If you’re in the market for a new car, you may be considering a second-hand one. There are many benefits to getting a used car, from their lower purchase price to the ability to spread the cost with finance; it can be easy to see why second-hand cars are well-loved by many drivers. The guide below outlines some of the advantages of getting a used car and also a few top tips to help you through the buying process.
Why choose a second-hand car?
- Lower purchase price. One of the main benefits of used cars is that they will nearly always be much cheaper to buy than a brand-new car. A second-hand car can be great if you have a small budget or even if you want to spread your car finance payments even further.
- Less depreciation. When you buy a used car, you can benefit from a slower depreciation rate which is good when it comes to selling your car. Depreciation is the difference between how much your car is worth when it’s bought until it’s sold. Most new cars lose the most depreciation within the first few years of ownership, so by the time it comes for you to buy the car second-hand, you will usually benefit from a slower depreciation.
- Used car warranties are available. Many manufacturers are now offering long warranties on brand-new cars that can be transferable with ownership. Kia offers a huge 7-year warranty that you can take advantage of even if you haven’t bought the car new!
Top tips for buying a second-hand car:
When you’re buying a second-hand car, it can be easy to get bogged down with the buying process. However, it doesn’t have to be time-consuming! Follow our top tips for buying a used car below:
Research dealers and check reviews.
When you’re buying a used car, it can be tempting to buy from a private seller, and whilst it can be a straightforward way to get a car, you should also be wary. You could get a better deal as it’s easier to negotiate with private sellers, but you don’t have the same level of protection as you do with buying from a dealer. That being said, you should always check the reviews and FCA stats of potential dealers to see if they are worth giving your money to.
Compare cars within your budget.
Your budget for getting a car is really important! Whether it’s how much cash you have saved up or how much you can put towards your finance payments each month, your budget should always be affordable and realistic. When there are multiple cars within your budget, it can be worth comparing different cars within your budget as you will also need to think about ownership and running costs of having a car too. Check how much the cars in your budget would cost to insure and also things like fuel costs or recharging costs if you’re looking to get an electric car.
Use your current car as a part exchange.
If you already have a car, it can be a good idea to part-exchange your car to help lower the price of the deal. The dealer can use your current car as a deposit for car finance or to knock money off the cash price. By part exchanging your car with the dealer, you are able to get rid of it at the same time that you pick up your new car, and it saves the hassle of having to sell your car yourself.
Consider using a broker.
If you want to finance a second-hand car, it can be a good idea to use a car finance broker to help you find the most suitable finance package. A broker is essentially the middleman between you and the lender and can give you access to multiple lenders at once. When you sort your finance at the dealership, they may only have a limited number of lenders. Once you sort your finance from a broker, you can then use your deal at any participating dealership in the UK and get a car just like a cash buyer!
Test drive as many cars as you like.
When you’re looking for a new car, it’s important you like driving the car you buy. This is why we recommend test-driving as many cars that fit in with your budget. There’s no point in having your heart set on a car that you hate to drive or don’t feel comfortable in. You should take your time throughout the car buying process and take each car out for at least 15 minutes on different types of roads to see how it performs. Whilst you’re out, you can also give the car an inspection for any dints or scrapes without being under the watchful eye of the dealer.
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