Buying a Used Car in Ontario
People once said that buying a used car was buying someone else’s problem, but the huge popularity of leasing has meant that tens of thousands of high-quality used vehicles are coming off lease and being put up for sale every year.
In many cases, these vehicles have had only one driver. Most have been well maintained since the cars have been under manufacturer’s warranty for their entire lives. There are many reasons people are considering buying a used car in Ontario.
You lose a substantial part of your investment in a new car the moment you drive it off the lot. On average, domestic models lose about 50 percent of their resale value during the first three years of their life, while imports lose nearly 50 percent over the first four years.
This rapid loss has everything to do with fashion and little to do with the vehicle’s true worth. Thanks to improved engineering and tighter quality control, cars last longer than ever and their average life span is now more than ten years. So buying a three- or four-year-old vehicle means you are getting 70 percent or more of its useful life for around 50 percent of its original cost.
Fewer Hidden Costs
New cars may appear reasonably priced if you look at the bare-bones sticker price, but tack on freight charges, pre-delivery, inspection and sales taxes, and you’ll be surprised.
All told, the savings from driving used cars in Ontario rather than new ones can easily surpass $1,000 a year.