Which Car is the Best Investment for Me?
You just stepped onto the car dealership lot to purchase a brand new car. There’s a sea of vehicles that line every nook and cranny. A voice rings in the back of your head telling you to find something with “great cargo room,” but there’s a contradicting thought telling you to “find something with great fuel economy.” The pressure is only amplified when you remember the car will depreciate the moment you drive it off the lot.
There’s too much advice, tips, and tricks to buying a car. At the end of the day, all you want is to make the best vehicle investment for yourself.
Instant depreciation is a real effect. This is part of the reason why cars are the worst investment you can make, next to not taking online traffic school after getting a ticket, – especially newer, expensive models. Chances are, you’ll never make the money back.
That doesn’t mean you can’t make a great car investment, there are many great SUV lease deals. In fact, there’s plenty of ways you can do just that. Purchasing a vehicle that’s right for you is a great start. But, if you’re looking to make money on your purchase, there’s some makes and models that could appreciate over time. If you find value in your car and it meets your needs, you can’t go wrong with the investment.
Classic Model Cars That Appreciate
Where did the idea of a fast depreciating car even come from? Economist? What do they know? Some cars will appreciate over time. When they do, you can literally get some return earnings on your vehicle investment. If you buy right and wait, your car can accrue a higher value if the conditions are right. It could seem like a gamble, but if you know what you’re doing, you could make some good money.
You must consider the demand and scarcity of the car, if you want to earn a return on your investment. Purchasing a high end luxury car could peak interest with some people, but if the car is readily available, there won’t be a need for anyone to purchase it at a higher price. Using demand and scarcity in your favor, you can leverage a higher price sale from when you purchased the model.
Take the Lamborghini Diablo, for example. This vehicle is an older model that is scarce to find. Among some collectors, it can be in high demand. Purchasing the Lamborghini when they were first released would have cost you some hefty money. However, sitting on this investment for the next 20 years would have caused the price to appreciate. In other words, it will be worth more by the time you sell it. The reason is being: the demand for the vehicle increases with the decrease in available models.
This will be a literal good investment when buying a vehicle. However, if you’re wanting to use this car for everyday use, it might not be a smart purchase.
Specialty Vehicles for Your Needs
If you’re not trying to be some eccentric car collector who makes a living selling their collection of appreciating cars, then you’ll define a “good investment” by the functionality of the car. Instead of a monetary return, you’ll receive a utilitarian return.
So, ask yourself, “what are my car owner needs?”
Those who spend most of their time in their car driving from one place to another will find the best investment for their vehicle is one with a great fuel economy. Part of the reason why most cars depreciate over time is because of the added costs that go into them – such as gas.
When your investment needs upkeep, you’ll be losing more money then you’ll make. That’s why a fuel economic vehicle can take a dent out of those upkeep prices – especially if you’re a busy commuter. You’ll find the most value from a Toyota Prius or Camry, a Honda Civic, Chevrolet Volt, or Ford Fusion.
Plenty of legroom is always a must for families. When you need to fit upwards to 4 or 5 people in a vehicle, you can’t afford to purchase a small coup. This is more important if you plan on taking family road trips. Purchasing an SUV model will help you fit the entire family and then some. Honda CRV, Toyota Highlander, Ford Explorer, and the GMC Terrain are all models that will provide a safe trip with much needed legroom.
Tough work might require you to go off the road and have a desire to hold a bunch of stuff in your car. For those off roaders and stuff holders, any built tough vehicle will be a great pick for you. Jeep Wranglers, Ford F-150s, Chevrolet Colorados, or the RAM Rebels are heavy duty trucks that can take a beating and lift a ton.