Why Used Autos May Be a Better Option for Buyers on a Budget

Posted Friday, Aug 18, 2023

It may be tempting to shell out your hard-earned money on a new car. But the downsides to owning a new car may not be all that fun. For one, the car will depreciate in value by an appreciable margin within the first few years. In the case of most cars, they will lose their value right after you sign on the dotted line.

This is why a better option may be to simply buy a used car from Corr Concepts. To help you understand why buying a used car is a better option, we’ve prepared a list of 6 compelling reasons.

The New Car Will Depreciate in Value

If you want to sell your car in the future, then this point is something worth considering. Every new car, even if it has the best combination of convenience and safety features, will lose its value after you bring it home. Even if you stay on top of routine maintenance and drive your brand-new car with the utmost care, it will eventually lose its value.

Note that some cars are able to hold onto their value better than others. But even then, most cars will lose anywhere from 20% to 50% of their value within the first year of purchase.

This may be a problem for two reasons: if you plan on selling the car further down the road or if you have borrowed money to pay for the new car.

If you opted to have the new car financed (which is most buyers), then that 20% to 50% has already gone out the window while you still make loan payments on the original price of the car. If you’re a budget-conscious user who is interested in saving money, then buying a brand-new car may be a questionable decision.

With that said some car owners may believe that buying new is worth it. This mostly depends on their attitude towards depreciation as well as their financial situation. But for the vast majority of budget-conscious users, buying new may not be a good financial decision in the long run.

Not Having to Worry About Causing Minor Damage to the Car

Buying a new car will significantly increase your paranoia levels about accidentally damaging the car. Something as minor as scratching the paint could upset you and become a source of stress. Driving the car will be like walking on eggshells - every expressway and parking lot will make you a little jittery.

Compare this with a used car where you're a lot less concerned about causing minor damages to the car. You’ll be more concerned with enjoying the driving experience than worrying about collecting little dents and dings.

Options for Financing Your Used Car

Used car dealerships offer extremely flexible and favorable auto loan rates. This means that you can buy a used car without having to break into your emergency funds. While credit scores play a big role in your ability to qualify for auto loans, most used car dealerships are more than happy to offer auto loans even if your credit scores are less than favorable.

With that said, we do recommend improving your credit scores to get the best possible auto loan rates.

Lower Costs of Insurance

The more exotic or expensive a car, the higher the cost of replacements and repairs. This will translate into higher insurance costs for the simple reason that insurers are profit-driven businesses that will weigh your overall risk profile before offering insurance.

However, used cars are much cheaper to insure than new models simply because depreciation is no longer as big a factor. For obvious reasons, a used BMW will cost less to insure than one you purchased brand new, and all this ties back down to depreciation.

For most budget-conscious buyers, the difference in insurance rates makes a compelling reason to buy used instead of new.

Used Cars Last for Much Longer

Thanks to improved engineering and decades of experience with auto manufacturing, today’s cars last for a considerably long time. With advanced technology and modern powertrains, today’s cars are capable of reaching 200,000 miles or more. In the past, 100,000 miles used to be the gold standard for longevity and durability, but that number has been surpassed by modern cars.

It is worth noting that every car will require regular oil changes and servicing. An experienced technician should check vital components to ensure they are in immaculate condition. With that said, most car parts won’t last forever even if they are well-maintained. For example, timing belts may need to be replaced every 50,000 to 100,000 miles.

Brake pads may need replacement every 40,000 to 80,000 miles. Transmission may go for up to 100,000 miles or more if you service them regularly.

Buying from Corr Concepts will ensure that you get the best possible version of the used car.

Warranties are Also Available

Many cars come with long warranties that cover expensive parts such as the drivetrain for up to 200,000 miles. If you buy used cars from a reliable dealership like Corr Concepts, then you are likely to get a warranty that you can take advantage of.

Wrapping Up - Buying a Used Car Makes Sense

Whether you decide to buy a new car or a used option will depend on various factors, including your preferences and budget. Set aside some time to research what option is right for you and pick the best option for you based on your budget and needs.

When you buy a quality used car from a dealership like Corr Concepts, you can be sure about its longevity. You will also get flexible financing options to help you buy the car. Moreover, you may also get extended warranties, including the manufacturer's original warranty, to protect your investment.

Contact us today if you want to upgrade your car and our friendly sales team will help you find the best possible option.