Used cars are popular among most new drivers. They’re a cheap and effective way to get on the road after obtaining your license, and they’re usually fairly reliable because they’re serviced, maintained and checked for flaws before they’re put up for sale. However, this is only most of the time. There are times when used cars are simply displayed and never checked, only given a nice clean to show off the paintwork to buyers. Or perhaps the salesman has no passion or any idea about vehicles and it’s just a scheme to sell off cars that are ready for the scrapheap.
If you’re thinking of buying a new vehicle and you want to save money by investing in a used car, then here are a couple of considerations to make before splashing your cash on something that could turn into your worst nightmare.
Higher Insurance Premiums
Used car dealerships are a great way to get a specific model of vehicle, or even a vintage classic that you’ve wanted to own ever since you laid your eyes on it. However, keep in mind that old vehicles tend to come with higher insurance premiums because they’re hard to repair, the parts are difficult to source and they’re prone to failure. If you’re going to invest in a used car or a vintage model, then you’ll need to be an incredibly safe driver and keep it very well maintained.
Low Resale Value
The thing with buying a new car is that the value can diminish very quickly, but it stops after a couple of months or a year when it reaches the “used car” price. However, when you buy a used car, drive it for a while and then want to sell it again, you probably aren’t going to sell it for more than it was worth and because of the added mileage, you’re going to end up selling it for a very low resale value. In fact, your car might be so old and difficult to maintain that it’ll be considered an end-of-life vehicle, a car that’s destined for the junkyard. Before that happens, you want to look at a cash for junk cars service in order to make a bit of extra cash before you’re forced to scrap it.
Bad Fuel Economy
Most old vehicles have terrible fuel economy because they simply don’t have the technology to make use of the fuel. New vehicles like an electric VW sport very high MPG because they make use of not only fuel, but also electricity to operate. This means they’re fantastic frugal purchases for those who want to save money on fuel costs, which is arguably the most expensive part about owning a vehicle. Even an older model of a vehicle will have lower fuel efficiency.
In short, if you want a reliable vehicle that’s easier to maintain and cheaper to run, then consider buying a new vehicle or at least a model that’s relatively new. Don’t focus on cheap cars just because the price is low since you might end up paying more to run the vehicle than what it actually cost.