Posted Monday, Nov 07, 2022
Going for a used car rather than a new one can save you big bucks in several ways. A used vehicle will cost less based on sticker price alone — but that’s not where the savings stop. You will also be reaching for your wallet much less than if you drove a brand-new vehicle in terms of fees, insurance and vehicle depreciation.
Price — Comparing apples to apples, a used car is going to be less expensive. The relative advantage of the used-car price can also allow a buyer to step up to a nicer model.
Depreciation — Cars lose value with each passing month and mile, but the steepest decline happens right away; some models can lose 40 percent or more of their value in the first year. With a used car, there’s no depreciation hit the second you roll off the lot.
Insurance Rates — Like financing, insurance rates will be affected by the age of a car, but in this case the used vehicle tends to be less expensive. A little bit of pre-purchase research will save you from insurance sticker shock, no matter which vehicle you choose.
Choice — Although you obviously can’t build a used car to order, maybe you want a model, option package, or even wheel design that’s no longer made. This wider selection can add to the length of the search, but perfection and satisfaction rarely come easily.