The Benefits of Buying Used

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You’re ready to upgrade your old vehicle, but you’re facing a dilemma that regularly pops up for vehicle owners: should you buy a used or new vehicle? A used vehicle is a budget-conscious option that allows you to get as much vehicle as possible for your money. Here are a few of the benefits of buying used.

You Can Save Money

One of the top benefits of buying a used vehicle is that it helps you save money while still providing you with a terrific new-to-you vehicle. A used vehicle helps you save money in multiple ways.

Reduced Depreciation

When you purchase a new car, one of the biggest expenses that you incur is depreciation. Depreciation refers to the value that a car loses due to aging and usage. Used cars depreciate slower than new vehicles. Within the first year of purchasing a new vehicle, the vehicle usually  loses between 20 and 30 percent of its value. During the next few years (years two to six), it’ll continue to depreciate at a rate of 15 to 18 percent.

Assume a new vehicle is $40k. It depreciates 20 percent in the first year and 15 percent in subsequent years. By the time the vehicle is three years old, the value will have dropped to $23,120 thanks to depreciation. A three-year-old used car still has a lot of life left in it, allowing you to reduce your depreciation expenses without sacrificing features, aesthetics, and reliability.

Want to see how a lower vehicle price impacts your monthly payment? Check out our payment calculator to see how different loan amounts affect your payment.

Lower Insurance Costs

Buying a used vehicle also reduces your insurance costs, further helping you save money. One of the factors that influences your auto insurance premium is the value of a vehicle. Since used vehicles have lower values, your insurance rates will be lower, allowing you to reduce your annual costs for auto insurance.

Cheaper Dealership Fees

Every vehicle has some type of dealership fee that help cover the dealer’s costs for preparing, showing, and selling the vehicle. However, the amount of these fees is often partly based on the price of the vehicle. Thanks to the lower cost of a used vehicle, this will reduce any fees that are based on the price of the vehicle. A 1 percent fee is cheaper on a $25,000 vehicle ($250) than it is on a $35,000 vehicle ($350).

The state of Texas also charges a sales tax on vehicle purchases of 6.25 percent. Opting for a lower-priced used vehicle is a simple way to reduce the    amount of sales tax that you pay when you purchase your vehicle. With a $25,000 used vehicle, 6.25 percent is $1,562.50. If you buy a $40,000 new vehicle, the 6.25 percent sales tax equals $2,500.

You’ll Have Access to More Vehicle Options

When you restrict your shopping to new vehicles, you only have access to vehicle models that are released in the current year. This may not be a big deal if you’re lenient with your vehicle wish list, but if you have more specific preferences (such as a preferred combination that includes a certain type of trim, color, and accessories) finding exactly what you want can be more difficult.

It might be time-consuming or extremely difficult to locate a new vehicle that has your exact combination of specifications. By expanding your search to include a few years’ worth of vehicle models, you’ll significantly expand your options, allowing you to find a vehicle that fits your needs as quickly as possible.

Used Vehicles Often Come with a Warranty

If you enjoy the peace of mind that comes with purchasing a new vehicle that includes a warranty, know that some used vehicles also offer a warranty, depending on their age, mileage, and condition. For example, a Toyota certified pre-owned vehicle offers a 12-month, 12,000-mile Limited Comprehensive Warranty and a 7-year, 100,000-mile Limited Powertrain Warranty.

Some used vehicles are still covered by the original manufacturer warranty if they meet the mileage and age conditions. Should you prefer additional protection, many used vehicles give you the  option to purchase an extended warranty that lengthens your coverage.

A Used Vehicle Helps You Stretch Your Car-Buying Budget

You’ve made your wish list for your next vehicle, but when you start shopping, you discover that a new vehicle with your desired features is outside of your budget. However, if you’re willing to shop gently used vehicles, you can likely locate a car that has all the features you want at a price that’s a better fit for your budget. Most carmakers don’t redesign their vehicles every single year, so you can  usually still get the style and tech of a new vehicle by opting for a car that’s a few years old.

At Lone Star Toyota of Lewisville, we thoroughly vet our used vehicles to make sure they’re properly maintained and a smart purchase for our customers. We even have pre-owned specials that we believe offer car buyers a terrific value for their money.

Start Shopping for Your Used Vehicle at Lone Star Toyota of Lewisville

Lone Star Toyota of Lewisville has a variety of used vehicle inventory, including used Toyota Camrys and 4Runners, to consider for your next vehicle.

The Lone Star Advantage

We’re devoted to helping our customers find quality cars that match their needs. Our goal is to provide a selection of high-quality, dependable vehicles for our customers to choose from.  Our trustworthy staff offers award-winning service and prompt response times. We have a long-standing reputation in the community as an auto dealership that prioritizes customer satisfaction.

How to Get Started

Ready to schedule a test drive for a specific vehicle or want to start your finance application ? Stop by Lone Star Toyota of Lewisville today, contact us online, or give us a call at 469-491-1219.