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09-20-17

Buying New vs Used Car | Buy New or Used Vehicle

Compare Buying New Car and Buying Used Car

Buying a New vs. Used Car

People from all across the world share the same struggle when it comes to deciding to buy a new or used car. Everyone has their own reason and opinion as to which option is better for their situation. While both options have pros and cons, the choice itself is really subjective. It really depends on that particular person’s finances and what exactly they are looking to get out of a vehicle. The best choices are made when you weigh out the pros and cans to see which option will accommodate your lifestyle.

Depreciation is the Name of the Game

Purchasing a used car is clearly the cheaper option but there are also advantages to buying used. When you purchase a used car, your insurance rate is going to be cheaper. According to Nerd Wallet, this is because a vehicle costs less to insure when it is worth less. The prices of used cars are tremendously lower than buying new due to depreciation. For example, you may be able to buy a used Mercedes-Benz for the price of a brand new Chrysler. It really depends on what you want as a customer. Many times people say that used cars aren’t reliable that is the furthest thing from the truth. Reliability of a used car truly depends on the mileage and how well the last owner took care of the vehicle. Cars these days typically reach over 100,000 miles before needing major repairs. The major factor is the basic maintenance such as oil changes, brakes, and tire rotation. These visits are good because mechanics can also check for other issues and to see if anything strikes them as alarming. Think of an oil change as a check-up at the doctor. It’s needed to make sure everything is running smoothly. A major disadvantage to buying used is that there is usually no warranty due to the factory warranty running out. This means that any and all repairs are on you as a customer. It is recommended to get any used car checked out by a mechanic before purchasing. Mechanics will check overall vehicle condition and look for potential problems that could cost you in the long run.

In the perfect world, everyone wants to purchase a brand new car. There are several advantages to buying new such as the latest technology and safety features. Technology is changing so fast that a car even 1 or 2 years old won’t have the same features as a brand new car. Car manufactures also constantly try to improve the fuel efficiency in their vehicles. The same vehicle may now have 10 more miles per gallon than it did in the previous years. Fuel efficiency is important because customers want to save money at the pump. There is a peace of mind that customers have knowing that their new vehicle doesn’t have any wear and tear or prior unresolved issues. New vehicles come standard with a factory warranty which covers at least the first three years or 36,000 miles. U.S. News made a great point in that buying a new car is easier than buying used. This is very true because any dealership is bound to have an entire inventory of new cars with different models and colors for all different price ranges. People love having the most options possible. Car manufactures are quite aware of this and always advertise finance and lease deals and incentives new vehicles. These are deals that won’t be found on a used vehicle.

Many customers decision to purchase new or used falls somewhere in between the two. At Easterns Automotive Group, we understand the needs of our customers. Easterns has 5 locations and has served the Maryland, DC, and Virginia communities for over 30 years and has sold over 100,000 certified used vehicles. These cars are relatively new cars with low mileage that have been handpicked by professionals. Every Easterns vehicle has passed a rigorous multi-point certification check so you can buy with confidence. Our vast inventory includes over 1000 cars with clean CarFax reports and one owner vehicles. Customers can experience the feel of a newer car without exactly paying the price of a brand new car. We have a friendly customer care staff that handles any pre or post sales questions that you may have, and that is why Easterns has over a 97% approval rating. You can get pre approved for finance right from your own home. We invite you to come into an Easterns store, call, or chat online today and experience firsthand what we mean by the Easterns difference!

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09-20-17

Lease or Buy a Car | Leasing VS Buying

Lease or Buy a Car | Leasing VS Buying

When purchasing a used car, a customer is given two options in terms of financing the vehicle. Car dealers give people the option to either lease or buy the vehicle. The outcome for both is the same in the sense that the customer will still get to drive a brand new car. However, buying and leasing in itself are the total opposite of each other. Most people have their own personal reasons as to why they choose to buy or lease.

What is a Lease?

When you lease a vehicle, you only end up paying a portion of the vehicle’s total cost. That “portion” is the difference between the selling price of the vehicle and the residual value of the car. The residual value is the estimated value of vehicle at the end of term of the lease and is set by the lender. It’s very similar to renting a car but instead you can select a lease term that works for you. The lease term is the number of months that the car will be driven. Lease terms start at 24 months and can go all the way up to 84 months. According to Consumer Reports, there are a variety of up-front costs associated with leasing a vehicle including various fees, security deposit, and a down payment. Most people that choose to lease do it because there is typically a lower monthly payment than buying a vehicle. The longer terms come with a higher interest rate but the money is stretched out over a longer period of time which makes the payments cheaper. A newly leased vehicle typically comes with a full warranty as well as free maintenance during the term. A huge factor when considering leasing is how much driving you are doing. Leasing is definitely not for the person that drives long distances each and every day. This is because there are mileage limits when in a lease. Car dealers give people a limit between 10,000-15,000 miles to drive per year. There are fees associated when going over the mileage limit. Car dealers give customers a chance to finance the balance of the current vehicle, pay for it cash, or lease/buy something new. Leased cars are most always in stable condition because customers are aware that they will be responsible for any excessive wear and tear on the vehicle.

Should I Buy My Next Car?

