Is post-lockdown the perfect time to buy a car?
The automotive industry was far from the only sector to suffer at the hands of the COVID-19 pandemic but it is one of the sectors that suffered the most profoundly. Manufacturers and car salespeople around the world were met with an almost complete collapse in sales.
No matter where in the world you live, the pandemic has come to disturb many aspects of our lives but many saw this as the perfect time to buy a car. A car is a physical investment that also allows people to travel to their family and allows for greater flexibility when it comes to employment. There’s also the simple fact that so many people who might have previously used public transport on their daily commute will now be looking at investing in a car for their own safety.
But how do you maximize your new post-lockdown investment? Which cars are cheaper to maintain in the long run or cheapest to insure and why?
Which cars are cheaper in the long run?
In the last few years, the market for short term leasing has grown but particularly now, most motorists see it as a long game. The average car owner will hold onto their car for around seven years and a lot of the time, that cost is spread over a number of years. But if you can look beyond the sticker price, there are other considerations that have an impact on the car’s overall value.
The first is the warranty, which will vary depending on the supplier and the age and condition of the car. RAC warranty supplied by ALA is the perfect option for anyone considering a used car, as the cost of repairs and breakdown are covered completely. There’s also depreciation in value to consider, as well as fuel economy and insurance.
It would be incredibly complicated to go through all the facts and figures yourself but thankfully, the Kelley Blue Book exists to offer detailed breakdowns of one term ownership costs. The manufacturers with the best long term value were found to be Toyota and Subaru, but with COVID-19 throwing a spanner in the works, it’s anyone’s game now!
Which cars are cheaper to insure?
Generally speaking, the more affordable a car is; the lower the insurance cost will be. This is because higher-end cars cost more to fix, particularly sports cars that are notorious for being driven more aggressively.
If you’re going for a car that’s going to give you value for money on the insurance as well as the initial cost, don’t go for the blazing fast Mercedes. Stick with the more subtle family cars that are not as likely to be involved in a high-speed crash. Because living for the long term means always thinking a few steps ahead and planning for every eventuality.