Is paying cash for cars better than renting?

There are many car owners who usually juggle between buying a car and renting one. This is a pretty hard decision to make especially because either option has its own pros and cons. As such it becomes confusing for the car owners to be able to find the ultimate decision to make in their lives. However buying car is more advantageous than renting a car. The latter has its own fair share of advantages that include the exemption of maintenance fees. In car rental, you only require to fuel the car unlike in purchasing the car whereby you are required to fuel the car and cover its maintenance costs.

Advantage of purchasing a car
There is nothing worthwhile in this world like having an investment tagged onto your name. Your car is one such investment and as such you can be guaranteed of an alternative in times of a financial constraint. In addition to this you can also use your car’s title to apply for a loan from a financial organization. By owning a car, you have the freedom of organizing your car in the way that you see it best. In car rental, you may be forced to reschedule your diary especially during the processing of the rental procedures. Owning a car prevents you from paying the recurrent rental fees for using the car. In the long run, these rental fees may ad up to an amount higher than purchasing your own car. Continued use of car rental services can lead you to a financial crisis especially when managing a luxurious car.

Advantages of renting a car
Cars are one of the investment options that have for a long time maintained a negative depreciation trend. This means that the car looses its value at a very high rate as compared to any other investment option. Therefore a car is not the best option to go for while making a lifetime investment. The high depreciation rates coupled with high maintenance costs make cars very uneconomical. However by renting a car you exempt yourself from the maintenance and repair costs. You are therefore able to save more while at the same time enjoying the same services just like other car owners. The other pro about car rental is that most of the cars are chauffeured. This means that you are able to save yourself from the hassle of driving around and getting stuck in traffic jams. Someone else does this for you and as such you are able to relax and concentrate on other activities. What’s more is that you are saved from the hassle of looking for parking spots and even for paying the parking fees.Your driver does all this for you.

Cash for cars vs. renting
Each of the car ownership options has its own advantages and disadvantages as well. However renting edges out as the best option as opposed to cash for cars. This is because in renting, you do not have to worry about what to do to the car once it becomes old and damaged. Disposing a junk car can proof to be quite a task for many car owners. In addition to this, you can be able to divert the money that you could have used to purchase the car and use it to make other worthwhile investments.

Leave a Comment

Your email address will not be published. Required fields are marked *