The 6 Benefits of Buying Second-Hand Trucks
Second-hand trucks are often a much better option than going brand new. Get your value for money by considering these factors
If you’ve decided to buy a truck, you’ll see many options before you. There are a number of things to consider, from truck finance and mileage to size and space. Choosing an ideal truck is not easy and it’s important to ensure you make an informed decision.
One option would be buying a brand-new truck. This will likely feel like a safe and sensible choice. Without a doubt, there are many benefits to going down this route.
However, you shouldn’t ignore the possibility of buying second-hand. Sure, there are more risks involved but there are also many hidden benefits to buying a second-hand truck.
You can find excellent deals out there. In fact, a second-hand purchase doesn’t have to equate to a poor vehicle condition.
First and foremost, the second-hand option is always cheaper. And a brand-new vehicle might not be something you really need.
You might need a delivery vehicle for your company, and this is not something that makes having a new truck necessary. You may need it for the loading space, which older models have more of.
Some newer models also come with features you don’t really need. These innovations, which you won’t have any use for, up the cost of a brand new vehicle. Instead of saving, you end up wasting a chunk of money.
There are many benefits to going second-hand with your truck purchase, whether you’re looking for a tow truck or a steel tray model. Here are 6 of the top benefits.
The Benefits
1. Lower Selling Price
Let’s start off with the most obvious advantage of going second-hand. Of course, we’re talking about the price tag.
Buyers are generally reluctant to buy second-hand vehicles, unless there’s a compelling reason to do so. And there’s nothing more compelling than paying a lower price.
This definitely applies to trucks as well. The average price of a new truck is about $150,000 in Australia. The price of a used truck can be as low as $50,000.
The difference, as you can see, is very significant. Granted, you may not find a $150,000 truck used for $50,000 but having the option to pay the latter amount is still pretty amazing.
Therefore, you could find a top-selling model like the Isuzu FVZ 260-300 6×4 or the Hino 500 series at a great price if you go second-hand.
2. The Truck Has Already Gone Through its Main Period of Depreciation
Brand-new trucks take a hit in value right away.
For example, the moment you drive off your newly bought 2019 Kenworth from the dealership lot, its value will already depreciate by about 20%.
This is a lot, given the fact that the truck is still new.
In contrast, if you get a good deal on a used truck, the price may not go down any at all for a period of time. There are even private individuals who buy used cars and resell them for more.
Have you ever heard of a person who buys new cars to sell for more? That’s a near impossibility.
If you ever decide to resell a used truck, you’ll likely get a good portion of your money back. This is one of the top reasons why experienced truck buyers prefer pre-owned to brand new.
3. You Get Access to More Brands/Choices
Trucks, like all other vehicles, constantly go through innovations. Each year, we see test vehicle models with new features added and this means a lot of rehashing. So, trucks get retired fairly frequently, which means that you get limited access to brands and models.
Buying a new truck of a reputable brand isn’t feasible for most businesses. On the other hand, going with used trucks gives you more flexibility. There are more makes, models, years, and options for you to choose from.
For instance, if you’re looking for a model with a regular diesel engine or a turbo diesel engine, you’ll have multiple options available.
Of course, this goes for other options too. You may need to decide between a six-speed manual transmission truck, one with AMT transmission, and an Allison automatic, and it’s easier to look around for one in the second-hand market.
4. You May be Able to Claim GST Credit
If you sell your vehicle as a part of a taxable transaction, you can claim GST credit. This works for all used vehicles that cost more than $300. This also applies if you purchased the vehicle from someone who is not GST-registered.
The credit you can get, however, is either the amount of GST payable when the transaction occurred or one-eleventh of the amount paid for the truck, whichever is lesser.
Keep in mind that this is only applicable if you’re reselling the vehicle in a taxable sale.
5. No Dealer Fees
The price tag on a brand-new vehicle may seem convenient, but you should always take the fees into account.
That’s right, the sticker price usually includes destination fees, shipping charges, and dealer preparation. So, what do these fees get you? Unfortunately, nothing.
These charges don’t exist with buying a used truck.
6. Condition
Yes, you know the condition of a new vehicle. At least you don’t have to think about a new truck breaking down on you anytime soon.
However, trucks and cars are more durable nowadays. You’re good for at least 400,000km. The best part here is that people often sell their trucks quickly after buying it, so you are very likely to get a great vehicle with decent mileage.
With that said, you should try and stick to the authorised dealerships even when buying used. These dealers offer extended warranties and various certification programs.
Used Trucks Rule Supreme
As you can see, there are many benefits to buying a used truck other than the lower price tag. You should also think about depreciation and reselling the vehicle at some point. Also, you get access to more brands and don’t have to deal with unnecessary dealer fees.
Oh, and make sure that you buy from an authorised dealership to get an extended warranty and certification.
At Truck Dealers Australia, we are proud to present you with our range of used trucks. If you want to learn more and buy a fantastic used vehicle, get in touch with us.