Why a Used Car is Better for Students

Your first car is an exciting purchase, as it gives  you independence and the ability to go where you want, whenever you want. However, buying a new car may not always be the best choice, especially if you are aiming to work your way up to your dream car.

When it comes to choosing from one of the many used cars for sale Gauteng and other provinces have to offer, you will first need to consider your budget and what you need from a car at this point in your life. Outlined below are some of the reasons why buying a used car is a better choice for students.

Money saver

A used car is almost always going to cost you less than a new car, which is ideal for students on a tight budget. You will save thousands of Rand when buying a used car, and will be able to find something that fits your needs too.

Another consideration that factors into the price is the fact that new cars depreciate as soon as you drive off of the lot, meaning that you are not getting the full value for your money. However, you may have to use the money you saved on the increased maintenance costs of a used car, but in relation to parts for a new car, these will be much lower.

Reliability

Today’s modern cars are not as unreliable or liable to break as older models. In fact, if a newer model car was to break down or show signs of rust within a year, the owner would have to be very poor at upkeep.

A used car will prove reliable if you maintain it, and can last you for your entire university career. Modern vehicles are built to last longer than their older counterparts, and you will save money on services by opting for a used car. On average, people tend to keep their cars for six years, which means that buying a new car is not the most financially viable option. A used car will last for the right amount of time and will end up costing less in the long run.

You can look for CPO (certified pre-owned) vehicles

Certified pre-owned vehicles are a sound alternative to buying used cars, and cost significantly less than buying new. Many people who sell their cars to CPO dealers have kept their cars in excellent condition and some may even have some of their warranty intact.

Cars sold through CPO programmes usually have very low mileage, which is ideal for students who plan on travelling a lot while they are at studying. These cars have had little to no repairs too, meaning that you will not have to worry about parts not being correct or damages that can affect the performance, costs which many students cannot afford.

Depreciation is minimised

New cars depreciate by at least 20% as soon as they leave the dealership lot, which is a high amount for a vehicle that has not been used until this time. Buying a used car means that it will depreciate less, retaining its value over the period you own it.

You do not have to purchase a car that is 10 years old to avoid this depreciation, you can opt for a car that is anywhere from two to five years old. If you choose the right used car and maintain it regularly, you will be able to sell it for very close to what you paid for it, something which is not possible with new cars due to their high depreciation rate.

Wide variety

Used car dealers can be found nationwide, meaning that students will have a much wider selection to choose from. There are much higher chances that you will find the make and model of car that you are looking for from a used car dealer, rather than a new car dealer.

Buying new means that you are restricted to choosing from the newly released models, which may not be ideal for the needs of a student. You may need an SUV model, which can cost hundreds of thousands of rands when new, and buying used will give you a bigger range to choose from. You will also find that the selection of zippy little hatchbacks – the student car of choice – is higher when buying a used car.

Final thoughts

As a student, the most important aspect of purchasing a car should always be the price. This makes used cars ideal for your university years, as they are reliable, do not depreciate as quickly as new cars and will give you good value-for-money. Used car dealerships also provide a much wider variety of cars, and you will not be limited to choosing from only the latest models.

black and silver door knob
Finance

Meeting savings goals does not mean you have to open multiple savings accounts

With a single saving offering embedded in the account, account holders can opt for a single investment that covers short-term, long-term, and wealth-building opportunities at the same time.   A shift in thinking and services has accompanied increasing digitization and electronic delivery. The focus is now on reducing the want for different accounts and offering […]

Read More
black Android smartphone on red flip case
Finance

8 Expenses to Factor Into Your Home Budget

Your home budget, also known as your household budget, is the money you set aside that will go toward essential living expenses. It’s critical to budget your finances to only spend what you can afford and reach your savings goals.  You can guess what kind of things go into a home budget: rent or mortgage, […]

Read More
Breathe neon signage
Finance

How to Stay Calm When Dealing With Financial Stress

Have your money problems become so dire that you find yourself searching “I need financial help immediately?” We get it. You’re in a tight spot, and you’re panicking. Hearing that you’re not alone doesn’t really help, and you aren’t sure what to do while you’re not thinking clearly.  Take a breath. Financial stress can be […]

Read More