Different car pundits have distinct opinions when it comes to car buying at the auto auction. Well, the distinct suggestions are made to choose the one between the two that are- new and used car. Certainly, buying a new car is enticing and used car proves to be a money-saver.
According to the National Automobile Dealers Association report, “On an average a person buys 13 cars in a lifetime, each costing with $30,000, and if the used cars are purchased, then the person can save up to $13,000 in a lifetime.”
It muddies the water. What type of cars should the buyers purchase? There are a lot of things to be considered other than simple sticker price before zeroed in the decision to one.
Take a look at what are the things matters when people wanted to buy the car in the online car auction:
- What’s your budget?
The budget, not just signals about the amount the buyers have to spend on buying cars, while it also includes the tax, registry fees, maintenance, and insurance cost.
For new cars, initially the servicing and maintenance cost will be less, but the first-hand car packed with latest accessories definitely cost you more.
With used cars, the car maintenance and servicing cost will become higher a year after another, and the registration and insurance fees will decrease. Additionally, the used cars come with necessary repairs that are to be made mandatory in order to bring the car in the top condition.
- What’s the depreciation value?
The dirty secret of buying a new car is as you drive the car from the dealership after paying a hefty sum, its value gets immediately depreciated by 20% and after a year more by 10%. It means the value of a new car after a year remains just 70% of its original purchase price. The price keeps decreasing over the time, but the buyers can save huge bucks by purchasing it during public or wholesale car auctions.
With used cars, there is a little to worry about the car depreciation because the first owner has already suffered the major loss and the old car buyer has to bear a little part of it.
- How about the visits to make to the mechanic?
It’s crystal clear that new cars won’t require the buyers to make frequent trips to the mechanic for the car servicing and maintenance as opposed to the used car owners.
It’s analyzed that even after fixing all the issues in the old used cars, the cars need regular servicing and maintenance services such as tire rotation, brake jobs or oil changes, and probably too often. So, if you don’t have enough time to make repeated visits to the mechanic, it’s better to opt for the new cars.
- What are the insurance rates?
The new car’s value is more, that’s the reason they are expensive to insure. On the other hand, the used cars worth is quite less, so the insurance coverage provided is also comparatively smaller and consequently, the used car buyers need to pay less insurance premium.
Even more, in the used cars if collision and comprehensive coverage are dropped, the insurance price gets more reduced.
- How about your interest in the advance technology?
Every year, the new make and model are released with increased comfort, improved performance, added accessories and enhanced security leveraging new technology. If you are the one who want to enjoy the luxury now and ready to pay more, then buying a new car is the best alternative for you.
Else, if you are ready to wait for more years to get the same, then buying the used car is good.
- What’s your choice?
The new car and used car are the two options that often put the buyers on the fence. They are confused carrying some questions in mind. By weighing all the factors surely help them know what suits their needs the best- new cars or used cars. Browse and buy the car from the online car auction that benefits you in the long run.