We all know that many people would prefer a new car over a used one, if it suited their budget! However, new cars aren’t for everyone and there are so many benefits of buying a used car! The cars on finance UK market shows that more drivers than ever are buying used cars over new! But why are used cars so attractive and how can you get the best deal? If you go about buying a used car the right way, it can be one of the best financial decisions you make. Let’s take a look at how buying a used car could better than buying brand new!
Lower purchase price
One of the main benefits of buying a used car is that they are considerably more affordable than a new one. If you have a limited budget, you can often find that you have more options finding a car when you buy used. Saving money on financing your next car can mean that you can afford a better used car than you first thought or save you money for other purchases. When you own a car, you will also need to factor in other costs such as fuel, road tax, car insurance, MOT and servicing costs and any unexpected breakdown costs.
Depreciation for new car drivers can be a worry and it can be off-puttin. Car deprecation is the difference between the amount you buy your car for and the amount it is worth when you sell it. Deprecation can vary between new and used cars and also the make and model but typically, the rate of deprecation is lower for used cars. This is because for some new cars, the rate of depreciation can be as much as 50% in the first year! After this point, cars tend to depreciate at a slower rate so getting a used car can be more beneficial.
More financing options
Many drivers are still under the misconception that you get the best rates on new car financing. However, there are many financing options available on used cars. Used cars tend to be less expensive than new cars and spreading the cost with car finance can make it even more affordable! Used cars can be available on hire purchase, personal loans and PCP car finance deals which allow you to split the cost of your chosen car into monthly repayments. Its best to explore all options as certain finance agreements can be suited to some people more than others.
Many new cars are covered by warranties for up to 3 years, but now more dealerships are offering the same on used cars too! This means if you can get the car repaired or replaced if anything goes wrong. However, you don’t have the same level of cover if you buy your used car from a private seller. Some manufactures such as KIA also offer a 7-year warranty that is transferable through a car’s lifetime. This means if you buy a Kia after 3 years from new, the warranty still applies, and you can benefit from an extra 4 years warranty!
In 2021, there have been long delays on deliveries of new cars and some deliveries have been as long as a year! With this in mind, there can be more availability when it comes to getting a used car now. In general, there can be more availability when it comes to getting a used car. You can also benefit from used car deals just after the new registration plates come out. This is due to the amount of people getting a new car and trading in their old car which you could get a good deal on!