Category: Wax Capital

Pros And Cons In Buying A Used Car In “Cars For Sale”

The major benefit in buying used car is you save lot of money. Not all the people can afford to purchase a new car. And you save considerable amount on car insurance and other charges as well. Many are attracted to the scheme of buying used cars whenever they see the display notice of used cars for sale. Often we see in Sunday newspapers and magazines lot of sale is being done where you can buy even fresh cars which have not run 10,000 miles.

If you are well versed with the car and its make, model and running conditions then you can go ahead and make a deal. It has become a hobby for influential and rich persons to change their car frequently for sentimental reasons. Sometimes you can see brand new cars which have been bought just one year or two years back standing in the row for sale.

During the initial years you need not have to change the brakes or check the battery and the exhaust system of the car. The warranties for some branded cars may go up to 3 or 4 years depending on the model. Above all you need not spend for fresh insurance coverage since the owner had already taken one. You are more fortunate if the car has covered only less kilometers because some leading manufacturers give warranty up to 4 years or up to fifty thousand miles whichever is before. You have increased choices if you are read for used cars.

More vehicles are there with the dealers with lot of options in prices as well as accessories. Warranty can be transferred from the first owner to you with no added charges. So you have chance for improved reliability in buying used cars. You can select the right car with good model, great durability with availability of warranty since you can go for lot of choices.

It is even better to buy the used cars from known persons than going for ‘cars for sale’ options. The car will be definitely well handled by the first owner and you will also have added advantage of getting accessories also with the car you purchase. On the flip, the interest rates are higher for used cars than new cars, since it carries more risk. Another disadvantage is unless you are tech-savvy you cannot find out the condition of the car without using it. Sometimes even the car would have met with minor accident which is mostly not disclosed to the buyer.

Classic Cars of the Future – The Time To Buy Is Now!

Classic cars provide a unique investment opportunity for the long-term investor, but to really make the best of it, a bit of trend-watching can help increase the return on investment. It’s an old saying that everything in life goes in cycles, and it is no different with the classic car market, though the cycles may be longer than the average investor is expecting.

A Special Type of Investment

First though, one thing that makes buying old cars a unique investment opportunity is, these stand-out vehicles are eye-catching and fun to drive. Owning one is more than just owning a valuable car, it is – or can be – a statement, and often part of a fond memory of a time that has passed in one’s life.

Bought It Because You Loved It…

If purchased as part of a fond memory or because of a special affinity for a certain car, it may be hard to let go of when it’s time to turn it over for sale. This is not an ideal situation when buying these machines for investment value, but that doesn’t mean it doesn’t work. It just makes it a bit harder to let go, but at least owning it for a time is enjoyable.

Buying Purely as Investment

This is where trend-watching comes into play as a valuable tool for an investor. Classic cars are only going to increase in value as they become more and more scarce, but there are still going to be ups and downs in the prices. Adding seasonal trends and long-term trends to your understanding of this market will let you earn the highest return on your investment dollars.

Seasonal Trends

Watching seasonal trends will give you an idea of the best time to buy or sell for short-term investing, and it’s fairly basic. Warm weather means summer vacation, car shows, and road trips for many people, so warm months are when demand is the highest – and prices are highest then, too.

While there are always exceptions to every rule, you are most likely to get the lowest prices during cold months. So, typically, you would want to buy when it’s cold and unpleasant outside and sell when demand is high in summer months.

Long-Term Trends

Long-term trends are harder to identify when it comes to cars, but you can use a web tool, like Google Trends, or another analytic tool to use Internet searches as a guideline. If you set the tool to show searches for a specific type of classic car, for example, you can see if it is presenting as a downtrend, an uptrend, or if it has flatlined.

Nothing Is Written in Stone, but…

Ideally, if you see a downtrend of about fifteen or twenty years when you look at the long-term history for a specific type of vehicle, it should be due to begin an upward trend, so buying at a low point in the trend gives you the greatest likelihood of making a profit when you are ready to turn over your long-term investment in a piece of vintage iron.