almost 30 percent of the value decreases in the early 2 years but this will not happen with your old car.
Hence it is proved that you get more value of your money if you invest it in a used car. Also, buying a used car is a much more affordable option, it will save you money as well as time. You certainly do not wish to pay thousand of extra dollars to get the smell of your new car. Buying a car is a big investment and the decision should be taken wisely.