Making The Most Of A Depreciating Asset
Once the sale is made and the car keys are transferred from the car salesman to its registered owner the brand new cars value starts to decline steeply. Even before you drive your new car out of the showroom and onto the asphalt your car immediately loses its value even if you add exquisite camel skin dashboard covers to your new purchase.
According to the American Automobile Association AAA a sedan that drives for about 15000 miles yearly depreciates by 3392 annually which amounts to 60 of the total costs of its usage. At best a car will be worth as much as 35 of its original price after five years or 60 months. So how does one lessen the impact of depreciation on a very fastdepreciating asset?
While customization and adding some personal color to the car seems to be the trend nowadays it is just not the best move if you want to get a high resale value and low depreciation rate. Color is a definitive factor. Vehicles with neutral colors such as red silver white and black will have more chances of getting resold at a higher price than those with custom paint jobs and customized interiors. Neutral colors are more likely to remain popular than those with flashy decals and accessories so its best to stick to neutral car floor mats as well.
Keeping your car wellmaintained also helps in slowing down the cars depreciation. Welloiled engines waxed frames and clean interiors floor matting and seat covers can do a lot to make the most out of any car. Also having a mechanic routinely check your vehicles major parts can help spot any defects at an early phase which could help save you dollars in major repair costs in the long run.
While certain car accessories may not help increase the cars resale value installing personalized yet neutral and useful accessories such as GPS speakers car floor mats and auxiliary jacks may help in keeping the depreciation rate at a minimum.
Keeping your cars exterior clean and waxing it frequently will help to condition the cars exterior thus lessening the cars depreciating value. Washing your car regularly can also help you spot minor dents and scratches which most can be easily corrected thus saving you money before these defects become too great thus adversely affecting the resale value of your car.
One thing every car owner must understand is that no matter how reputable the maker of their car is or how well they maintain their vehicle they will still depreciate some even more than others. A cars depreciation can be counterbalanced by following the simple tips mentioned above. Furthermore performing routine maintenance every couple months or so a wash every week and a regular dusting of the interiors can make anyone get the best out of their automobile.
About the writer: Dan Bodrero has owned and operated his own store manufacturing and selling seatcovers and dashboard mats for nearly every make and model of car truck or SUV. Dan takes pride in the quality of his workmanship. Each custom made seat cover is hand crafted from quality materials and is guaranteed to protect your automobile and fit securely and snugly.
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