Splurging on an impulse is a common activity of first time car buyers. It is really important to understand the financial viability of selling and owning the car. Pick your car going through this quick guide.
Young earners enjoy easy credit access and are mostly swayed by the buying prospect of a car and to own the hottest set of wheels. Bear in mind, the car loan EMI is first to be considered and there is a need to also consider the insurance premium, maintenance expenses, and fuel charges. So, there is a need to calculate the ownership of car as total cost. Set realistic budgets as it is the key to enjoy riding without stressing about your next payment of EMI or a fuel cost rise.
Low on maintenance
Receiving a good discount may seem to be lucrative and on getting your dream machine, you may have felt convinced that you have made a good deal. However, as this is your first experience of driving, there are chances that your car may receive along the way a few dents.
This means you must calculate the car brands after sales service offered before deciding to buy or own the car. There are popular brands and conveniently accessible service centers, so go with such a brand and also ensure the spare parts are easily available.
High resale value
Upgrading your car after few years, selling the old car and getting a new car with finance support may sound simple. Now what will be the resale value? You cannot now know the exact resale value, but you must go through and understand the resale value of brands before buying a car.
It is a given that you will upgrade your car after a few years and, in all probability, sell the old one to help finance the new purchase. What will be its resale value at that time? While there is no way to arrive at an exact figure, you can get a good estimate by studying the resale value of various brands.
The cars spare parts that are available easily are the cars that always have a good resale value. It will fetch a good value and so before zero in on the car of your choice; ensure to know its resalable value.
Petrol versus diesel
The first time buyers are always stuck with this option, petrol vs. diesel. The diesel cars were the right choice as they were low in cost and offered good mileage. It means recovering the premium in a period of 2-3 years is possible. Running cost is not a decisive factor anymore as the fuel prices gap is almost bridged keeping a small difference per liter. It means driving for 5-6 years a diesel car is required so that the extra cost is recovered, while the experts say driving a day less than 50 km means the petrol variant with low maintenance is the bright choice.
Use this useful guideline and choose your hottest wheels.