Thinking about buying your first luxury car is an exciting time with so many amazing options to choose from. With the great appeal of the style and quality which comes with a luxury car it can be easy to become like a greedy kid in a candy shop.
However, this is no doubt one of the most expensive purchases you will make in your life, outside of buying a house, so it’s not one to rush into and needs due consideration, to avoid your luxury car dream becoming an incredibly costly nightmare.
There are many elements to buying a luxury car, beyond just the cost implication, so make sure you look at your potential purchase from every angle before making any kind of commitment to a particular vehicle.
Here are five areas which you should think about before you buy your first luxury car.
- New or Used
This is probably the most important thing to consider as luxury cars are such an expensive purchase when bought brand new. Often by purchasing a used luxury car, which is just a few years old, you can shave a considerable amount off the price while still benefitting from all of the premium features and gadgets.
It is well known that luxury cars lose a lot of value in the first year so it should be a big consideration when you are looking to invest in one. It’s always worth checking the residual value rating of your chosen model.
This rating tells you the value of the car after it has been leased so will give you a good idea of how your chosen model is expected to hold its value in the first few years, as well as the expectation of reliability.
Buying the car new has some advantages as you will get a warranty and can often negotiate for other package offers to be included, for example, free servicing or free insurance in some cases, depending on the dealer, so make sure you ask for everything.
Even if you go for a used model, if you buy from an approved used dealer you should still get a warranty with the car and can pay for one if not, to make sure you are covered against any potential problems. One place online where you can start your search is BigMotoringWorld.co.uk, they have a variety of luxury cars that would fit your budget and needs.
- Check out prices thoroughly
Whether you are buying a used or new luxury car you need to do some strong research on the pricing for both. Have a look at the prices of second hand versions of the model you are considering, to see how much the price drops over time.
Check in a few different places so that you get a good idea of how much your new car might depreciate over the next five years or so, to consider whether it’s worth paying the upfront full price or not.
You should also visit several different dealerships to check out the prices of the new version as it will certainly vary from showroom to showroom. You need to look at what comes as standard with the car and what deals you can negotiate.
Shopping around and checking prices in different regions could be the difference between a bargain, and paying premium price for a basic package deal so spend time on this aspect – don’t be tempted to buy the first model you come across, however nice it might be.
- Think about all the other costs
It might be that you have the budget to pay back the cost of the car, even if you have taken out finance for the purpose. However, you also need to think carefully about all of the running costs and extra costs you will need to shell out for with a luxury car.
Fuel consumption is bound to be considerably higher than a regular car, even if you opt for a relatively green model. Luxury cars tend to have more powerful, bigger engines, so more fuel consumption. The more fuel you need, the more it will cost you – particularly if you intend to drive your luxury car on a daily basis.
Insurance costs can be much higher due to the appeal to thieves, so check out what the likely insurance costs would be on a luxury car before committing as you could be in for a nasty shock. The high value of the car, the high cost of repairs and the probability of theft will all push the cost up.
Repairs and maintenance costs are also going to be higher than you are used to, as you will need to take your luxury car to a specialist garage which can look after it properly. Costs for items such as tyres will be much higher than for a regular car. All of these costs add up so make sure you have budgeted for this extra ongoing cost as well as the purchase price.
- What are you going to use the car for?
You need to look at some practicalities so if you are going to use the car on a daily basis and need to have regular passengers in the back, then a sporty two seater won’t be the right model for you, as nice as it might look.
Equally, a car which only does a few miles to the gallon won’t be a great idea for doing a long commute every day. On the other hand, a luxury saloon which is easy to drive and has all the latest tech to help keep you updated on the go could be a perfect commuter car for you.
It’s about sitting down and coming with a list of what you need from the car – is it about the particular brand, showing off your success, or is it that you appreciate the engineering and want a car you can actually use every day.
It’s a good idea to take some models out for a test drive just to experience what they would be like on the road every day and to make sure you have a really strong idea of exactly what you need from the car, before you part with a single penny.