What Car Depreciation Means For You

WHAT CAR DEPRECIATION MEANS FOR YOU NEW CAR DEPRECIATION NUMBERS 11% is the average depreciation as soon as you drive a off the lot new car 15-25% depreciation will occur every year for the next 5 years 63% is the average depreciation after 5 years Let's say, YOU PAY $25,000 FOR A NEW CAR $25,000 0 0 0 0 0 1 Driving one mile lowers its value to $22,218 YEAR 1 Car is worth about $18,818 Car is YEAR 2 $15,985 worth about Car is YEAR 3 $13,492 worth about Car is YEAR 4 $11,285 worth about Car is YEAR 5 $9,303 worth about $15,697 total depreciation WHY BUY USED? Save money Lower Avoid initial loss Lower up-front cost from depreciation expenses You can never Majority of the savings is due simply to depreciation Pay less for insurance, taxes, and recover money lost to depreciation monthly payments Enjoy reliability Car history Warranties Technology It's easy to get a full report of the car's repair and collision history 5-year-old cars today have 1/3 fewer problems than 5-year-old cars in 2007 You can find recent models that are still under warranty Experience less hassle Security No pressure Set prices $$ $11,285 Buy a used car with a solid reputation instead of taking a chance on a new model Trust a dealership where the consultants aren't No need to haggle or deal with expensive "add-ons" paid on commission INFOGRAPHIC PROVIDED BY: MAC HAIK wwW.MACHAIKAUTODIRECTBLOG.COM AUTO DIRECT SOURCES: www.machaikautodirect.com/ www.edmunds.com/car-buying/how-fast-does-my-new-car-lose-value-infographic.html auto.howstuffworks.com/under-the-hood/cost-of-car-ownership/car-depreciation1.htm www.autotrader.com/research/article/car-shopping/167808/4-questions-to-help-you-decide-o n-a-new-or-used-car.jsp www.consumerreports.org/cro/2012/12/why-buy-used/index.htm