The lovely vehicle pictured to the left looks remarkably similar to my very first car. A hand-me-down from my grandparents, this wagon (the original “War-Wagon”) drove me to high school keg parties in the desert (I was a bit mischievous), idled while I kissed girlfriends (ok…a little more than a bit), and endured its roof being “surfed” on by crazy teenage friends. In other words, I probably neared death in this car more times than I can count. Besides the memories, a great thing about this car was the price – you can’t beat used, and you certainly can’t beat a free used car someone else doesn’t want or need anymore.
Used cars aren’t just for your inexperienced teenage driver, either. Most of you have probably heard that the depreciation on a new car starts the moment you drive off the lot. What you may not know: the dollars keep flying out the window as you drive it. Most new cars depreciate 60-70 percent in the first four years. Don’t be a bleeding heart, let somebody else pay for that depreciation and work the kinks out of the thing, then you can pick it up for less than new “wholesale” prices.
I don’t recommend you pick up that used car at a car lot, either. True, their lots do overflow due to all those new car buyers and expired leases, and you may find a deal simply because the manager is desperate to move inventory by the month or year end. However, the best deals you can find are usually from individuals. They are usually motivated sellers, and for the price of a good car wash and some smelly spray, you can have yourself a gently used car that still smells new and lasts for another decade. You can find listings for vehicles in your local newspaper, or online at www.autotrader.com, for instance. But first, two cautions. First, check the asking prices of used cars at www.kbb.com or www.carmax.com, to make sure you are getting a fair bargain. Second, please please please get the vehicle checked out by a mechanic you trust. I have not done that, and paid dummy tax in big big repair bills on a used car; I have had them checked out ever since, and now happily drive two vehicles over 8 years old that we’ve only made basic maintenance repairs on for the last several years.
Last story. My first brand new set of wheels, purchased my first year of college, looked much different than the one above. I loved that shiny, silver 4×2 truck, until my buddy totaled it a few weeks later. Lesson learned? Unless you are wealthy, buy used.
Great advice Victor!! So many parents buy or give their teens a new car like they are obligated to. A good used car is definitely the way to go not just for us but especially for teens!
Thanks Oli! I agree wholeheartedly. Also, parents often don’t consider the high insurance and registration costs of a new vehicle especially when a teen is driving it.