Used-car prices expected to stabilize
The ups and downs of the economy over the past few years have put a great deal of pressure on several industries including the auto industry. One of the effects was that used-car depreciation has been all over the place, making it hard for people to determine the best time to buy or sell a car. Now, fortunately, it seems as though the times are changing. According to Bankrate.com, it is expected that the rate of depreciation for used cars is starting to stabilize.
Many car owners have been surprised in recent years at the value of their car, with 2008 having the highest depreciation rate in the past 20 years at 26.5 percent. To make matters more confusing, 2009 had the lowest with 11.1 percent. Now that they are starting to stabilize, it is becoming easier to see how much a car will be worth in a year's time, the media outlet reports.
This means a great deal for those who are in the market to buy or sell a used car/.They are able to have a good idea of how much their car will be worth in the next couple of years.
There are a lot of things that go into buying a new or used car. First of all, it is important that the prospective buyer does their research before entering a dealership. They want to make sure they have a good idea of what they want, how much it will cost and what they can afford. By checking out their credit score as well as starting to plan out the financing for their new vehicle, they are setting themselves up for a stress-free car buying process.
Financing before going to the dealership is one of the most important ways to not get overwhelmed while considering a new car. Getting an auto loan approved before they even set foot into a dealership is key. Having cash in hand allows car shoppers to negotiate with the dealer. In addition, they do not have to worry about financing through the dealership, which makes some uneasy seeing how dealers can sometimes trick people into paying more than they need to.