One thing to keep in mind is that new cars experience immediate depreciation. Unless you’re buying a very rare sports car, expect your vehicle to lose about 20% of its value in the first 12 months. Each year thereafter, it could drop another 10%, so be sure to take that into account before you trade.
Here are some other important factors when thinking about replacing your car:
Major Changes to Models
Most models receive substantial changes every six years, with cosmetic touch-ups and minor upgrades every two or three years. If you want your money’s worth, research the models you’re interested in to see if they’re due for a major overhaul. In that case, you could find some tempting offers as owners and dealers prepare to renew their fleet.
Certain times of the year are conducive to better deals for certain types of cars. Read Kijiji Autos guide to the best time to buy a car .
More maintenance
Cars are now more reliable than ever, but they aren’t glitch-proof. After a few years, you might notice that visits to the mechanic become more frequent. Especially once the warranty has expired. Even the most diligent preventative maintenance cannot prevent general deterioration, especially in Canada’s extreme weather conditions.
So, is it better to repair or buy a new vehicle? It all boils down to a simple formula: if the annual maintenance costs plus depreciation of your current car exceed the likely depreciation of a new car, it’s time for a switch.
A quick tip: keep the documents and keep the maintenance record of your vehicle up to date, as it helps to increase its value.
If you had an accident
Accidents do happen. If your current car has been in an accident and repairs have not been made by a certified expert, it may no longer be safe for you and your family. A damaged vehicle is not only dangerous in the event of another collision, but can also see its fuel efficiency, performance and handling decline.
For any collision causing more serious than superficial damage, it is better to err on the side of caution. Consider switching to a Certified Pre-Owned vehicle, as they must pass rigorous testing.
Evolution of your life
This is an important question. Be honest with yourself: does your current car meet your needs? A two-door convertible isn’t exactly ideal if you now have a baby in your family. In that case, explore the family car section on Kijiji Autos , which offers you hundreds of kid-friendly vehicles.
On the other hand, maybe the kids have now grown up and left the nest entirely. That minivan in the driveway could be swapped out for something smaller and more economical, maybe even an electric or hybrid option .
But still, why not close the circle and go back to a convertible? You can dig into the convertible category on Kijiji Autos to find the right one for you.
Whatever your reasons, you’ll want to make the most of your old car’s earning potential. If you’re sure you want to get rid of it, read our guide on how to negotiate the sale of your used car .
