01/07/2024
BUYING AN OLDER CAR WILL MAKE YOU RICHER, HERE'S WHY! ๐๐ฐ
Those among us who understand basic economics will know that cars are generally classed as liabilities, with the exception of classics for example.
Although its inevitable that your car will drop in value over time and as you drive it, the trick is to find the best way to minimise the loss.
Now say you buy a brand new, basic spec Vauxhall Astra for ยฃ26,970, plus, unless you have ยฃ27k lying around, several ยฃ1000 in commission from the finance arrangement. You're probably looking at signing up to around ยฃ30,000 before you get your hands on the keys. ๐
Of course, new cars are covered for at least the first few years by manufacturer warranty, but once it gets to say 5 years old, that warranty expires and if anything goes wrong you'll be forced to dip into your next holiday's fund. Not to mention the astronomocal price of parts on newer models.
Even if nothing does go wrong, when you come to sell it, the value will be a fraction of what you paid originally, resulting in a net loss of ยฃ1000's EACH YEAR ๐ฅ
Sounds like a pretty glum deal right?
So lets say you buy an older car for ยฃ1000, even if it doesn't last for years, worst case scenerio, average scrap price is ยฃ250-300 according to CarTakeBack ๐
Older cars are often regarded as being better built than most of the rubbish that is being churned out of factories today. Plus, if its lasted 15-20 years and still going strong its clearly a decent car so surely a much better option for your bank balance than a "newer looking one" ๐
Finally, what actually useful features do brand new cars have that older ones don't anyway? Air con, electric windows, bluetooth radio, central locking, parking sensors...my 20 year old BMW has all of them...
What's your thoughts? ๐ค
