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How to minimize car depreciation in Hagersville

How to minimize car depreciation in Hagersville

Vehicles are not only a statement of luxury or a means of mobility, they are also considered an asset. Like most assets, you want it to appreciate in value or at least depreciate as little as possible.

Unfortunately, that is not the case with most vehicles. In fact, an average car depreciates by as much as 20% within the first year alone.

How then do car owners reduce the depreciation of a vehicle? Read further to find out how.

Tips on how to minimise car depreciation

Choose the right model: Most depreciating vehicles are often popular vehicles manufactured in numbers. However, one back to dealing with depreciation is choosing the right brand. While this can prove tricky at times, you can always choose the vehicles that rank high almost every time.

Although there are several other factors to consider, this is one that certainly slows down depreciation a great deal.

Buy a used car: This idea often seems unpopular because of the durability and the functionality of the vehicle. Many wonders if they are in the best of conditions. And they are right too.

However, if you are buying from an auto dealer, you can expect the car to go through some inspection to determine if it is in proper shape. Since new cars depreciate by as much as 30% within the first two years, used cars have a lower probability of depreciating further. Therefore, if you want to minimise your car's depreciation, buying a used car is a no-brainer.

Keep the records of its maintenance: One of the ways to reduce a car's depreciation level is to maintain it. Keeping records of the maintenance will help prove that the car was properly maintained and reduce its depreciation.

Servicing and maintenance will prove invaluable when negotiating the price of the car in future.

Use an extended Warranty: Asking for an extended warranty can be expensive; however, it is worth it in the end. An extra warranty often costs a lot upfront. However, it's the cost. It is transferrable and helps increase the car's value, especially for a resale.

Take note of the mileage: If you intend to get a car for driving, that's exactly what you should do. However, cars with higher mileage are often sold for less than they should be worth. Therefore, if you are considering reselling your car, you might want to explore other means of transportation to reduce the use of its mileage.

Choosing the right colour: Choosing the right colour seems like the odd criterion influencing depreciation, but it is not. Although you might fancy a unique colour, it won't help if you want to resell, as it would affect the depreciation.

Therefore, to reduce the vehicle's depreciation, it would help to choose the right colour that aids the car's resale value. Grey, black, silver or deep red are excellent examples of such sellable colours.

Sell at the right time: If you want to sell your vehicle for the best price, you must consider the time of sale. For instance, if you want to sell a convertible, you should consider summer or springtime to get the best sales. On the other hand, SUVs and trucks are best sold in the winter or late fall.

Contact Unique Chrysler for help, advice and competitive Hagersville car finance and leasing.

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