There are definitely more factors to think about when it comes to buying a vehicle. When you buy a vehicle, it is yours as long as you make the monthly payments. People love the freedom of buying because not only do you own the vehicle for life but you can sell or trade in at any given time with out fees. However, a car’s value depreciates at a different rate than the total amout of the loan paid off, this what the car business refers to as an Equity position. A buyer can be in a positive equity position, meaning the amount the vehicle is worth is greater than the amount owed on the loan of a vehicle, or a negative equity position, meaning the amount owed on the vehicle is greater than the vehicle is worth. The best way to get out of negative equiy position is to continue making payments on the loan. It’s important to keep your vehicle in the best possible condition to maximize the selling price. Unlike a lease, there are no rules and regulations when it comes to vehicle mileage. A vehicle with higher mileage has a lower resale price so you may want to think twice about those long distance rides. A new car typically has a factory warranty for the first few years. Once it expires, the owner of the vehicle is responsible for all repair costs.

It really comes down to a person’s financial situation and how much they can and are willing to spend. When you lease, you are always going to have a monthly payment on a car that you don’t even own. The plus side is that you will always be in a new vehicle and won’t have to worry about the costs of maintenance and repairs. When you buy, your monthly payments will be higher but the car will be yours if you plan to pay it off. Most people enjoy having the freedom of owning a vehicle and being able to do what they want with it after it is paid off. Ultimately, it depends on someone’s priorities and their goals financially.

Why Easterns?

Easterns offers both purchasing and leasing and you can buy or lease with confidence. Easterns Automotive Group has served the Maryland, DC, and Virginia communities for over 30 years and has sold over 100,000 certified used vehicles. Easterns has 5 convenient locations around the DMV area, and every Easterns vehicle has passed a rigorous multi-point certification check so you can buy with confidence. Search our vast inventory of over 1000 cars filled with clean CarFax reports and one owner vehicles. Our friendly customer care staff handles any pre or post sale questions you may have, and that is why Easterns has over a 97% customer approval rating. We invite you to come into an Easterns store, call, or chat online today and experience firsthand what we mean by the Easterns difference! Check out our inventory, see our locations and submit a finance application from home that only takes a few minutes!

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02-16-17

Benefits of Buying a Car through us vs. Buying from a “Buy Here Pay Here Lot”

Here at Easterns Automotive Group, we take our customers’ needs very serious. We understand the importance of excellent quality service. The major key for us is open and honest communication with our customers and treating everyone like family because that is exactly what we are. Our customers are our first priority so we never mind going the extra mile, unlike our competitors. Our vehicles are in immaculate condition, with all being 2 years old or less than 35,000 miles. Over the past 25 years, we have managed to build an excellent reputation as well as an A+ rating with the BBB (Better Business Bureau). We have six dealership locations located throughout the DC metro, Maryland, and Virginia area and over a 97% customer approval rating. The credibility that we have established has enabled us to be one of the prestigious and well-known automotive groups in the DMV.
Buying a car can be a very a very stressful task depending on where you are purchasing a vehicle. Easterns strives to provide a smooth, easy, and time efficient car buying experience that everyone can enjoy. We understand that everyone coming to purchase a vehicle does not have all of the cash in his or her pocket. The reality is most Americans choose to finance their vehicle. Variety is very important to us when it comes to our customers choosing a lender to finance their vehicle. This is why we offer 30 credible lenders to our customers such as Ally, SunTrust, TD, Wells Fargo, and Capital One Bank just to name a few. Each bank and financial institution is different and certain lenders may be a bitter fit for customers than others. A big factor that goes into deciding APR (Annual Percentage Rate) for an auto loan is a person’s credit score. Having a good credit score means that banks are more willing to work with you because of you previous track record. Your monthly payment is most likely to be lower when you have a better credit score. When banks see that you have a higher credit score, they tend to give people a higher rate because to them that you are a financial risk resulting in a higher monthly payment. Our new website allows customers to fill out the finance application online before they even come in to any of our 6 locations.
The pros to choosing Easterns are endless. Every one of our vehicles goes through a thorough 110-point quality certification. They all come with a free CARFAX Vehicle Report that reveals the truth about used cars including previous work performed on the car, hidden problems, and recalls and safety related issues. We also offer a limited time warranty and gap coverage on every vehicle. Customers have the option to purchase extended warranties and gap coverage through Easterns. It is important to us that our customers are happy with their vehicle. We give them a 7-day window to enjoy the vehicle and make sure that they are in love with it, consider this like a trial run. Our 7-day return policy allows customers to swap their current vehicle for any car or truck at Easterns that matches their budget and credit.
Buying a vehicle at Easterns is very different from buying a vehicle at a Buy Here Pay Here (BHPH) lot. A BHPH is type of dealership that targets people with bad credit that have most likely have tried to purchase a car elsewhere. Majority of the BHPH dealerships offer customers high interest rates with high payments. They tend to take advantage of their customers’ financial situation because they know that they are in need of a vehicle. In fact CARFAX published an article discussing what should be avoided when buying a car from a BHPH lot. They urge customers to watch out for the ridiculous terms such as “long loans and sky-high interest rates”. It’s important that potential car buyers have the proper information before signing something without knowing exactly what they are getting themselves into. Another thing to watch out for is overpriced cars. Vehicles at these lots typically are not the best quality, yet the prices are marked up so it is best to ask for a CARFAX or vehicle history report. The biggest thing car buyers should know is the importance of knowing their finances and what they can and cannot afford. Having this type of knowledge can prevent someone from making a financial mistake that could have been easily avoided.

Bad Credit Car Dealership | Buy Here Pay Here

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