If you’re in the market for a new car, you may be wondering whether you should buy new or used. While buying a brand-new luxury car is certainly tempting, it’s not always the best financial decision.
So why you should buy used luxury cars? Read more as we’ll take a closer look at why buying a used luxury car can be a smart investment.
You Can Get A Great Car For Less Money
One of the biggest advantages of buying a used luxury car is the cost savings. Luxury cars can be expensive to buy brand new, but after a few years and with some mileage on them, their price often drops significantly. That means you can get a high-end vehicle for a fraction of what you’d pay for a new one.
Take a look at a standard 2017 Mercedes-Benz E-Class. A brand new one would cost you around $55k, but a gently used one with a couple of years and around 30,000 miles could cost anywhere from $25-30k. That’s nearly 50% discount simply because the car is used.
Depreciation Is Less Of A Concern
One of the biggest reasons luxury cars depreciate so quickly is due to the “new” factor. When you purchase a brand-new luxury vehicle, it immediately begins losing its value as soon as you drive it off the lot.
However, the rate of depreciation slows down as the car ages. If you choose to buy a used car that has already experienced much of its depreciation, that new car price drop won’t affect you as much.
For example, a car that originally cost around $60,000 might lose $10,000 of its value in the first year, but might only lose $5,000 in the second year, and then $3,500 in the third. After just a few years, the car will still hold a significant amount of its value. So, if you buy a car that has already experienced that initial depreciation, you could potentially save thousands of dollars in the long run.
More Options For Unique And Standout Vehicles
While new cars are exciting, they can also be boring. Everyone on the block might have the same new model car as the next person. However, when buying used, you are exposed to a wider range of options to help your car stand out.
One person’s loss may be your gain in the used car market. That Audi RS7, Maserati GranTurismo, or Porsche Cayenne you’ve always had your eyes on, may very well be sitting at a used luxury car dealership. You can invest in a car that will turn heads and impress your friends, without breaking the bank.
Less Fear Of A Damage To The Car
A brand new car can be a cause of stress because you don’t want to be the person to scratch or ding the car. The first scratch on a new car can feel like the end of the world for some people.
On the other hand, a used car often comes with a few scratches, scuffs or dents. Since the car has already been broken in, you will have less anxiety about causing damage. This will allow you to relax and enjoy your car instead of living in fear of causing damages to the car.
Possible Lower Insurance, Registration, And Taxes
Cars are often taxed, registered and insured based on their value. When you invest in a used luxury car, the vehicle’s value is already lower, meaning the insurance, registration and taxes will be lower too. You’ll save a significant amount of money over time which might be used for other purposes.
Great Deals On Certified Pre-Owned Cars
Many luxury brands offer certified pre-owned programs on their used vehicles. This means that before you buy, the dealer will inspect, recondition, and certify the vehicle. If any defects are found, they will be repaired, if not replaced.
Furthermore, some manufacturers offer added benefits like warranties that extend beyond the original factory warranty, roadside assistance, and more.
This means that you can forgo the potential drawbacks of used cars like higher maintenance and repair costs, by investing in a certified pre-owned vehicle. Moreover, the manufacturer’s extended warranty will give you a sense of security that you wouldn’t get with purchasing a car through the ordinary means.
In summary, buying a high-end used car doesn’t only show up as financially savvy, it can help you make a statement without breaking the bank, and with more comfort in the knowledge that you didn’t have to spend a fortune to get all that you wanted.
Sure, a brand new luxury car may sound like the dream, but at the end of the day, buying used simply has more advantages financially and emotionally. By sticking to a budget and taking a closer look at the great deals on used luxury cars from Ultimate Motorsport in Houston, you can have the car of your dreams without sacrificing opportunities to spend and save in other areas of your life.