Tips that will make easier the process of buying a car.
You have a wide range of options for purchasing new or used cars. Here are some common outlets for new and used car purchases.
Where to buy a new car
One of the best ways to buy a new car is through a dealership or broker. A significant advantage of buying a new car from a dealership is that they have the latest car models because they work directly with car manufacturers. If you want to buy a spanking new car, a dealership is the best place to buy. Dealerships also offer great warranties on new car purchases.
Where to buy a used car
You will be much better off buying used cars from independent used car lots, especially if you are on a budget and want to buy the hottest used cars on the market. Many privately owned car lots buy their cars from auctions, which means they are abreast of the used car market. You can also buy used cars from a franchise used car lot. These are large nationwide, used car retail outlets that combine the advantages of purchasing at a dealership with the affordability of purchasing at a used car lot. Cars in the franchise used car lots often come with decent warranties. Private party sellers also offer great deals on used cars because they are driven more by the need to get rid of their cars rather than maximizing profits. Classified ads and auction sites also offer many resources for potential car buyers to find quality used cars for sale.
New vs. Used Car
A new car may feel good and be a symbol of status and good living, but it will not make us smarter or wealthier; it is not an investment. A car is just a mode of transportation. If you have a good credit score and adequate income, you will not have any problems buying a new car, but there is no reason for you and not someone else to take the new car depreciation hit. For example, if your car depreciates $5,000 from the time you buy it to the day you sell it, that is just the same as taking $5,000 and throwing it out the window. That’s a significant amount of money that you will never get back. Buying a used car may well be more financially beneficial.
You don’t have to take our word for it. Use the cost of ownership calculator to determine the average cost of owning a new or used car, including depreciation.
