Model Car

used honda cars & increase fuel economy

Let’s take a look at the subject of used cars. Are used cars or new cars better? New cars begin depreciating the second you sign the papers.  Now that question is an easy one. Since a car is a depreciating asset, meaning in general cars lose value with time, the best money decision is to purchase the car when it will tend to lose less value. Maintenance costs are also a factor. The slightly used car is about the best for both concern. The value has already dropped from new car state. That loss went to the original owner. The auto is likely still under warranty and isn’t in a state of needing constant work.

Continuing the discussion about used car sales : There are many places to look for late model used cars.  Car lots have a lot of traded in cars. Those cars than have to be sold. Companies like Carmax specialize in used automobiles, while eBay has an entire subsection dedicated to car auctions, mostly for used vehicles. In America there are car auctions every weekend. Auctions include cars from the police, taken from criminals, or used rental vehicles. 

When dealing with used cars one will also want to consider fuel consumption and Kelly Blue Book is a valuable resource to determine the relative fair price of a used car. It lists cars by year, then the general prices for those cars in various conditions from excellent to poor. It also breaks down the prices between dealer sales and private sales. Because dealers pay overhead costs that private individuals don’t, that distinction is shown.

Have you thought about the financing for the used car? The better idea is to save money to make a cash purchase.  No matter how low the monthly payments or interest rate, paying cash is better. It’s nice to own a top of the line auto. But consider something a little simpler with a few less bells and whistles. Buying a car like that used can not only help the budget, but creates less stress. People with more expensive cars worry more about theft, accidents and wear. Many used car owners take pride in their cars, but don’t worry over a ding or two. 

Sure cars are a status symbol, but wealth isn’t based on what you spend. Net worth comes from saving. Most rich people get that way by saving money. Saving money on a used car can be one step to being wealthy.

“Tips and Tricks for Building Show Quality Model Cars with Donn Yost” (Preview of Instructional DVD)