Last Updated on November 9, 2022 by HassanShabeer
The used car market is not just a place for people looking for cheap cars. People looking to invest in used cars now find a huge range of luxury cars in the segment. This market is boosted further by new car launches, model upgrades, and easy access to second-hand car finance.
With the ever-increasing prices of new car models launched by various automobile companies, customers are exploring the used car market to save themselves from the hefty price and quick depreciation of new cars. Nowadays, it makes perfect sense to apply for second-hand car finance to get a used car for daily commuting. Getting a loan for a used car has become convenient with the help of a used car loan calculator that tells you how much money you will have to shell out every month to get a second-hand car.
Benefits of Investing in a Used Car
Are you concerned about getting a used car for yourself? Here are the top reasons you should know how a used car is a win-win situation for you.
- Used cars depreciate slower: People who consider buying a new car an investment are mistaken. The value of a new car begins to depreciate when the customer drives it out of the car dealer’s showroom. The depreciation of the car’s value decreases your investment’s value too. As opposed to a new car, a second-hand car’s value depreciates at a much slower pace. When a car buyer chooses a second-hand car, he is already buying it at its depreciated value.
- Offers good variety within the customer’s budget: Car companies launch new car models and upgrade their existing ones yearly. People frequently change cars to keep up with the latest car models. It leads to various low-cost car options in the used four-wheeler market. Therefore, a customer can find a variety of options for used cars within their budget.
- Low cost of car insurance: Since the value of a used car is less than a new car, and its insurance cost is also less. The car’s value is already depreciated, and the annual premium for the car is less than for a new car. As the customer will save money on purchasing a used car, they can pay more for the car’s insurance. This way, they don’t have to deal with high-insurance premium payments at the end of every month and may be able to pay the entire insurance amount in one go.
- Come with an assurance: There are several reputed car dealers in the used car market. These dealers offer full assurance to the customer about the car’s history and data. The customer can get complete information about the car and its previous owner, making the purchase safe and reliable. Moreover, car dealers check the car for any faults or defects before dealing with it. It gives added security to the customers and takes away the hassle of personally testing the vehicle for its durability and safety.
- Financial security: The recent pandemic has taught everyone the value of saving money. A customer can invest in a used car and save significant money. Since used car loans have a lower EMI (Equated Monthly Installment) than new cars, it puts less pressure on the buyer, which is another advantage in times of job cuts and recession.
Used cars are more affordable than their newer counterparts and burden you much less. For the same price as a lower-model new car, you can purchase a used car of a higher variant. Make sure you inspect the used car before closing the deal. For easy finance on a used car, you can opt for a used car loan from a reputed and customer-friendly lender like Muthoot Capital and calculate the EMI on the car of your choice by using the used car loan calculator.