New cars are more expensive than ever due to a worldwide microprocessor shortage. February 2024 had 30% more car purchases than February 2023. If you're on a limited budget, consider buying a secondhand automobile.
More pros of buying a used car are below.
1. Save Money on the Car Purchase Price
Used automobile pricing are often about half off of new car prices! Buying a used automobile is a budget-friendly option since you can pay it off sooner. The average customer swaps in their car every six years. If you saved $10,000 by purchasing a used automobile, you could upgrade or do a two-for-one!
2. You Can Control the Depreciation of a Used Car
The benefits of buying a used car go beyond cost reductions. The difference between a car's original purchase price and its market value is its depreciation. The first year has the highest depreciation reduction of 15–20%. Buy a one-year-old secondhand car to save 15–20%. Buy a used car within three years of manufacturing to save half the retail price.
3. Choose from a Wide Selection of Used Cars
While car shopping, you may explore any model, from new to ancient. This is another great advantage among other used car benefits. However, searching for secondhand cars may provide more results, including discontinued models. Despite GMC Sierra 1500 manufacturing ending, secondhand purchasers may locate one.
Saving money by purchasing a used automobile may enable you to upgrade to a better model or more options. A used Nissan Kicks at the lowest trim level may be cheap, but a newer one may be better. What are the other pros of used cars?
4. No Hidden Exaggerated Fees
New automobile deals may seem excellent, but many include hidden or insane expenses like shipping, destination, and “dealer preparation.” New automobile costs might contain $1,000 in hidden advertising expenses! A used automobile usually has no hidden costs, although a few hundred dollar “doc fee” may apply. That is why buy a used car is advantageous.
5. Lower Insurance Rates for Used Car
Insurance rates are generally based on the car's value. As used cars have a lower value than new ones, the insurance premiums are correspondingly lower, offering yet another way to save money.
6. Easier to Get Bank Financing for a Used Car
Among other reasons to buy a used car, this one is the most attractive. Getting a loan for a used car is usually easier. Banks think used cars are safer to invest in. This makes it simpler for buyers to get good loan deals.
7. Used Cars are Cheaper to Maintain and Repair
Maintaining and fixing a used car often costs less than a new one. Parts are easier to find and cost less. This is true for cars that have been around for a while.
8. Many Used Cars Include a Warranty
Used automobiles may have part of their warranty. Other secondhand autos may provide fresh warranties. Factory-trained specialists can repair your used automobile with quality components and fast servicing under an extended manufacturer warranty. Plus, you may use your savings from not purchasing a new vehicle to get a guarantee for 100,000 miles or more. What new automobile has that?
9. Certified and Thoroughly Inspected by Manufacturer
Used vehicle buyers know CPO cars are high-quality, well-inspected, and inexpensive. Certified Pre-Owned cars are inspected, refurbished, and certified by the manufacturer or other organization to ensure quality. The manufacturer inspects and recondition certified pre-owned vehicles to ensure reliability and peace of mind. New autos just guarantee newness.
10. Lower Customization Used Car Costs out of the Dealership
Buying a secondhand automobile doesn't need pricey dealership add-ons. Your own may be installed cheaper than a new automobile. What a beneficial way to spend your savings on a used car.
FAQ
What checks and tests should be done before buying a used car?
Check the engine, gearbox, brakes, suspension, and electricals of the used car. Also, get a history report to find any secret problems.
What makes and models of used cars are the most popular and reliable?
Durable brands like Toyota, Honda, and Subaru make popular secondhand cars. Toyota Camry, Honda Accord, and Subaru Forester are popular pre-owned cars.
What trading tips can you use when buying a used car?
Before purchasing a used automobile, study its market worth, check it or have it inspected by an expert, bargain based on its condition and market value, and make sure all documentation is full and correct.