In America, the pre-owned car sale grew 10 percent only in the month of April 2021 and another 7.3 percent in May. Covid-19 had affected the economy in sorts of different ways, and as a direct result, the car industry is experiencing a boom. Sellers are currently recruiting more and more staff to handle the unprecedented sales. Statistics show that the number of used automobiles sold last year was almost double compared to new vehicles. There are varying contributing factors that make buying and selling pre-owned cars more advantageous.
Unless you care about the latest model in the market, there is hardly any reason for you to purchase a new car. Before you buy a pre-owned vehicle, you must conduct a thorough inspection. For example, those wanting to purchase Cadillac may find great deals on pre-owned Cadillac. If you like the 2021 models, you can go for a brand new 2021 Cadillac CTS in the Bay Area, or you may also check out other pre-owned cars available to make the best possible decision.
Pre-Owned Cars Are Affordable: Even though expensive SUVs dominate the market, the lack of smaller, cheaper cars compels younger, lower-income customers out of the new car market. People who can’t afford a new model look for pre-owned and affordable vehicles. Young adults and teenagers are always on the lookout for some sweet deals to get a car that fits their budget.
- The recent loss of jobs forced many to sell their high-end luxurious car and trade it for a cheaper model. This lifestyle change contributed much to boost the used car economy.
- People, who did not necessarily feel the need for a car before covid, now realized they must own a private vehicle in order to maintain social distancing. Therefore, before coronavirus, many who felt completely at ease traveling in public transport are now in the market for a new vehicle. Since the pre-owned car is much more affordable than a new car, most opt for the more economical option.
Less Additional Expenses: With a pre-owned car, one doesn’t get jittery about getting a scratch mark and so on. One can drive a used car more comfortably without worrying about dents and scratches. People who want to use a vehicle for their day-to-day commute might not favor an overpriced car. It is no secret that the upkeep of an expensive car is pretty high; therefore, from an economic perspective, it is better to go for a cheaper model that doesn’t require pricy maintenance.
- Insurance for a used car will undoubtedly cost you less compared to new car insurance.
- Take into account the money you will be saving on taxes when you get a more affordable car.
- Additional expenses are involved when you buy a new car, such as insurance charges, extended warranty, handling charges, and more.
Less Depreciation Value: The monetary value of an automobile goes down with time; it is very natural. But when you get a certified pre-owned car, the rate of depreciation is much lower than a new model. Therefore a used car has the upper hand when it comes to the depreciation rates of the vehicle.