Pros and cons of buying a used car


By trunk37 - Posted on 11 March 2012

Used cars are often the best value found in the car market. This value is especially found when buying cars that are only a few years old. The price is often much lower than a new car and you can also save money on items such as collision insurance and taxes. The used car has also already taken it biggest hit in depreciation. Many people say a car depreciates as soon as you take it off the lot. Certainly it loses the greatest percentage of its value in the first few year. Also by buying a used car you can afford to get a car with options you just couldn't afford to buy on a new car.

Below are some areas that you need to weight the pros and cons to see if a used car purchase is the way to go for you.

Reliability

This is not as much of a risk as it was even 5-10 years ago. Today's cars are much more reliable than in the past. Many used cars can be expected to go 1000,000 or even 200,000 miles or more without any major issues if they have been properly maintained.

Warranties and repairs

Although modern used cars are reliable you still need to look at warranties and repairs. New cars have few issues in the first few years and the ones they do have are typically covered under the manufactures warranty. Used cars typically have little or no time left on their warranties. Used car expenses usually continue to rise over the life of the car as more and more expensive items need replaced in later years. Make sure to have a qualified mechanic inspect the car before you purchase it to find any hidden or soon to be needed repairs. Their findings could keep you from buying a lemon or may give you some ammunition to negotiate a better price. Another thing to do is Order CARFAX Vehicle History Reports. They can provide you with the vehicles history and let you know if it has been wrecked or flood damaged. You can also purchase extended warranties. Extended Auto Warranty, Click HERE

Depreciation

The average car loses 47% of its value in the first three years. Of course some cars are better than others. Factors which effect depreciation, including the car's popularity, quality, supply, and if the vehicle is of the current design. You can get pricing details from kbb.com.

Interest rates

New cars often come with lower interest rates but if you shop around you can often find rates for used cars that are close. Also since you will be borrowing less money the total amount of interest you pay should be less than with a new car. Get an Auto Loan with our Free 60 Second Application.

Insurance

Since used cars for sale are typical less than new cars it usually is the case that insurance for used cars is less than a new car. Check rates atAllstate Auto Insurance.

Safety

Sure the new cars have some additional safety features but most of the important ones such as air bags and anti-lock brakes have been around long enough that most used cars for sale will have them.

If you don't mind driving a reliable car that is in less-than-perfect condition and you're willing to pay a little more for repair costs along the way, your dollar will go farther buying a used car.