With the cost of living in a North American city on the rise each and every year, it’s becoming a challenge for families to make a comfortable living. With rising property taxes, and the cost of many public services skyrocketing, every mom on the go needs to think a little more carefully about how to stretch every cent. City living is fantastic; in fact, the added cultural attractions and activities for the kids makes urban living perfect for raising an active, engaged child in 2017. The challenge is how to make each dollar count without sacrificing everything a modern metropolis has to offer — and the answer might surprise you. While it might seem counterintuitive at first, many urban moms are looking to inexpensive used cars as a solution to the quandary. Below you’ll find several reasons why so many families are investing in pre-owned cars — especially in urban locales.
Important Activities Aren’t Always Near By
Many urban families enjoy the many vibrant cultural and educational activities on offer in a contemporary city, but many of them are not conveniently located near public transit hubs. Whether you sign your child up for soccer or floor hockey, or whether you enroll them in a fun after school program or summer camp experience, not everything is going to be within walking distance or even near a public transit stop — especially if you live (like most of us) in a city without a subway or light rail alternative. Having a car means that you can go from work to your child’s school to the arena and to the grocery store quickly, without the time sink of transit. And if you want to enjoy a summer festival or concert with friends, good luck getting there by transit. Many stages require open space at the city perimeter to operate, making a car a handy conveyance.
A Car Is An Investment
Owning a car (as opposed to spending money on cabs, Uber, or an in-city car rental service) is an investment. Your car isn’t just a vehicle — it’s property, and that means it can be used as collateral when making mutual fund or stock market investments, and when seeking a loan or buying a home. Plus, in a pinch you can sell the vehicle and recoup a significant portion of the money you spent. Owning a car (as opposed to leasing or relying on car share programs) means that you have the convenience of driving around the city with the added benefit of being able to liquidate if necessary.
Vehicle History Reports Are An Urban Mom’s Best Friend
A vehicle history report is absolutely essential when buying that affordable pre-owned BMW midsize at the dealership or that budget-friendly used Chevrolet Malibu online as it allows you to obtain a substantial amount of past information on a used vehicle. The most popular vehicle history report providers can provide a number of important details at a very low cost. Highlights of these details include:
• Mileage validation
• Previous registration status (fleet, taxi, personal, lease, and so on)
• Accident, flood, repair history
• Number of previous owners
While a vehicle history report won’t identify every problem, it will certainly provide any red flags so that you don’t make a purchase you’ll regret.
Pre-Owned Cars Do Not Have A Pre-Depreciation Markup
Of course, the smartest urban consumers are looking at pre-owned cars, as they save you even more money right off the top. After three years, Consumer Reports says your new car will be worth only 54 percent of what you initially paid for it, on average, so consumers can save thousands of dollars by purchasing a pre-owned car. After three years, Consumer Reports says your new car will be worth just 54 percent of what you paid for it, on average.In fact, the typical consumer will spend $13,500 less by choosing the average used car instead of the average new car. The reason for this is simply: new cars depreciate with incredible speed, from the moment you drive one off the lot.
When you’re planning your budget this year to make room for that family trip or that timeshare cottage up North, remember that urban living doesn’t have to be outrageously expensive or an absolute time sink. Keep the above tips in mind and watch your savings grow!