We bought a brand new car, well bought is probably not quite the right word, seeing as technically it’s not really ours. Even when we finish the financing deal we still need to make a one off final payment until we feel like we have an actual tangible asset.
I am not sure if I would do it that way again, the novelty of a nice shiny car has well and truly worn off in the time we have started making a dent in the finance, when you look at depreciation from the time we bought it you can feel a bit deflated. Especially now it doesn’t even look its best, the boys have decorated the inside with colourful stickers and the exterior boasts a smear of sunscreen from where the boys wiped their hands along the car, that doesn’t seem to want to shift even with lots of carwash and a powerful blast from the pressure washer!
In a few years time we will probably hand the car back and walk away trying to minimise our losses then its back to the drawing board and trying to find something else suitable in terms of car finance, next time it will probably be a loan as we would not buy new again.
Most experts think new cars devalue at a rate of 60% in the first three years! Actually reading that figure makes me sigh inside! We would have been much better getting a car that was already three years old, at that age you can still get some lovely cars and not feel like your throwing money away! But hindsight is a wonderful thing; I am a bit impulsive and tend to jump to decisions then spend forever giving myself a hard time when they don’t quite work out as I hoped. I really should have done by research even looking at articles like this one “Top 20 depreciation busters” would have given me an idea which cars depreciate the slowest. But car salesmen are a clever breed, I was even presented with a bouquet of flowers to seal the deal...
In the future when we do decide to sell our car though (if we manage to find the final payment that is!) we will try and improve matters by giving the car a good clean and of course we do already make sure the car is regularly serviced. Hubbie has me on an event ban now so at least the mileage is not increasing as fast as it was!!! Hopefully it will not be a complete disaster in terms of resale.