It’s the age-old question, and Superwash Express is going to try to help you decide which option is the best for you and your finances. A trip to a car dealership always comes complete with the shiny new vehicles with no miles and that fresh, new car smell. The stickers on the windshield reflect “0% financing, 0 down, 0 payments for three months!” It’s hard to be tempted to pass that up, along with the satisfaction of having something that no one else has owned before you!
Superwash Express is here to tell you that as tempting as it may be, purchasing a brand-new vehicle may not be the most practical option for you. If it is not, purchasing a slightly used vehicle is an excellent idea – and in many cases, you may not even realize the used vehicle you purchase has been owned by someone else without looking at the odometer. Superwash Express is going to take a few moments to explain why a pre-owned vehicle may be the best vehicle for you.
The Moment You Drive It Off the Lot…
New car owners dread hearing this. People considering purchasing a new car dread hearing this. Despite not wanting to hear it, it’s the truth: The moment you drive off the lot with the vehicle, it loses its value, and you lose money.
How much value does a brand-new vehicle lose when you sign on the dotted line and leave the dealership? Probably more than you would expect – more than 10% of that value. Let’s say you just pulled out of the dealership with a $40,000 new vehicle. The moment you cross that line, that vehicle is worth $35,000. You just lost $5,000. $5,000 may not be a lot to everyone, but at Superwash Express, we don’t like to just hand over our hard-earned money! And get ready for this – when that brand-new car turns five years old, it’s worth about 40% of what you paid for it.
When it comes to depreciation and vehicles, it’s real, and it hurts! Keep this in mind for insurance purposes as well. If you total that new car within the first five years, your insurance company is only going to give you what the value of the vehicle is, and again, once you drive it off the lot it loses more than 10% of its value. If you do purchase a new vehicle, make sure you purchase the gap insurance option to cover you for the vehicle’s full value should it become a total loss.
Used Doesn’t Mean Bad
Superwash Express knows that advocates for purchasing a new vehicle say, “what if the car is a dud when I purchase it used?” Typically, if you buy a used car that is less than two years old it will be covered by the factory warranty – so most issues will be covered by this. Purchasing your used vehicle from a reputable dealership is key. They want to keep their good reputation, so they are going to make sure the used vehicles are in tip top shape before they sell them, or they will pass them along to someone else to sell. Let the person who purchased your vehicle new take the financial hit – they get hit with the loss of value, not you.
Superwash Express knows how tempting it can be to buy that brand-new car, but make sure you make the best decision for yourself. You can save a lot of money on a like-new vehicle, and you may not even be able to tell the difference! Plus, when you bring your like-new car to Superwash Express regularly, we will keep it looking and smelling brand new!