Buying a new car is a huge step for most people, as there are lots of important decisions to be made. One of the major decisions you must make is whether to go for a brand-new vehicle or whether to choose a used one. For many people, the latter is a natural choice, as it provides a range of benefits including increased affordability.
When you buy a used car, you can still get a very reliable vehicle that is in great condition. You can purchase from private sellers and dealerships, which means you can enjoy a huge choice of vehicles, and you can even get help with buying your used vehicle from car buying advocates. There are many reasons why people decide to choose a used car rather than a new one, and we will look at some of the benefits in this article.
1. No Huge Depreciation
One of the major benefits of buying a used vehicle is that you do not face the huge depreciation that buyers of brand-new vehicles face. When you buy a new car, the value drops as soon as you drive it away, so you instantly lose out financially. However, when you buy a used vehicle, this massive depreciation has already been faced by the person who bought the vehicle when it was new, so you can save yourself the worry of dealing with this. This is one of the key reasons people decide to go for a used vehicle rather than a new one.
2. More Affordable
Buying a brand-new car can be very expensive, and whether you are getting it on finance, taking out a loan, or using your savings, you could be looking at a hefty price tag. When you buy a used vehicle, you can benefit from far lower costs making it far more affordable. The depreciation mentioned above means that even if the vehicle is not very old, you can still get it for far less than you would from new. So, this is a great option for those who want a reliable vehicle but also want to avoid paying out more than they have to.
Alternatively there are also opportunities to buy “Dealer Demonstrators” or vehicles in the “Private Market” that may have low kilometres and a substantial balance of new car warranty remaining. This also provides the opportunity to take advantage of the initial hit a car suffers in depreciation once it leaves the Dealership floor.
In addition, one off on-road costs such as Dealer Delivery and even Luxury Car taxes have already been paid by for and absorbed by the previous owner.
3. Lots of Choices
Another of the benefits of buying a used vehicle is that you can enjoy plenty of options and a great choice of vehicles. Buying a used vehicle means that you can look at cars from different manufacturing years, and you can also choose from private sellers or dealerships. This means that you can enjoy an excellent choice of vehicles, and this increases the chances of finding the perfect car for your needs.
4. Smart Buying Opportunity
A quality used car can provide a “Smart Buying” opportunity. For the same budget you might have spent on buying a new base model car, you can “up spec” to a higher level used car with more luxury or sporting options and possibly additional safety features.
Often higher models have more engine options providing better performance or economy. Likewise, for families a “higher spec” late model used vehicle car may offer 7-8 seater options that otherwise would not be available in a new base model family vehicle.
Buying a car is all about ‘risk management’. You can even buy a new car and get a “lemon”. It happens. Sticking to strict criteria when buying a used car reduces the risk in buying.
Whatever your budget, buy as late year model as possible. It should have a full service history, maintained on time, no smashes, not an Economic Repairable Write-Off and the least number of previous owners as possible. Consider as part of your potential purchase to get an independent “Pre-Purchase Inspection” by a reputable 3rd party service provider such as RACV, NMRA, VACC, REPCO, REDBOOK etc…
5. Ability to Get Finance
If you decide to buy your used car from a dealership, you can still benefit from finance if you need it. This is ideal for those who want a decent vehicle and want to be able to make monthly payments rather than having to find the money upfront. Of course, your ability to get finance will also be based on your financial status and credit, so bear this in mind.
Let Us Help You Find the Ideal Used Car
If you are considering getting a used vehicle and you want some assistance from the experts, let our team help at My Next Car Buying Advocacy. We offer packages designed to help buyers of used vehicles, and we can help to ensure you find the perfect one for your needs. Get in touch to find out more.