Why Buy Used Cars, Trucks, or SUVs

New cars are great: they’re shiny, they smell good, they are customizable, and best of all they’re new. So, why buy used? Because new cars have a high sticker price and even higher depreciation rate. That’s why many Americans are turning to used cars instead. You can easily save 30% or more when you buy a used car over a new one. 

So, forget the used car stigmas you’ve heard and ponder the 8 used car facts below.

Why Buy Used Cars?

1. You Can Save Money

Buyers spend almost 50% less on used cars than on new ones. In addition, used cars get you more bang for your buck, because a used car costing $20,000 is usually nicer and has more features than a new car also costing $20,000.

2. Enjoy Less Depreciation

A new car depreciates about 20% when you drive it off the lot and by almost 50% at the 3-year mark. So, if you buy a new car for $24,000 and sell it for $12,000 3 years later, you will have lost $12,000 to depreciation. However, if you buy a 3-year-old used car for $12,000 and sell it 3 years later for $8,000, you will have lost only $5,000 to depreciation. The price difference is because about 60% of depreciation happens in the first 5 years of a vehicle’s life and becomes less aggressive as the vehicle ages.

3. Lower Insurance Rates

Insurance for used cars usually costs less than insurance for new cars because insurance companies consider the car’s value when pricing out insurance quotes. You also won’t have to pay for gap insurance with used cars because the depreciation isn’t as drastic as with new cars.

4. Lower Dealership Fees

Dealership fees are usually lower when buying used cars because the cost of the vehicle is less than a new one. The lower price also means sales tax will be lower too, as well as insurance costs.

5. Lower Annual Registration Fees

Used cars at least 3 years old are typically cheaper to register than new cars. So you could save around $1000 a year in registration fees.

6. Reliable

Vehicles today are more reliable than ever before; the average vehicle will last about 11.5 years. However, the average person will only keep a new vehicle for about 6 years before opting for a newer model. You can save thousands and still enjoy a decent service life with used cars.

7. Pre-owned and Certified Programs

With pre-owned and certified pre-owned car programs, you can feel confident that these used cars are inspected, refurbished, and certified by the manufacturer that they are high quality. In addition, certified pre-owned vehicles may come with an extended warranty, unique benefits, and special financing.

8. Vehicle History Reports

Thanks to websites like Carfax and AutoCheck, used car shoppers can check the vehicle history for used cars. Using a vehicle’s identification number, or VIN, these tools allow you to see details about a car’s ownership, accident history, title status, mileage, etc. Vehicle history reports give shoppers peace of mind and help them make an informed decision.

Americans notice the eye-opening savings that come with buying a used car over a new one. This is obvious when comparing the 40.42 million used cars sold to the 17.21 million new vehicles sold in 2018. So let’s recap, why buy used? You enjoy savings in many areas, have access to pre-owned and certified programs, and you enjoy peace of mind with vehicle reliability and vehicle history reports.

Buy Used Cars, Trucks, and SUVs

As you can see, there are many benefits to buying used cars, trucks, or SUVs. Here at Step One Niceville, we have a great selection of used cars. So come check out our dealership to find the vehicle of your dreams. For more details about specials or financing, feel free to contact us today!