Published: November 2022

When you own a car, no matter how or why, there is one immutable fact, the car loses value as soon as you buy it.

There are many reasons for this, such as wear and tear due to age and repairs due to accidents, but whatever the reason, depreciation is inevitable. But if care is taken, it can be slowed down.

Toyota and Honda, for example, generally lose less value because they are known for their reliability and fuel efficiency and are more in demand on the used market than other brands.

Therefore, the used car market is the strongest and most reliable market for determining the value of a vehicle because, as they say, “the market decides.” If the demand for a car is low for any reason (poor fuel economy, mechanical unreliability, or announcement of a manufacturer recall), it is logical that the initial dollar value will decline, whether in the private or commercial market, and the trade-in value at a dealership will plummet. Before buying a car, do some research and make sure it has all the above-mentioned features that many buyers like.

Rising gasoline prices, for example, have made once popular models relatively unpopular, and their value has plummeted on the secondary market. SUVs also had a lower value three years ago, but when gasoline prices rose, prices fell and used SUVs can now be purchased for much less.

What is certain is that the demand for used cars in general is increasing. With the economic crisis, more and more people are continuing to drive their old cars instead of buying new ones, and when it is time to replace them, more and more people are buying cheaper used cars.

In the United States, most people cannot live without a car, so whether or not to buy a new car depends on the strength of the economy.