Why do cars depreciate over time?

Why do cars devalue over time?

Like any other gadgets and things that we own, except lands, cars also depreciate in value. We don'twant these valuable things we own in life to depreciate but the truth is they also turn into old versions of the newer ones which really hurts to accept as everybody understands the concept of constant change.

The thing is, depreciation per se isn't at all negative as it gives new hope for people who also aspire to own cars, but older models, in which they can have it for a more affordable price.

Generally, the moment a car gets used up the less value it acquires. But for many owners their love for cars will never be less because it always grows through time and time... It's a relationship that they build and raise for a long period... Car owners for more than 5 to 10 years really understand this concept.

But why do people still continue to own cars despite the fact that it will only get depreciated? It's simply because they can still do something about the depreciation of their cars. Yes, it's impossible to stop it but with some factors considered, you can reduce the impact of a car's value depreciating over time.

Cars that are well-maintained hold their value better, include the regular services that it takes and it will certainly promise you a good price in the future, depreciated but still better than the standards.

Don't forget the most popular line that people say about cars... "The lesser mileage the car has, the less it tends to devalue", meaning it's good for both the seller, because he/she can still raise the price, and the buyer, because it means the car will not give him/her much headache for maintenance fees.

Therefore... A car depreciates its' value for about thirty to forty percent after a year of owning it. Then, it goes on for the succeeding years losing ten percent per annum. Depending on how well you maintain it, you could still offer up to sixty to seventy percent of its' original value in 3 to 4 years time.

So how would you take your car's depreciation???

We'll leave the decision to you whether it's wiser to keep your car and maintain it well or replace it with a new one.

If you're thinking that avoiding your car's depreciation will save some money for you, talk to us... at autosupply.ph, we'll be happy to help you compute the value of your car right now and we can even offer you good prices if in case you decide to sell it, just in case.