New cars are extremely attractive especially sitting in one for the first time however there are good reasons to purchase one that is a couple of years old. Purchasing a new car is one area I was warned against before by my grandmother. Her advice seemed to be to find a car that had not clocked up too many miles and was around two years old. This should show that the car I ended up owning was in fairly good order especially since any work that had been needed on it up to that point would have been performed.
Those principles are something I still abide by today as they are logical and in buying an older car there are other considerations that add on weight to this argument. I will now expand further on the reason why buying a car that is not overly old can result in saving you a bunch of money.
The truth that a new automobile’s value decreases by thousands once you have driven away from the car dealer is a factor you have maybe not thought about. So when you buy a car that cost you $25,000 and you thought you got a great deal, you really didn’t. Once you leave the car display room, a new valuation of $20,000 could be the asking price for your car. Which means that in a matter of a few moments and a few miles you just lost $5,000.
If you think I am just exaggerating, go and purchase a new car. If you do, only travel in it directly to the house. With regards to how much money your car can be worth the next day, just go back to where you bought the car and see how much they would be prepared to give you. Within the space of a 24-hour interval, you may find that the car you paid $25,000 for has a recommended trade price in the range of $15,000 to $20,000.
In past times, this is simply how things worked in the trade. These days several dealerships are offering you a 100% trade in worth for 30 days after you buy the car. In essence, after 30 days, you have still got to accept that you are looking at a loss of $5,000. You can perhaps make a bigger loss if you try to find a buyer for your car yourself.
At this time if you buy a car that is a year or two old you won’t be losing that instant devaluation when you drive it off the lot. In addition to this, any problems with the car should have been ironed out just like my grandma advised. The value for money of a low mileage older car is greater than purchasing a new car from a dealer when you take all of this into consideration.
Therefore when getting a new car, these are all aspects that you need to consider. It is possible to find great value if you can resist the lure of a brand new car.