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Reading, PA 19607

Kaufman Financial Services

(610) 775-1490


The Dilemma… Buy a New or Used Car? Part 3

| October 15, 2012

So now that you’ve thought about your budget and the price of the car that will fit nicely in your garage and your finances, let’s move onto a new topic: the add-ons, A.K.A. gadgets, A.K.A. gizmos.

 I’m not even going to attempt to tell anyone what add-ons they should or should not get on their next car. That would be ludicrous. However, I can still give you an idea of what the financial outcome could be to adding features to your car, whether it’s new or used.

 Of course everyone wants to buy a nice car with nice features that make life as comfortable and convenient as possible while traveling in their vehicle. However, these nice comforts and conveniences cost money. Some features retain or even add value to a car while others can lower the value of a car. The main question to ask when you consider an add-on is, will this increase or decrease the future marketability of my car when I try to sell it/ trade it in?

 You could spend a lot of money customizing your car. When you try to sell it in the future, depending on what you did to your car, you can expect to receive a fraction of that money back. Add-ons that can add value or at least retain their value are items such as leather interiors, factory-installed sunroofs, and certain premium wheels and rims ( Add-ons that tend to lower the value of your car are items such as inappropriate-sized wheels and rims, overpowered stereos, loud exhausts, aftermarket super/ turbochargers, and modifying suspensions, among other things (

 Moreover, keep in mind certain regional considerations. If you live in a northern region, add-ons such as heated seats, heated windshields, or heated mirrors may actually add or retain value. In addition, the comforts and conveniences usually run far and deep with luxury cars so add-ons to a luxury car may gain value whereas the same add-ons to an economy vehicle may lose value.

 Overall, just keep the marketability of your car in mind when you make the decision of adding a feature or two. Whether your car is new or used, if you customize your car too much, that can have a negative impact on its future marketability. Next up, we’ll cover the financing issues to consider when purchasing a car and finish up with a Dougpinion.

 I’ll leave you with a few ideas of add-ons you probably shouldn’t put on your vehicle : ) :


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*I work as a financial planner, not a car salesman. Therefore, I cannot answer specific questions about certain make or models of cars. I am simply a financial advisor.


-Douglas Kaufman

     Financial Executive, Member FPA

     Kaufman Financial Services


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