Buying a used car over a new car may be very beneficial for various reasons. If you’re in the process of researching for a new car, make sure that you do some research before shopping for a vehicle. A car may be one of the most expensive purchases you ever make in your lifetime. You do not have to settle, but there are reliable used cars on the market as well.
First, a used car can mean less depreciation if the cost is low. New cars lose depreciation the minute you drive it off the lot. That is the number one reason why used cars are better for your bargain. For example, you can find a 2007 Porsche for the same price as a 2011 Honda nowadays. That same Porsche can be yours for only $25,000 even though someone else bought it brand new for $50,000. The average price for a new car costs around $25,000. It may not only be worth $12,000 or $13,000. You can either be the first buyer that wasted an extra $12,000 or the second driver who saved $12,000. You can do the math.
Next, the sales tax on new cars is a lot more. This is because state laws tag on new state sales tax for new cars and not used cars. For example, if you purchase a used car from a private seller in the state of Georgia, you will not have to pay any sales tax on it. Dealerships usually add a few extra thousands to the sales tax on a brand-new car. Make sure you calculate the savings before heading to the dealership. Feel free to check out the laws for NZ used cars.
3. Extra expense
Third, the registration fees are based on the value of your car as well at the year. For example, registration fees in Colorado decrease within the first three years that is the car is made. It’s always a lot higher in the first few years and drops by the fifth year. You might save nearly a thousand dollars by not tagging on registration fees for a new car if your state has some of the same laws.
4. Cheaper features
Another reason why used cars are more worth the price than new cars is because there’s cheaper features on used cars. Newer cars consist of a bunch of additions that are considered to be useless. You can always install new features yourself. Things that you can do it yourself or have someone else to do are simple things that cost way more on a brand-new vehicle. For example, you can install a protective film or pinstripes on your used vehicle for a fraction of the cost.
5. No outrageous fees
Also, dealerships tend to tag on outrageous fees for new cars. For example, they will charge destination fees and even shipper charges on a brand-new vehicle. You will have to pay for tags and registration for your used car but will not have to worry about added fees for a new car.
6. Extra benefits
Lastly, you can always get a “like new” used car that’s scratch-free and lasts for more than 100,000 miles. Used cars also offer extended lifetime warranties if you are worried about something going wrong. Don’t fall into the trap of new cars lasting a longer time.
Do not get caught up with the new car scent. You might save yourself a ton of money and get a better deal all around with a used car. Even if you need to do more research to find the perfect used car, it is well worth it.