3 reasons to buy pre-owned cars instead of new

If you are in the market for a new car, you may find yourself torn between whether you buy a new one or opt for a pre-owned model. Whilst having a shiny new car is a bit of a status symbol, they can often be expensive to maintain and run, as well as to buy initially.

Let’s take a look at why buying a pre-owned car is the better choice when you are in the market.

Lower prices without compromising on quality

In today’s economy, people are always looking for ways to save money. Purchasing a new car can be a huge financial outlay and not one that many people have to hand. This can result in finance plans which end up costing you more in the long run.

Pre-owned cars are sold at a much cheaper price, meaning you may be able to buy them outright. Even if you can’t, any finance agreements will be more favourable and beneficial to your budget. This allows you to get a car with similar features to a new model without having to pay a premium price.

Reduced depreciation

Any car enthusiast knows that once you drive your shiny new car away from the dealership, it has already begun depreciating. In fact, a new car may lose between 20 and 30% of its value in the first year of ownership.

By buying a used car, you can avoid that steep depreciation curve which means your car is more likely to retain its value over time. If you then look to sell it, you will find you get a price that will be close to what you paid initially, depending on how long you keep the car.

If you are unsure about your vehicle’s depreciation, use a depreciation calculator to help you work out how much value you have lost.

Lower insurance rates and ownership costs

Insurance is another large financial outlay even if you pay monthly. Used cars benefit from lower premiums making it more affordable for you to insure. You may even be able to get additional coverage that is not included in a standard policy as you can now afford it.

A well-maintained car can last for years, regardless of whether it was used or brand new. Having a slightly older car can mean that any replacement parts are actually cheaper as they are more widely available, meaning you pay less for repairs.

Buying older models such as a used Vauxhall for sale can be a smart choice as you have the reliability of the brand without paying a higher purchase price. Not only this, but you will find that your insurance may be cheaper as well as your maintenance costs. New cars can be great if you can afford them, but opting for a pre-owned car will serve you and your bank balance well.