When Should You Replace Your Car?
There are a lot of hard decisions people need to make regarding automobiles. One of the most difficult decisions someone needs to make is when to buy a new car. Purchasing a new vehicle should never be an impulse buy. There are a lot of factors to consider, including your financial stability and the money required to keep it running safely. We asked a few of our product experts for their thoughts on the best time to replace an old car and put them together to share them with you. Let’s see what the experts at Fifth Avenue Volkswagen had to say.
READ MORE: Can A Warranty Be Transferred?
Consider Repair Costs Vs. Value
One of the hard truths about buying a new car is that they depreciate in value from the moment you sign the paperwork to bring it home. Some estimates chart the drop in value as much as 30%. Then as the vehicle ages and more kilometres are added, the depreciation continues, but often at a slower rate. Our automotive and financial experts suggest people seriously consider getting a new vehicle if the repair costs surpass 50% of the current value or the cost of repairing it is more expensive than what a year of car payments would be.
Your time is just as valuable as the money in your pocket. Even if the problems are small, being stuck on the side of the road on a fairly regular basis is another major sign it might be time to buy a new car. At a certain point, having to pay for a lot of small repairs isn’t much different than paying for one big repair.
Why is Buying a Car a Good Idea?
If you need an extra push to start the process of buying a new vehicle, here are a few points that you might have not previously considered.
- New vehicles are more reliable and safer
- New vehicles can be more fuel efficient, saving more money
- Have peace of mind with a manufacturer’s warranty protections
We understand that the process of buying a new vehicle can be daunting if you’re unfamiliar with it. Make an appointment with a Fifth Ave VW product expert and we’ll be happy to answer all of your questions.