Car buyers can cut depreciation by bagging a bargain

04 October 2006
One of the most expensive aspects of purchasing a new car is the depreciation of value over the first few years of ownership but savvy car buyers can combat this by looking out for bargains.

Price comparison website Moneysupermarket.com claims that by looking at cars to buy over the internet and through other cheaper alternatives than a dealership, consumers can effectively cut depreciation in the first year by as much as £3,000.

The list price of a Fiat Punto Hatchback 1.2 Grande Active, one of the internet site's most popular models, is £7,989 while the car itself can be bought for just £5,399 by shopping around, a saving of over £2,500.

"Our research shows buying a car online is a shrewd move," confirms John Sexton, head of cars at the internet site.

"Not only will consumers save time and effort by not having to traipse around a number of car showrooms battling salesmen for a bargain, they will also benefit by literally thousands of pounds through shopping around at home on the internet.

Mr Sexton also agreed that depreciation and loss of value in the early years of owning a vehicle was one of the "worst aspects of buying a car", but agreed that a shrewd purchase could go some way to lessening the blow.

"Buying wisely can reduce your loss [through depreciation] drastically if you decide to sell the vehicle at the end of the first year – a pretty good result, and a sound way to buy."

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