How to Avoid Car Depreciation

Depreciation is the amount of money lost on theBuyers have so much choice; competitive prices are
purchase price of a car over a period of time. It isthe only way sellers can shift them on.
unavoidable on all but the most desirable or exclusive- Large mainstream cars without the prestigious
cars and can seriously hurt your wallet.badges. They're expensive when new but not sought
This article will help you minimise the effect of carafter second-hand.
value depreciation and also go as far as to show you- Big-engine cars, especially as fuel prices are rising
how to take advantage of it.year upon year
Avoiding Depreciation- Boring colours (most non-metallics) can be far
There are certain measures you can take to avoidcheaper than the popular ones.
depreciation, you should choose cars with:- The wrong specification such as executive cars
- Strong images. 'Prestige' brands are always inwith cloth seats, or no air-conditioning
greater demand, and always command a healthyMy Top Tip
premium over more mainstream manufacturers.Buying nearly new cars has traditionally been the
Although you'll pay more in the first place, you willsafest way to save cash. New cars can lose
generally loose less in the long run.thousands just by driving them out of the
- Diesels. It is expected that these will commandshowroom, but one-year-old cars are often free of
increasingly large premiums over less-efficient petrolthe biggest losses incurred by new cars.
models in the futureFranchised dealers often have the pick of year-old
- Low list prices. Even if a car is renowned for stiffcars, thanks to the many schemes operated by
depreciation, a low initial price will naturally mean youmanufacturers. Such cars will have a full service
lose less come trade-in time. Also, cheaper modelshistory, be fully guaranteed and often sport low
are often the most popular in a range, so will naturallymileages.
depreciate less, anywayExploiting DepreciationYou may not benefit from a brand-new registration
If you're a used car buyer you can makeplate, but the guarantees are far stronger than with
depreciation work for you. The following models areimported cars. What's more, you could drive away on
ideal candidates for depreciation exploitation:the same day, but crucially be able to see, feel and
- Best-selling fleet cars often lose more than rarerdrive the car before you part with cash.
models, simply due to sheer numbers on the market.