Friday , May 27 2022

Buying a new car is the worst financial decision


After a year, the car is worth 20-30 percent less, says Bach

This American writer, entrepreneur and stimulating speaker, known for the best seller of "Auto Millions", believes that buying a new car is "the worst financial decision we can do."

– – And encourage you to take up your new car of sales salons, it has already lost a significant share of its original value – explains BH on CNBC.

– – Already a year, your car is worth 20-30 percent less than the initial price, and within five years, the drop-in value is 60 per cent or more.

David Bach is of the opinion that this is the worst of all the most people lend money (take credit) to afford a new car.

– – Why would you lend money at all to get some property that loses up to 30 percent of its value almost immediately?

So, buyers who want to buy a new car, Bah, recommend that they choose a leasing vehicle between 2 and 3 years old. According to him, such a car is "almost as new" and you can buy it at a price that is 30 per cent lower. David Bach also advises customers to calculate their annual costs before buying a new car.

– – Do not just focus on monthly repayment costs (if you are buying a loan), but look at how much your car costs on an annual basis, including insurance, fuel costs, regular maintenance, and so on.

Ford Media

Bah further added that the accounting amount, which the owner must allocate for his vehicle for one year, is compared to his monthly income and asks himself to himself if a car is required They cost so much annually or can take it somewhat cheaper, maybe a bit older, but who's still in shape?

Despite all the debates David Bach has made, many buyers (mostly in standard countries) choose to acquire a new vehicle, which is ultimately good news for those who follow logic This financial guru and buying the one is after 2 -3 years as reserved acres.

In the comments that you can give your views on this topic. Would, if possible, prefer to buy a new or half-car car, which will bring you significant savings when buying a vehicle?

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