Certified Pre-Owned Vs Used Cars

Used cars refer to vehicles with at least one previous owner, and their pricing generally depends on their condition and model year. They may be out of warranty, depending on their age and mileage. If a used car is well maintained, you may experience minimal repairs and maintenance costs after you purchase it.

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A certified pre-owned vehicle is a manufacturer-approved used vehicle you can purchase at a car dealership of the same brand. Certified pre-owned cars come with manufacturer warranties, unlike used cars. They have minimal mileage and are a few years old. Since these vehicles undergo multi-point quality assurance inspections and repairs to meet manufacturer standards, they are also highly reliable. To help you make an informed decision on whether to purchase a certified pre-owned car or a used one, we highlight the advantages and disadvantages of each below. If you’re looking for a used or pre-owned car, call Performance CJDR at (937) 434-9500.

Advantages of Used Cars

pre-owned vs used cars in dayton, oh

Image via Flickr by ToolMan Tim Taylor

Here are some of the main advantages of buying a used car:

Reduced Price and Depreciation

Typically, a used car boasts a lower price tag than a new or certified pre-owned one. If you don’t have the funds to purchase a new or certified ride in Dayton, then a used car is an ideal option for you. New vehicles also undergo depreciation in their early years after purchase, so you can’t sell or trade them in for anything near the original price. A used car doesn’t depreciate as quickly as a new ride, so if you decide to resell it soon after buying, you might get back close to what you paid for it.

Lower Registration Costs and Taxes

In many areas, including Centerville, OH, older vehicles cost less to register than new ones. If you live in an area where the age of your vehicle determines the taxes on it, you can also save money by having an older car.

Affordable Insurance Premiums

Since insurance costs depend on the value of your car, a newer car will typically cost more to insure due to its higher value. You may have to have full insurance coverage when purchasing or leasing a new vehicle. With a used car, you can sometimes opt out of comprehensive or collision coverage with your insurance provider, thereby saving money on your monthly premium.

More Options to Choose From

When you buy a used vehicle, you get to choose from an array of options from several model years, unlike purchasing a new car with a limited choice of options. With more options, you may be more likely to find a car that fits your budgets, needs, and style.

Disadvantages of Used Vehicles

Used cars come with various disadvantages, which are:

Higher Financing Rate

Dealerships can find it difficult to predict the value of a used car when you trade it in after some years. If you opt for a financing option at the dealership, you can pay relatively high interest rates for the used car as a result.

Greater Underlying Risks

Since used vehicles undergo minimal inspection when trading in or selling them to dealerships, you may not know any underlying issues that a used car comes with after buying it. You can hire an auto technician to inspect a used vehicle to avoid hefty repair and maintenance costs later.

No Warranty Coverage

Some used cars have an expired manufacturer’s warranty coverage when sold to dealerships. It means that you have to incur the repair and maintenance costs when you buy it. Depending on the car’s issues, repairs can be expensive.

Advantages of Certified Pre-Owned Vehicles

2 ram trucks in dayton, oh

Image via Flickr by truckhardware

If you want a quality-assured used vehicle in Centerville, then you can consider buying a certified pre-owned car. These vehicles offer you peace of mind since you can do a background check on their accident history, status, mileage, and ownership. Other advantages of certified pre-owned vehicles include:

Manufacturer Warranty Coverage

Unlike a used car, a certified pre-owned vehicle boasts manufacturer warranty coverage. You can schedule maintenance and repair services at your CJDR dealership for free if you experience any issues. For example, Performance CJDR’s Maximum Care Warranty covers 3,000 miles or three months, while our Powertrain Limited Warranty covers seven years or 100,000 miles.

Multi-Point Manufacturer Inspection

You can be assured of no hidden costs when you purchase a certified pre-owned vehicle because it has undergone scrutiny from the manufacturer before it’s approved for sale. The dealer also performs any necessary repairs on the vehicle’s parts, and you can be confident that they solved most problems before you buy it, unlike a used car.

Minimal Mileage

The majority of certified pre-owned vehicles have relatively lower mileage than used cars because many manufacturers have a mileage limit before certification. For instance, Jeeps have a 75,000 mileage limit and they should not exceed five years old. Therefore, they can have less wear on their parts and have an extended service life which gives you value for your money when you purchase one.

Disadvantages of a Certified Pre-Owned Vehicle

Certified pre-owned vehicles have disadvantages, which include:

Fewer Options to Choose From

If you want to purchase a certified pre-owned vehicle, you can have limited options to choose from at a dealership. This is because certified pre-owned cars need to meet manufacturer-set standards. Usually, fewer used vehicles match the automaker’s specifications of low mileage and other conditions, so you’ll often limited options available at a dealership.

Relatively High Prices

Certified pre-owned vehicles can be pricier than used vehicles because car dealerships want them to be in excellent condition and meet the automaker’s quality-assurance standards. Dealerships can also pay fees to be part of the automaker’s certified pre-owned programs, which increases production costs. Inspection and fixing any repairs may also be costly for the automaker or dealerships.

Get Your Certified Pre-Owned or Used Vehicle From Us

Located in Centerville, Ohio, Performance Chrysler Jeep Dodge Ram has many certified pre-owned and used vehicles to suit your needs and preferences. Contact or visit us today to have a test drive with any model of your choice. We also provide financing services to assist you to purchase or lease your used or certified pre-owned vehicle.

Posted in Used Cars