Driving off the lot in a shiny new car has its appeal to many buyers; however, it can often be a better idea to purchase a pre-owned vehicle. Consider these three benefits before buying your next car.
1. Lower Cost and Better Value
New vehicles are a rapidly depreciating asset, meaning that as soon as you drive your new car off the lot, it is worth substantially less than what you paid for it. Pre-owned vehicles Gallup NM will still depreciate, but the person who bought the car when it was new has already taken the largest depreciation hit. If you purchase a vehicle that is two years old and then sell it two years later, it will have lost substantially less value than if you purchased a new vehicle and then sold it two years later.
2. Taxes May Be Lower
In some states, you have to pay sales tax on a new car, but not on a used one. This can amount to a savings of thousands of dollars. Do some research on your state’s tax laws before you go car shopping.
Most modern cars will last for 100,000 miles or more, so there is no need to feel like you have to buy a new car to get a reliable vehicle. Additionally, many dealerships offer certification programs and extended warranties that provide you with added protection against purchasing a lemon. You are also less likely to encounter recalls and problems from manufacturers’ defects because those usually crop up in the first year or so of ownership and should have already been dealt with by the original owner.
There are good reasons to avoid the allure of a brand new car. Purchasing a pre-owned vehicle is a good way to get a reliable vehicle that will hold its value well and save you money versus buying new.