The economic forecast is great. With unemployment figures low and a strong GDP forecast for the foreseeable future, you’re probably feeling confident in your job security and optimistic about the future of your income…great! You may even have experienced a solid bump in your investments, savings and retirement planning or paid down some debt, or simply felt some relief for your family’s education fund.
How should this influence your car-buying decisions? Well, if you’ve come into some discretionary spending dollars by all means, treat yourself! Move up a model year, upgrade to the sport package, splurge on a convertible or opt into whatever revs your engine – but do it mindfully so that those hard-earned discretionary dollars are not wasted. The best way to do this is to buy wholesale. Find a licensed dealer like SheCar® that agrees to let you see everything they see at the auto auctions, for real. This way you know exactly what the wholesale value of your dream car and its features are worth.
On the other hand, having extra funds available is an excellent opportunity to step up your savings for all those things that are important to save for – like college, a mortgage paydown or anything that improves the quality of your family’s future financial picture. Upgrading a car is only fun when it’s sustainable.
If you currently have a vehicle that’s operational, safe, and reliable, research its average depreciating value by Googling how much does a car depreciate per year to determine the best time to sell. Most sites will come up with something different so check several and use an average. If you’re unsure about it talk to your financial advisor or accountant. Remember, most dealers will always want you to replace your car right away but that’s not always in your best interest so don’t let them decide for you!