Benefits of Buying a Slightly Used Car
by Chris Bibey
Filed under Cars & Transportation, Personal Finance
Before you find yourself roaming the new car lot, you may want to take a step back and think about buying used. There are many benefits of buying a slightly used car, and once you know what they are, you may start to consider this route. While buying used is not for everyone, you should at least consider the benefits of buying a slightly used vehicle. You may be surprised at what you discover. Before we go any further, what does “slightly used” mean in terms of buying a car? Most people consider this to be less than two years old with no more than 30,000 miles. Of course, you can set your own standards when searching for a slightly used car, but this is the general rule of thumb.
The Benefits.
- A lower price. After buying new, the first year of ownership is when you take the biggest hit on depreciation. Buying a car that is one or two years old will allow you to avoid this loss. Also, think about the average price of buying new. Figures from CNW Marketing Research show that the average price of a new car in 2008 was $25,536 before taxes and fees. Do you really want to spend this much money when you don’t have to? This is a decision you need to make.
- Still in excellent shape. Just because you are buying used doesn’t mean that the car will be dinged up and in bad mechanical shape. In fact, if you know anything about cars, you should be able to find one that is in like new condition. Nowadays, cars are meant to last for 100k miles or more. Simply put, you don’t have to give up reliability and overall condition when buying used. (See number five below, certification programs)
- More bang for your buck. Have you had your eyes on a vehicle with a sunroof? How about a navigation system? Options are very expensive when buying a new car. This definitely holds true when dealing with a manufacturer that packages many of them together. When buying used you get more for your money. You may not have been able to afford that navigation system on a new car, but you may be able to find a used car with some of the features you want already built in.
- More negotiating power. This does not always hold true, but there is one card that you are holding: you can always tell the seller it does not make sense to buy used when you can spend a bit extra and get something new. Even if you don’t subscribe to this train of thought, it is a tactic that you should consider when negotiating with a used car salesman.
- Certification programs. Did you know that most car manufacturers have certification programs with long term warranties attached to them? Every car maker has strict requirements for which cars can become certified. Along with this, each one goes through an inspection to ensure that it is in good working condition. The biggest benefit for many is the warranty. Toyota, for example, offers a seven year 100k mile warranty on certified used cars. This kind of peace of mind is crucial when buying a used vehicle.
What do you think? Is buying a slightly used car something you are willing to consider?
(photo credit: KB35)
Absolutely! Not only is it good for the reasons you mentioned … it’s also good for the planet (as long as one isn’t buying a gas guzzling, polluting used car).
Instead of trading in or selling your old car, please donate car to charity. You can select from over 1,000 very fine charities to donate your car to at Cars4Charities. Cars4Charities picks up car donations nationwide and lets you donate a car that needs work or doesn’t run. When you donate car, you get a tax deduction and you car donation helps a good cause.
@Cars4Charities – thank you for the comment. This is a very good idea for those who are looking to get rid of a car before buying used.
@Small Footprints – great point. Although it is not always easy, thinking of the environment when buying a car is very important.
My family has always bought used cars and never had a problem until the recent Jetta I bought, I did not get certified used and recommend that if you are going to buy something used. It is also a good idea to have your personal mechanic look at the car before you buy, it can cost about $80 but at least you are not just taking the dealer’s word for the certification.
I bought a 1998 Honda Civic with 212k miles on it.
It’s up to 229k miles and it still runs smooth! I’m running it till it dies!!
I had always heard that this was the way to go–I even heard today that you can get even better deals on cars that were previously leased by someone.
Worth checking out
I’ve bought my last 2 vehicles used..no regrets whatsoever…we avoided the depreciatiion od a new car and got much lower payments.
You miss the initial hit and get a fairly new car. Not a bad deal.
Edmunds.com has some good articles on how not to get ripped off when buying a used car. I also just put an article on my site about Used Car sites that offer RSS search feeds to let you know when the car you want is posted – to get a good deal you really need to stay on top of what is out there!
As soon as you drive your new car off the dealership lot, its value will drop immediately within the first few years of ownership. It’s been said that you lose at least 30% of your car’s value in the first 2 years of owning it. I recommend buying a used car!