What does it mean to be practical, really?
The extra money can be used for that 2nd honeymoon or junior’s tuition… or even buy another car!
For most Filipinos, owning a car is one of their top priorities. However, buying a brand new car is not always the most ideal choice. If you want to be more practical when it comes to buying a car, why not get a second-hand car instead? Just imagine the money you can save from buying a slightly used repo compared to the money that will be spent paying for a new car. The extra money you save can be used for emergency funds, your children’s tuition, home renovations, or that out-of-town vacation you’ve always wanted. In the end, your family and your wallet will thank you for making the practical choice in buying a car.
Why Is It More Practical to Buy a Used Car?
There are a lot of reasons for you to choose a used car over a new one, and here are some examples why.
- You won’t be spending as much. Prices of used cars are almost always lower than the price of a brand new one. In fact, the prices of some very slightly used cars are 30% lower compared to similar new cars, even if it has only around 3,000 km on the odometer. Imagine for a moment that you’re buying a one million peso car, but instead pay P700K for it instead, simply by buying a repossessed or used car – that extra P300K can be used to buy yet another, cheaper car like a Picanto – slightly used ones can be had for sub P300K nowadays! 2 cars for the price of 1? Now that’s practical!
- No outrageous fees. Most consumers are easily drawn to the low down payments offered by car dealers, only to be bombarded by high monthly fees after the initial deposit. If you’re a practical spender, this is a big red light to avoid. Try adding up all the monthly payments, chattel mortgage fees, and other fees to see just how much more you’re spending in interest – it’s shocking!
- Less depreciation. Brand new cars can depreciate quickly making them an impractical choice. The moment you take that new car from the dealer and drive it home, its value has started to drop, and it will continue to do so for months and even years. With second-hand cars, the bulk of the depreciation had already passed, so if your thinking of selling your second-hand car 3 years from now, you’ll only be chomping off another 20% or so of the original value – not bad!
- Reduced costs on customization. New cars can sometimes come with pricey dealership add-ons and customizations. You don’t have to worry about that when purchasing a used car. You can install your own add-ons at a lower price compared to a brand new car.
In this day and age, one needs to be more “wais” or practical when it comes to investing in something like a car. You should not feel embarrassed or ashamed if you bought a used or second-hand car. A lot of used cars nowadays are just as durable and efficient as brand new ones, so you should give yourself a pat on the shoulders if you decided to opt for a second-hand car because you’re getting the same high quality at a fraction of the cost. In addition, you can thoroughly inspect the car you plan to purchase yourself or with a mechanic that Automart will provide for you.