The Depreciation of Cars
When buying a new car, we usually have a few makes and models in mind. We all have our favourites. You should however also consider how long and what you are going to use your car for. Are you someone who likes to change their car every 3 to 4 years or do you buy a car and then keep it for as long as it doesn’t cost too much to repair, say 10 or more years? If you are the latter, and use a car until it is very old you do not need to worry about the depreciation of the car as unless it is a classic and in very good condition, the high mileage and age of the vehicle will mean you will you will only get a fraction of what you bought it for.
However if you are someone who likes to have an up-to-date model every 3-4 years then the depreciation of a car should be at the front of your mind when buying or leasing one. All cars depreciate and the biggest depreciation is normally as soon as you drive a brand new car of the forecourt.
When you decide to sell your car, the depreciation which has occurred will depend on several different factors and these boil down to the make and model of the car, the mileage, the condition, service history and specification.