Most Overlooked Aspect of Buying a Car and Why it’s Super Important to Pay Attention Here
When it comes to buying a car there is a lot to think about in the process. From the ...
When it comes to buying a car there is a lot to think about in the process. From the obvious things like the condition that the car is into less obvious factors such as what insurance is going to cost you, in the long run, you really need to make sure that you cover all of your bases and most people will do their fair share of research to get there. However, there’s one factor that is commonly overlooked when purchasing an automobile and it’s arguably one of the most important. The fact that we’re talking about here is that of potential depreciation.
When you purchase a vehicle, whether it be new or used, you most certainly don’t want to get yourself into a car that is going to be worth less than the amount of money that you owe on it. As a matter fact, barring some sort of extreme circumstance, if you have to borrow more money to put you in such a situation where you owe more than what a vehicle is worth or will be worth in the near future, then you probably shouldn’t be borrowing that money at all or maybe looking at a different car. People have found a way to get themselves into financial trouble with their auto loans over and over again, so much to the point where things like gap insurance are even around to make sure that should you be stuck in a situation where you owe money and total the vehicle, you can get out of the loan.
The video down below takes the liberty of guiding us through exactly why depreciation is something that you really want to look at when buying a car. There are a lot more aspects to consider than those on the surface with this factor and Rob Ferretti does his best job of dissecting it, piece by piece so that it’s an easier concept to understand. He even takes a minute to get into the super complicated market that is buying a car as an investment. After watching this one, we get the feeling that you’re going to know more about the depreciation of automobiles than you ever thought to be possible.