Why Buying A Used Car Makes A Great Deal Of Sense
It may be tempting to trade your current car and opt for a new car. With dealerships offering very low or even no down payments along with low interest rates on financing it seems to be the way to go. Although these perks look great, they are not enough reason for most people to take on the financial commitment.
Six figures on the odometer is no longer a problem:
Fifteen or twenty years ago, when a car reached 100,000 miles it was ready for the junk yard. This is no longer an issue, 100,000 miles on a well maintained used Mazda in Plainfield is nothing, there is probably that many miles again left in it. There is no doubt that cars manufactured in the last decade are very different than their predecessors. It is no longer uncommon to see used cars with 150 or 200 thousand miles on them.
Depreciation is a real issue:
As soon as you walk out of an electronics retailer with a new gadget it begins to lose value, the same thing happens when you buy a new car. A new car will never increase in value; it will continue to depreciate until it eventually is worth nothing. A new car can easily lose 20 percent of its value every year.
Financial costs:
There is more to it than just the cost of a new car. Certainly the new car buyer takes into account the monthly amortization of the loan but it is easy to overlook the fact that there are other expenses that are not necessarily there when you opt for a used Mazda in Plainfield. Invariably the cost of insurance is considerably higher as are taxes.
Even with the occasional repair, many people are better off buying a three or four year old used car.
