Have you decided to buy a truck for your business? You have to choose from different models and designs. The dilemma comes in when you have to decide whether buying a new truck is better than purchasing a used one. This is a critical decision that you have to make since it will have a significant effect on your finances. You can make the right call by focusing on the merits and demerits of each option.
A new truck comes with a warranty that covers some repairs for a few years. This means that when you purchase a new truck, you don’t incur a lot of expenses in repairs since manufacturers cover them. You only need to focus on properly maintaining the truck to avoid damage. You can also get reasonable interest rates from a dealer when taking up a loan to purchase a new truck. This means that you can easily settle your loan plus interest within a few years as you use the truck to boost productivity.
New trucks also come with advanced technology, which you may find useful depending on your needs. You can easily find a truck with good gas mileage as well as low emissions. Though these make new trucks quite attractive, you still need a lot of cash to purchase one. New trucks are expensive, and they depreciate with time. When you buy a new truck, you lose money that you cannot recover. If you are struggling with finances, buying a new truck does not make sense due to the depreciation rate.
Buying a used truck, on the other hand, comes with a lot of benefits. For instance, it is easy for you to get good financing options for your truck. A lot of credit unions and local banks are willing to give truck buyers significant loans. In this case, you don’t lose your money on depreciation since the truck is not new. It is also easy for you to save up enough funds for a used truck and pay for it in cash since they are cheaper compared to new ones. The insurance rates for a used truck are lower compared to those of new ones.
Used trucks also come with more durable designs as opposed to new ones. You may get a used one that has steel components that are more durable than new trucks which come with a lot of aluminum components. Though you may not get advanced features in an old model, durability is key when you need it for heavy duty applications.
You can even sell the truck at almost the same amount as you bought it after a few years. You should, however, have enough for more repairs since it may not be in the best condition. Don’t forget to check for wear and tear before purchase. If you choose this option, you should have a lot of patience and be flexible during the hunt. Consider buying the truck online so that you can compare the different models available.