The digital revolution is here and it’s disrupting used-car retailing. A decade ago, you had to visit a dozen dealerships in person and negotiate the price of every car you liked. Buying a used car was a bit of a nightmare back then. Now, you can find a used car in seconds using Google and a few relevant keywords (keep in mind to include your state in the search, of course).
Statistics show that more than 64 percent of used car buyers appreciate relevant photos of the vehicle and extensive vehicle information. Also, it looks like used vehicles are becoming increasingly younger. Estimates show that Americans bought 39.4 million used cars in 2018. Just 17.3 million new vehicles were sold that same year. More and more people prefer to buy a used car instead of new one, it seems. Here is what you need to know if you are one of these people.
The Truth About Second Hand Car Sales
You’ve most likely heard about the risks of buying a used vehicle. Many people tend to exaggerate these risks, however. While it is true that your car will not be covered by warranty, this does not mean that the used car will break down in 2 months. And a very small percentage of used vehicles have had their odometers rolled back. Odometer rollback fraud is a serious offense and most people are reluctant to give it a try.
Truth be told, a used car that has been maintained properly can run for more than 100,000 miles without requiring any major investments. If you buy a used car that’s just 4 years old and that has around 50,000 miles on the clock, you can safely assume that it will keep going for another 4 years at least. Again, this applies only if the car has been serviced at regular intervals using quality parts, oil and filters.
Why Do People Prefer to Buy Used?
Used car sales are on the rise mostly because people don’t want to pay a small fortune for a new car. If you need a vehicle and you don’t have the money to buy it from the dealership, your only real option is to buy a pre-owned car. We will not be discussing leasing and credit options here.
The reality is that you can easily save 40-50 percent of the value of a new car by buying a used vehicle. In just 4 years, the average car depreciates by around 50%. And in many cases, a car that is just 4 years old has around 50,000 miles on the odometer. If it comes with a full service record, it’s a great opportunity.
Not only will you save money by buying a lightly used vehicle, you will also save on the annual registration fees and on the insurance premiums. The older the vehicle is, the lower the fees and premiums get.
Working With Car Sales Experts
However, many people absolutely hate the process of buying a used car from a private seller. There is a lot of negotiation involved and you never know if the car really is as described by the seller. Who can guarantee you that the seller won’t take your money and vanish? Dealing with private sellers can be risky if you don’t know what you’re doing.
Dealing with an auto dealership on the other hand is much safer. These companies make money by buying used cars from owners and selling them for a higher price. They need to make a profit, of course. However, a reliable used car dealership will inspect its vehicles before selling them. It will most likely not lie about the history of the vehicle. Also, it will be responsible for hidden flaws. And in case you are buying a Certified Pre-Owned car, you will also get a warranty.
We know some people will tell you that buying a used car is a very dangerous endeavor. We want to assure you that this is not the case. Again, statistics show that 39.4 million used cars were sold in 2018 alone. If it were such a risky business, would so many Americans buy second hand vehicles? Of course not! However, you need to exercise caution and use common sense when buying a pre-owned vehicle. Be reluctant of private sellers selling luxury cars for unbelievably low prices. It’s better to pay the fair price for a vehicle at a dealership than to risk buying a lemon car from a shady car dealer.