Buying a brand new car is something many people dream of doing. If you are one of the lucky ones who have the opportunity to invest in some new wheels, there are a few things you should think about before you take the plunge.
Here are 4 things to take into consideration before buying a brand new car.
1. Can You Afford to Buy It?
New cars are way more expensive than used ones and can cost from $20,000 upwards.
Do some research before buying about the type and brand of car you want, establish the figure you wish to spend, and shop around for the best deals. Ask to test drive the vehicles you like as they may not be everything you dreamed of – you may end up buying something entirely different from your initial idea.
2. Can You Afford to Run it?
Not only do new cars cost a lot to buy, but they cost a lot to run as well.
Think of your budget and salary and work out how much you can afford to spend on fuel each month. Many new cars are powered by electricity or a hybrid of fuels, making travel cheaper than cars that run on gasoline, diesel, or petrol.
Other expenses associated with owning a new car are insurance, repairs, servicing, and tax. Insurance is an essential purchase when you buy a new car as you could be up for forking out high sums of money if your pride and joy are stolen, damaged, or written off. As soon as you purchase a vehicle, find the best car insurance deal and ensure the policy covers you from the second you drive your new car out of the showroom.
3. Can You Maintain It?
The value of a car depreciates as soon as you make the purchase. To ensure your new vehicle keeps its market value, you need to look after it. Servicing, valeting, and repairs cost money – usually lots of it. You should budget a certain percentage of your monthly income for any unforeseen costs incurred by your car.
A well-maintained car is not just an attractive sell a few years down the line, but it is also a safe car. Regular servicing will raise any red flags, and you can fix them before they become more serious.
4. Is it Worth Getting Optional Extras?
One of the most exciting aspects of buying a new car is sitting at a computer designing your dream automobile with an online car configuration tool. However, when you are bombarded with lots of cool add-ons, it is tempting to get carried away and buy gadgets for your car that could set you back a small fortune and which aren’t really necessary.
Some extras might be desirable to you, but if you plan on selling your vehicle a few years down the line, these additional purchases may not retain their value. Some features you pay extra for, such as metallic paint, usually do appeal to buyers.
So, enjoy your new car but just make sure you can afford to keep it running and well maintained without putting financial stress on your shoulders.