buying a car the smart way

5 Reasons To Buy A Used Car Instead Of New

When it comes to buying a car newer isn't always better. Although some people love the luxurious appeal of a brand new vehicle, there are many tangible benefits to purchasing a used car rather a new car. 

Lower Price

The best benefit of buying a used car over a new car is that you won't be paying new car prices. A three-year-old used car will cost thousands of dollars less than the same car that is brand new. Often times you can find luxury cars for reasonable prices if you are just willing to buy used instead of new. 

Lower Insurance Rates 

Due to the fact that your used car cost less to purchase, that also means that it costs less to insure. Insurance rates are based on the value of the car, so a $10,000 used Subaru will have much lower monthly insurance premiums than a brand new $25,000 Suburu. 

Reliability 

Cars are manufactured to last, so you won't have to worry about a car that is three years old breaking down for many years to come. Before you purchase a used car you can do a thorough background check to ensure that it has never been in an accident or received extensive bodily damage. Used car warranties are available for a reasonable cost, ensuring that if your car does need to be repaired it won't break the bank. 

Slower Depreciation 

A car depreciates in value the most the first three years after purchase. After that depreciation slows for a few more years. If you buy a used car that is three years old or older, you can be sure that it depreciates slower. This means you are more likely to get a great price if you decide to sell your car. 

Lower Registration Fees 

Not only does buying a used car save you money on the purchase price and on insurance premiums, but you will also save money on registration fees. Most states base the registration fee on the year of your car, as well as the total value of your car. Since the total value of your car will be less and it will be older, your overall registration fees will drop. 

When it comes time to buy a new car, remember that brand-new doesn't always equal better. If you are looking to save some money, your best option is to buy a used car instead of a new one. To learn more, visit a website like http://www.youngsubaru.com/.