Thinking about buying a new vehicle? Think again. According to the experts, in three years that new car could depreciate by as much as 73 percent of its value. At best it will retain a mere 62 percent of its value after three years.
Car depreciation is the dark cloud hanging over new car purchases. While most cars depreciate by 15 to 20 percent of their value each year, the first year tends to hurt the most. In fact, the two-minute drive off the lot can cost some owners up to 15 percent of their new Corporate Vehicle Leasing and Chauffeur Services in Bahrain, vehicle's value. This instant loss reflects the difference between the wholesale price - what the dealer pays - and the retail price - what you pay.
If you're a car buyer unwilling to throw away money on car depreciation for that new-car smell, consider buying a high quality, late-model vehicle. These used cars will give you cost-saving benefits above and beyond the car depreciation. Some of the benefits of buying a used car include: