We apply many strategies to save money. We invest in mutual funds, we work extra hours, we work double shifts… We can save money while buying cars too. Instead of buying a new car, you can buy a used one with the same functionality. Buying a used car will not burn a hole in your pocket.
There are many benefits to buying a used car. The first one being the saving of money. If you analyze data from the website of TCA Auto, a used car dealer in Waipahu you will see that a 2015 Nissan Sentra can be bought with $11,000. Its original price was $17,000. The original of 2010 Mercedes-Benz CLS 550 Coupe was a whopping $67000. Now as a used car, its price is $17000.
The second benefit that a used car provides is related to insurance. The premium of a new car’s insurance is higher than the premium of the insurance of a used one. The same is true for sales tax. Since a new car is priced higher, the sales tax is high too.
Used cars in Waipahu has already experienced a significant portion of depreciation. The value of a used car will not fall significantly. But the value of a new car will decrease by 30% within the first year of purchase.
With time, hundreds of cars are submitted to be re-sold. A buyer can get a lot of variety if he decides to buy a used car. But a limited number of new cars are released every year. So there is very little variety.
Some of the things should be checked before buying a used car. The first thing that one should check is whether the VIN and Chassis numbers are reflected on the registration papers of the car. The current status of the clutch and brakes should be checked very carefully as your safety depends on these two. The tires of the used car should also be checked before buying. After buying a used car, one should clean it thoroughly to do away with the dirt and garbage from the previous owner. Replace the filters of the car after buying it. Lastly, you should get the car checked by an experienced mechanic.
A used car will give you the same functionality that a new car of the same model will give. There is no point in buying a new car and emptying your pocket. Smart decisions like this separate the wealthy from the poor.