If you compare new and secondhand cars, indisputably secondhand wins. Sorry to disappoint you if you think otherwise. Especially today where you can find a 3 years old used that is almost as new and similar to the new ones.
it is a sensational fact to drive off in a brand new car, instead of a used car. But when it comes to monetary thoughts… Buying secondhand cars is a much better financial deal. For most buyers of a new car, You better be prepared to lose exorbitantly. When you will sell off your new car, you probably will lose 50% of your initial purchase.
An average rate of depreciation is approximately 35 to 40 percent within three years. 40 percent is considered a steep losing price to pay for. Even giving rooms of the factory’s warranty period, the new smell and the days you spent driving on the road. The figure may vary if there are accidents or other repairs and defects.
It cost less
Basically, to compare new cars and secondhand, the first owner is the one at the highest stake because they undergo highest reduction value. Aside from that, most secondhand cars buyers benefited from lower costs of:
- insurance premiums,
- taxes costs,
- licensing costs,
- interests paid on a loan. A lower purchasing cost means lower financial costs. Less interests to pay for despite the interest rate being much higher.
What usually happens is that buyers don’t want to hear that they would better with a used car. They listen to the sirens of new safety improvements, enhanced performances and latest automobile features. Like the 3 years old car is from another century!
For this, you have to pay a hefty amount of money for those new features, plus the cost of the car itself to get those accessories. Something like twice the amount of that 3 years old car. That makes those extra accessories very expensive…