If you have been going back and forth about if you want to purchase a new car or if you want to save some money and buy a used car, it's much smarter to purchase a reliable and high quality used car. Although you don't always know what you will get when you buy a used car, you can find one that has been checked out by a mechanic, and one that comes with a warranty from the used car dealership where you buy it. Here are three key reasons why buying something used could end up being one of the best decisions that you make.
Pay Off Quickly with a Lower Payment
You can save thousands when you buy a great used car instead of high priced brand new car. Lower car payments are more affordable and leave you money to spend on other things, and you can pay the car off quicker if you can add more to the principle than just the payment. This means you can keep lowering the payment and quickly find yourself without a payment.
Add an Asset to Your Portfolio
If there was an emergency and you had a car that was paid in full at the time of purchase, then you automatically have an asset. You could sell this if you needed to pay for an emergency bill or for an emergency situation. You could always find a way to get around until you could get another car, and owning a car outright is a great asset. If you buy a used car with cash, you always have this security.
Avoid Serious Devaluation Problems
A new car is going to lose value as soon as it's driven off the auto dealership lot and soon as it is officially titled to someone. You don't want to end up with an automobile that you owe money on than what it's actually worth. You can avoid this issue buying used.
If you know that you don't want to get into a high car payment but you want a nicer and newer car, try to find an affordable used car that hasn't had a lot of owners and that doesn't have a lot of miles. When you are able to own the car and you don't have to worry about any type of loan on it, it's going to allow you to use your money towards other more important things.