In this day and age humans have become so dependent on vehicles that most of us can not live without owning or having constant access to one. Our lively hoods depend on it, even though some of us can not afford to have a personal vehicle, most of us can not afford not to have one. As the entire world economy has been plummeting – due to the pandemic, buying a brand-new vehicle has become a bigger challenge for the average person. Thus, many have opted for purchasing quality pre-owned vehicles at a much lower price and interest rates than brand-new vehicles. We’ve put together some pro’s and con’s for you to consider when shopping around for your next ride.
Buying a pre-owned vehicle, you take advantage of the rapid depreciation in the overall value of the vehicle. With an average of 20 – 40% decrease in purchase value, buying a high-end model becomes realistic to the average man. And due to the lower pricing buying cash can also be an option instead of financing the vehicle.
Smaller loan amounts
With lower prices, it’s no surprise that pre-owned cars have smaller average loan amounts. Depending on the terms of the loan, this can easily help to decrease the monthly instalments and less total interest paid.
High- quality options
Due to continuous improvements in vehicle quality and reliability, many people are selling their good quality vehicles in order to upgrade to a newer model. As a result, there is an array of great pre-owned vehicle on the market.
Despite improvements in quality, it stands to reason that pre-owned cars will generally be less reliable than a brand-new vehicle. Reliability is also hugely affected by the driving behaviour of previous owners, which is why a vehicle history report should be at hand. The report should contain a record of any accidents, full service history and the car’s title status. Older model vehicles will also no longer be covered by the manufacturer’s warranty, leaving all future service and repair costs to the new owner.
Private-party purchase may not come with warranty
Most pre-owned vehicles are no longer covered by the manufacturer’s warranty, leaving you without any protection against mechanical or electrical faults.
Choice may be limited
Buying a brand-new car, you usually have the option to select various features such as colour and accessories, whereas with pre-owned cars these features can not be hand picked. Your preferred vehicle may not be available in the colour you want, or may lack certain accessories that you want such as electric windows or remote central locking.
We believe these pro’s and con’s that we have put together will help you with your decision making when purchasing a pre-owned vehicle. We also advice you to thoroughly research the vehicle types and models you are interested in before making your final decision. Also keep in mind your budget and finance availability when weighing up your options.
If you don’t have the time to do all the research and shopping around, get in touch with us. We will source the perfect cars – that suit your needs and your budget, put together a catalogue for you comparing 3 to 4 available pre-owned vehicles. This makes the decision-making process much easier and simpler for you. As a dealer we only offer the highest quality vehicles possible for your budget to ensure customer satisfaction.