In past years, used cars have been constantly competing in the new market. According to Statistics Canada, for retail sales by industry from 2009 to 2013, there was an 8% increase in revenue for used car dealers in Canada.
However, there are still myths clouding people’s judgement about used vehicles. The statistics speak for themselves; when you get a used car, it has already lost 20-40% of its value. Depreciation varies depending on the model of the vehicle, but it would be a shame to miss a good opportunity.
A used American car is not any less reliable
American cars dominate the Canadian market for light vehicles. The major brands are Chrysler, Ford and GM. Some brands depreciate faster than others on the market, but this fact is not just for American cars, like the popular perception would suggest. The reliability of a brand is based on its models, and there are models that are more conducive to failure than others.
In one of the latest reports on the quality of vehicles, GM has a very good brand score. Unfortunately the same cannot be said for Ford. A 2013 study conducted by J. D Power on new cars in the United States ranks GM in second, Chevrolet, which is affiliated to GM, in fifth, while Ford comes far behind in the twenty-seventh rank. The four car brands affiliated to GM displayed an average score of 98 which is above the average score of the industry – usually of 113. This score is measured on the number of problems found on 100 vehicles over three months of use.
Tip from a pro: generally, basic luxury cars are the best buy because they have lower depreciation.
Cars are still in good condition after 150 000 km
Nowadays, this is a basic standard for many vehicles. More and more vehicles perform well over a longer period of time. However, it is important to differentiate between failures caused by an accident compared to general wear and tear. Besides reliability, automobiles are not immune to the wearing out of pieces that will lead to the deterioration of the vehicle.
Tip from a pro: When buying a used car, look at two important factors: the year of the vehicle and mileage.
A great opportunity does not rhyme with a hidden defect
It is recommended to use the services of an inspector to certify the quality of the used vehicle. A quality inspection report can cost from $100 to $150 and allows you to identify hidden defects. The inspector will target with reliability all repairs to the vehicle. If you do not know an inspector, you can make an appointment at a CAA inspection center.
In addition, this report and vehicle history will enlighten you as to the reliability of the vehicle.
Tip from a pro: There are certainly good opportunities out there, but you need to find them!
This article was not written by editorial staff, but by HGregoire, a Car Guide partner.
Visting one of HGrégoire's virtual walk-ins to view all available used cars. The benefits of doing business with this dealer are its used car warranties and inspections. Or, go to one of its megacenters, which offer flexibility and a wide range of vehicles.