Try to sell newer cars when they have between 50,000-70,000km on the dial or are between 3 to 5 years of age. Cars depreciate between 15-25% of there value each year for the first 5 years. It's financially unviable to sell within the first 3 years of a new car purchase.
In retaining “like new” quality and inheriting a slower depreciation rate, the best used car age for buying is 2-3 years. In fact, Americans are saving up to $14,000 on a 3-year-old vehicle. For example, a car that may have cost you $30,000 when new would cost around $16,000 after just 3 years.
With the average length of car ownership at about 8 years, car owners should be mindful of ways to improve their car's longevity. Using the above tips, you can extend your car's lifespan and enjoy it for more miles on the road.
Preserving your car
To prevent trips to the mechanic from disrupting your cash flow, financial experts recommend maintaining an emergency fund equal to three to six months' worth of your regular car expenses.
The absolute best age to purchase a second-hand car is when it is between two and three years old. Two-year old cars have a full year left before they will need their first MOT, and are almost guaranteed to be in nearly-new condition, while three year old cars often sail through that first MOT without any issues.
30,000-40,000 miles: Most manufacturers' general warranties expire in that range, and the first major maintenance is usually due. Selling before reaching those benchmarks may get you the best price for your car.
While it's a good idea to consider the age of a vehicle and the number on its odometer, it's more important to look at how well the owner maintained the car. A 10-year-old car with 100,000 miles may have received more TLC than a five-year-old model with 50,000 miles.
New cars are so reliable that, on average, one could be expected to remain trouble free for years at a time. A five-year-old car may encounter a problem every three years. Even 10-year-old cars would only be expected to have a problem every 18 to 20 months on average.
If you're not looking to store your vehicle indefinitely, which involves different procedures and prep work, experts recommend vehicles be driven every two to three weeks.
Our survey found Aussies typically hold onto their cars for about six years before upgrading or switching models. Overall, the average cost of a new car will depend on a number of factors, including (but not limited to):
Driving Regularly Will Keep Your Vehicle In Good Shape
You'll want to drive your vehicle a couple of times each month and for at least 10 miles, with some speeds over 50 mph if possible. It's always smart to let your engine idle for at least ten minutes, allowing it to warm up before you fully get on the road.
Since cars are built better, stronger and of better quality materials, it makes sense they will last longer. Higher priced cars and higher interest rates means many will continue to keep their old cars. According to Kelley Blue Book, the estimated average price in 2019 for a light vehicle is a whopping $36,843!
This is because the majority of depreciation will occur over the first 8-10 years. It's at this point that your car would have dropped in value and is most likely to be the lowest in terms of how much its worth.
A car that is 7 years old however has already reached a much lower point. The difference of those 4 years, however, means that the reliability won't be what it could be, and you're rolling the dice year on year without knowing what you're looking at (although, that is always the case no matter what you're buying).
When buying a used car that's 10-years-old or older, your primary concerns are purchase price and reliability. Don't pay more than that 10-year-old car is worth. And, pick a car with a solid reputation for dependability. No car is really too old if you follow those rules.
Ideally, store your car in a climate-controlled facility. Fill the gas tank completely full. An empty or low gas tank will lead to internal rust as condensation and moisture builds within the tank.
Leaving a car unused for 3 months—or even 3 weeks—is not ideal. If possible, start your vehicle a couple of times per month when it is not being used. It's best to not only start the vehicle, but to also drive it for about 10 miles before putting it back in storage.
When you leave your car unused for long periods of time, the fluids in it aren't circulated through their systems often enough. This can cause the fluids to become coagulated or stale, resulting in damage or lowered effectiveness.
Whether you're shopping for a new car or a used one. New car prices are on the rise, breaking records monthly. Used car prices are starting to fall, and our experts tell us that both of those trends could be with us well into 2023.
To determine whether a car has reasonable mileage, you can simply multiply 12,000 by its age. That means good mileage for a car that's 5 years old is 60,000. Significantly more or fewer miles could indicate a problem or trouble in the future.
When you own a vehicle, it's often difficult to know when it's time to replace it. Many car owners make the mistake of assuming that they need to replace their vehicles every few years. The average age of a vehicle on the road is about 11 years, but most drivers keep a car for about six years.
Generally, the fewer kms a car has driven, the better. But a used car that has higher kms can be a great buy if it has been maintained properly and driven sensibly. Like people, cars need tune-ups and checkups to stay high performance.
In general, buying a higher mileage newer is better than buying an older car with less miles. The reason for this is simple: parts in a car, especially the rubber components deteriorate over time, regardless of mileage. It's entropy at work.
A car with fewer kilometers driven will generally last for a longer time before it requires major repairs. This means that you can enjoy a lower cost of ownership, and a more reliable car that won't require constant maintenance.