06-21-2013, 10:20 PM
1st Gear Member
Join Date: Jul 2010
Should You Buy a Certified Pre-Owned Car?
Certified Pre-Owned or CPO cars might look expensive compared to other used cars, but there’s a reason for that; they’re inspected and checked to ensure that it’s a quality car. But if you’re looking to buy a new car, a CPO car will look like a bargain. |
Here’s how a CPO offer compares to either a new car or a used car.
CPO vs. New:
Hyundai-WarrantyNew cars have a ton of intangible benefits. They always have that spiffy new car smell, and the wonderful feeling of it arriving to you with no miles on the clock. Furthermore a new car warranty is pretty solid, and covers the car pretty nicely for at least three years. You also have the peace of mind that the car is brand new, and hasn’t been abused or mistreated prior to you buying it. Unfortunately, all that convenience and peace of mind comes at a price, not to mention the depreciation hit that occurs as soon as you drive the car off the lot. Some new car buyers can see a 40 percent drop in value off their car during the first three years of ownership.
InspectionA CPO car compares favorably to buying a new car, and comes without that huge depreciation hit. Just like a new car, a CPO car is bought from a dealer, and gets a pre-delivery inspection. However, while a new car’s inspection is pretty minor, involving unwrapping and unpacking the car, a CPO car is inspected more thoroughly. Of course it needs to be, since it was owned by someone else, and has already driven some miles.
A CPO car also gets a decent warranty, although not as long lasting as a new-car warranty. This is because as an older car, there are more parts that are wearing out, and it would be tough to guarantee the lifespan of these components. While CPO warranties differ from manufacturer to manufacturer, few automakers offer more coverage than two years or 50,000 miles after the CPO purchase date, meaning there’s still a decent amount of coverage, just not as much as a brand new car. The vehicles’ original powertrain warranty can also get an extension, depending on the certification process.
Overall, those looking to trade some warranty coverage for some extra money should consider getting a CPO over a new car. It might not be as fresh, but the extra change in your pocket is much appreciated, and there’s still some warranty coverage in case something goes wrong.
Read the complete story on If You Should Buy a Certified Pre-Owned Car
Plus, see Certified Pre-Owned Programs Compared
here Certified Pre-Owned Programs Explained What is a Certified Pre-Owned Car