Car Rental Australia

Posts Tagged ‘Running costs’

Running a car these days can be expensive, so when it comes to replacing your car it is important to get the best deal possible. While ideally we would all want a shiny new car straight from the manufacturer, it can be more cost effective to buy Wedding car hire.

Second hand cars are inevitably cheaper to buy than their new counterparts. If you want a shiny new car straight off the forecourt, then you have to pay more for it. However, buying used is a lot kinder to your wallet.

With so many used cars on offer it is easy to find a good deal on the car you want and, because it has been per-owned, you are not paying a premium for the fact it has come direct from the manufacturer. You can often haggle down the price and even get a few extras thrown in.

What’s more, the insurance on a new car is also higher than it would be on a used car so you will be paying less for your insurance in the long-run. This can save you a lot of cash over time and with the cost of running cars being so high every little saving helps.

However, the biggest saving with a second hand car is depreciation. New cars rapidly lose value over time. In fact they could depreciate as much as 35 per cent in the first year alone. New cars lose most of their value in their first three years and they can even lose as much as half their retail value. This means that if you do decide to sell on your car you won’t get as much for it as you paid and you could even only get half of what you paid. However, second hand cars do not depreciate in this way, so even by buying a car that is only a year old you have avoided the main period of depreciation.

While buying a second hand car is cheaper there are some things to consider as a new car will have a warranty and no MOT to pay for the first three years, as well as lower running costs and good fuel economy. But by doing your research you can get this with a used car.