When it comes to shopping for a vehicle, you have two options. You can either purchase a new vehicle from a car dealership or purchase a used vehicle from a dealership or a private seller. Purchasing a used vehicle has several distinctive advantages over purchasing new. The most obvious reason for owning used is the cost advantage. Overall, a used vehicle is cheaper on taxes, less per month as far as payment, and less on insurance. Depending on the type of vehicle that you decide to purchase, this savings can be upward to $500 per month.
Lets face it, in today's world, owning a vehicle is not cheap. The average price of a new vehicle is around $400 a month. This is considerably higher than the cost of a vehicle ten years ago. When purchasing new, there is no way out. You must pay the price of owning a new vehicle. In addition, with a new financed vehicle you will be required to carry comprehensive insurance. Depending on your driving record, this will cost at least $200 per month. Taxes are also a large expense for a new vehicle. Taxes are charged on a yearly basis but when broken down per month, they will cost on average around $30 to $40.
Comparing a used vehicle, you can reduce or even eliminate your monthly car payment. In addition, your insurance rates will drop if you decide to carry liability only insurance. Liability only insurance can cost as little as $25 per month. This is considerably lower than $200. In addition, your vehicle taxes will also be lower because your vehicle will be worth much less than a new vehicle. About the only expense that will remain the same is fuel cost. Also, a used vehicle will usually require a little more maintenance. This may cause occasional down time, but you will have to decide if it is worth saving the $500 or so a month.
A great place to find used vehicles is online. Craigslist cars for sale is a great website for finding great deals on used cars. Craigslist used cars can be just as reliable as a car purchased from a car lot but are usually sold at a fraction of the cost. Good luck on your next vehicle purchase and look into purchasing used in order to save hundreds or even thousands of dollars.
