Used Cars Colorado Springs Excellent and Poor Credit
Do you have good credit? Are you looking to buy new automobiles? You must be thinking that consumers with a good credit record would be buying automobiles straight from the showroom. But the reality is different. Now many consumers prefer to buy used cars instead of considering the new ones. According to the new data, customers with excellent and poor credit are looking forward to buying used cars in Colorado Springs over the new ones.
As the latest report from Experian, automotive car buyers with excellent credit are taking loans for the used cars. The number is increasing. The major noticeable difference is that many of the customers have excellent credit and they can easily get a loan for a new car. But instead of taking a loan for the new vehicle, they are considering the used cars. According to Melinda Zabritski, senior director of automotive finance for Experian, this has become a trend. Now more customers are opting for the used cars with excellent credit. Only in the second quarter of the year, more than 43.3 percent of the customers wanted to buy used cars with the highest credit ratings. This is ten percent more than the last year. Moreover, 59.9 % of the customers with the prime credit records wanted to buy vehicles that include car, SUV, and trucks in the second quarter year, also went for the same option. They preferred used vehicles over the new ones. This is a 6.6 percent increase in comparison to last year, at the same time.
Why customers with excelent credit are showing more interest in the used cars in Colorado Springs
Now the question becomes, why the consumers with the excellent credit record are turning to used cars instead of brand new cars. The reason might be that you will have to spend much more for the new vehicles. The new vehicle prices have reached new heights with an average transaction price of $34,000. This high price has motivated the consumers to buy the used cars in Colorado Springs instead of the new ones. The average vehicle loan for used cars and vehicle types, was above $10,000. As the vehicle’s prices are increasing rapidly, consumers are looking to a safe option to control the price and get as close to the same benefits as possible. With used cars, they will not have to compromise much. This thinking is pushing them to go for the used cars. This trend is becoming more popular. According to Experian, used vehicles cover 55.6 percent of all the auto loans in the second quarter. This is certainly a new record. The number might increase in the years to come as more consumers are showing interest in Used Cars in Colorado Springs.
Buying a Used Car in Colorado Springs Saves Money
If you buy a used car, you will have lower monthly payments in comparison to new vehicles. For example, a consumer will have to make an average monthly payment of $499 for a new car that is 16 percent more in comparison to the second quarter of the last year. At the same time, you will have to make an average monthly pay of $404 for the used cars. There was also an increase in thirty to sixty-day delinquencies on auto loans that make it difficult for the consumers to clear the timely payments.
These are some of the major reasons that inspire the consumers with excellent credit to go for used vehicles instead of new ones. The prices of new vehicles are increasing and if you want to buy a new vehicle you will have to restrict your options, unless you’re willing to shell out the extra cash each month. But with that amount of the money, you can buy nearly any used car in Colorado Springs of your choice. You will not have to limit your options as much. More car for the money.
If you buy a new car, your monthly payment will be much higher and could affect your budget for other expenditures. With the used cars, you can get your preferred model, lower payments, and short term loans. All of these important factors make used cars and vehicles increasingly popular for auto buyers with both excellent and poor credit.