How much does it cost to own a car? Brand new cars are pricey compared to used cars that are still in good condition. How much does it cost may not be the right question, but what are the factors that affect the cost? The cost of a car depends on the brand, model, engine, fuel efficiency and how you pay for it (cash or car loan). If you ask how much does it cost, then you must be fully aware of the following points which can affect the cost of your dream car:
How much does it cost?
- Budget – Are you working on a budget or you have enough to pay for a car that you wish for?
- Lifestyle – Do you prefer high end cars or you just need a ride whenever you go to the office? It basically depends on how you intend to use it.
- Depreciation – Everything depreciates, especially cars. After using it for years, there is no guarantee that it will run the same as before. The value will not be the same as before. Before buying a car, you need to consider the brand, quality, model, engine, reliability and fuel efficiency. Check out cars on sale or drive-away deals. You’ll get less than the initial price and you’ll lose less once it depreciates.
- Fuel efficiency – Petrol prices frequently change and most of the time they increase rather than decrease. Look for fuel efficient cars or you can go for green cars to save on petrol.
- Resale – Bear in mind that time when you will need to resell it or trade it for a better car. It may not look and run the same as before but you can still keep the value higher by taking care of it properly. Have it checked regularly; maintain a record book of any upgrades, or repairs you have done. Scratches, wear and tear caused by weather can cause reduction of the cost. So make sure you have it repaired. Damage can affect the cost.
- Reliable Car Insurance – Being a good driver doesn’t mean you can settle for a cheaper car insurance. You may be a good driver but accidents can happen to anyone; even while you’re following all the rules but the driver coming towards you is under the influence of alcohol or drugs. How about if you accidentally bumped into a cab? Reliable car insurance will lessen your burden and will take care of the expenses.