Did you finally get your driver’s license? You still feel euphoric over having passed that driving test that you took a week ago. Because of your driver’s license you finally have the right to buy a car. You imagine that you can finally do what you want with a car of your own. You picture yourself being able to do some errands around town in that car of yours. You also begin to picture yourself in it with rolled down windows as you head out for your first out of town trip with it. For you it is simply very convenient to have you own car.
Well since this is the first time you will be buying a car maybe you are thinking of buying a used car. You probably think that it will be a good buy since all you need is a running car and a used car will run. You also don’t want to blow your savings on a brand new car. You think that you will get on by with just a used car. You may have even seen some used cars in some car dealer shops already. But before you pay them do yourself a favour and think about the following three things first.
You need to consider that a used car won’t have much resale value. What this means is that there is not much money for you to make should you decide to sell your used car. So it will be a certainty that you won’t get back the full amount that you paid for it. When you sell it even after only one year of using it, it will be sold for a low amount only.
The next thing that you need to consider are the hidden costs that come with purchasing a used car. There are hidden costs that car dealers put on the original price of the used car that allow them to earn more profit from it. This is especially true when you are using financing to purchase it. That is why it is highly recommended that you pay in full in cash to avoid this.
The third point of consideration is the high expense that comes with using a used car. You see a used car’s fuel efficiency is low. You are not familiar with the driving ways of the previous owner of it so you don’t know how smooth it will run in the long run. One thing is certain though. It will have low fuel efficiency. You also cannot expect that it will smoothly function. You do not know how many miles it has ran already with its previous owner. Thus you will find yourself going to the fuel station more.