Depreciation - save now, pay later - Depreciation
Unfashionable models are nearly always cheaper to buy new, some because they’re priced low to start with; others because dealers are prepared to offer big discounts. Whatever the reason, you can virtually guarantee they will be worth less than a desirable model when you come to sell.
Take the Audi A3 Sportback 2.0 TDI 140 Start/Stop Sport and Peugeot 308 2.0 HDi 140 Sport 5dr small family cars, for example. As you might expect, the A3 has a higher brochure price than the 308, and that price difference grows to a whopping £2544 once you’ve haggled your way to the What Car? Target Price, which is the realistic discount you should be able to achieve.
Sell the cars in three years, though, and it’s the Audi buyer who’ll be happier, because the A3 will still be worth a healthy £9900, while the Peugeot will recoup just £6750. That difference makes the extra purchase cost of the A3 less significant.
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