Reasons for Buying a Used Car
What is a used car? This is a vehicle that has been owned by more than one retailers or a second-hand car.
Benefits of buying a used car
There are a lot of benefits that may lead one to opt for used cars los angeles than new ones.
- Used cars offer you a cheaper price
On average used cars cost almost average 50% of new cars as they are pre-used hence the cheaper price and easy to finance.
- Less depreciation
A new car is considered to depreciate faster than a used one hence the initial owner of a car suffers a bigger depreciation than the latter. Hence the bulk of depreciation has already taken place when one buys a used car.
- The sales tax on new cars
To every new car, a sales tax is added which means more money as compared to buying a second hand whereby no tax is added. This adds up to savings. Also, the dealers need to make money and hence end up adding on to the price of the vehicle.
- Registration fees
In most states, annual registration fees are dependent on the value of the car and its model. Hence a new car will draw more charges as compared to an older one. The fees are normally highest in the first three years. The fees progressively fall as the car gets older hence buying a used car will translate to cheaper fees.
- Additional fees by dealers
Buying a new car one has to cope with hidden charges of shipping, destination and also dealer’s preparation which only goes into reducing one’s bank account. Buying a used car saves one from all this and ensures that their account balances are safeguarded as there are no hidden charges involved.
- Additional features
New cars come with the additional feature increases the price of the car. These features one can do away with or decide to choose the ones they are interested in and be added to their vehicle. These features also add nothing to the resale value hence they are not important. Buying a second-hand car helps one to save on these additional costs and one can choose the features that they are not interested in. You can customize a used car to suit your taste and design.
Some used vehicles may still have part of their warranty unused and others have an option of creating a new warranty. This ensures that the buyer of a used car still has access to services provided by the manufacturer such as trained technicians to repair their vehicle.
- Lower insurance premiums
In case of an accident involving a new car, the insurance pays only for the current price of the vehicle not considering its depreciation. This brings about what is called gap insurance. The difference between the initial price of a car and the current price which is usually lost to depreciation is not catered for. This is not usually the case with a used car since much of the depreciation has already occurred.
- Well inspected
Certified pre-owned vehicles are usually inspected, refurbished and certified by an assuring authority that they are high quality. They, therefore, have extended the warranty and special financing.
- Friendly to the environment
Much carbon dioxide emissions from cars happen during manufacturing and initial shipment hence buying a second-hand saves the environment.
Hence when considering purchasing a used cars los angeles, the above merits are worth keeping in mind.