New cars cost somewhere around $48,500 on average in our country, which is a massive amount for many. So, how can a person get one without breaking the bank? The solution is simple – invest in a used car! While it may take many days of research and running about to find the right model, the effort will not go in vain because a used car provides numerous benefits to buyers.

Reduced price
This one’s obvious. Used cars are always way cheaper (around 50% less on average) than new ones. This lets buyers save money on their purchase and enables those who have taken a loan to pay it off quickly.

Lower depreciation
New cars depreciate rather quickly. Experts say their value goes down by 10 to 20% as soon they are driven off the lot. And within the first year of ownership, this number reaches close to 30 to 40%. That’s a lot of money!

Cheaper insurance
Insurance firms calculate premiums directly based on factors like the vehicle’s value and age. As a result, the premium on new cars can be rather high. To save some bucks off that monthly insurance, buying a used model may be a better idea.

Lesser dealership fees
Although the associated fees for used cars are not standardized across the country, they tend to be lower than that for new cars. This is due to the low starting price and sales tax. Buyers can head over to their state’s DMV website and look up title tax and documentation fees if they want more details regarding how they are calculated.

Properly certified and inspected
It is always best to buy a Certified Pre-owned (CPO) vehicle. Cars that have this certification are thoroughly inspected for their interior and exterior condition, performance, ownership, mileage, servicing history, and more. Based on this data, they are also refurbished and made ready for sale. Additionally, these cars come with a vehicle history report, giving buyers a holistic picture to ensure a quality purchase. But please note that CPO programs may vary from manufacturer to manufacturer, so it is advisable to thoroughly research multiple vehicle offerings across used car dealerships before finalizing the purchase.

Backed by warranties
Some used cars are still under their old manufacturer warranties. This can be a money-saver when someone wants to replace parts and send the car for routine upkeep. Buyers who go down the CPO route may also be offered extended warranties, reducing the cost of maintenance over time.

Lower annual registration fees
Buyers can also save on annual registration fees when getting a used car. Across most states, the fees are determined based on the car’s value and model year. Buying a car that is at least three years old could help one save around a thousand dollars in fees.

More room for negotiation
The used car market has witnessed a boom in recent years. So, many dealers are trying hard to clear their inventory quickly and make room for newer pre-owned vehicles. Buyers can steal this chance to negotiate better deals on their purchases and save more.

Waste reduction
People across the globe are starting to feel the effects of global warming. Unfortunately, the car manufacturing process is extremely resource-intensive and significantly adds to environmental pressure. Opting for a pre-owned car and promoting the use of existing resources can help reduce one’s carbon footprint.

Availability of reviews
There is a lot of buzz when a new car is launched. So, many end up buying these models without conducting proper research or waiting for detailed reviews, which results in buyer’s remorse. A standout perk of buying a used car is that there is a wealth of information regarding its safety, features, issues, drivability, etc. Customers can check the reviews before buying and make the right choice.

There are both downsides and benefits of a used car, and the new car vs. used car debate is not likely to end any time soon. But for those looking to receive the most bang for their buck, used cars offer a greater advantage over new ones as it lets people save money across all arenas – base price, fees, registration, aftermarket parts, warranties, insurance, and more. Of late, the used car pricing has also been trending downward, which may help customers find better deals at their local used car dealerships.