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Should you Buy a Ex-Rental Car with a Loan in Acton?

Should you Buy a Ex-Rental Car with a Loan in Acton?

Our team handled a customer question last week, one we see and hear a lot. As you know by now, that makes it a prime candidate for a blog post. The question was ‘Should I buy an ex-rental car with a loan? Are they a good way to spend an auto loan?

 

We asked our Acton auto loans team to discuss the benefits to buy an ex-rental car with a car loan. We hope you find it useful if you’re planning such a purchase.

 

Buying an ex-rental car with an Acton auto loan

 

More people own an ex-rental car than probably realize it. Most online car supermarkets stock ex-rentals or ex-fleet cars. Many real-life car supermarkets do the same. Many larger dealerships also have arrangements with car rentals companies to sell their old fleet.

 

We would say that buying an ex-rental car, as long as the car is in good condition and the mileage is sensible, is a good bet for three reasons.

 

1.   Vehicles are newer

 

As rental cars rack up miles very quickly, their life as a rental is limited. Keep a rental car too long and the high mileage will put off the vast majority of buyers.

 

That means the majority of ex-rental cars will be between 1-3 years old.

 

That’s a great time to buy a car. They are new enough to still be current models or designs and include the latest technology. They are also old enough to have already had the majority of that initial burst of depreciation.

 

2.   Rental cars are well maintained

 

Nothing damages the reputation of a car rental company than unreliable vehicles. That why they are so hot on servicing and maintenance. That’s great news for the buyer.

 

While ex-rentals are harder used, they are also better looked after than many other sources of used car.

 

To help maintain reliability, many rental companies will use OEM parts rather than cheap pattern parts. That’s another bonus!

 

3.   There are lots of them

 

Rentals companies buy cars by the hundred and they will all tend to reach the end of their rental life around the same time. This provides a steady supply of cars in good condition, with full service histories and relatively low mileages considering their former life.

 

While numbers are plentiful, they do tend to be mainstream trims and colours. Rental cars need to be as inoffensive as possible and fit as many needs as they can.

 

That means you’ll usually see middle tier trims or top trims in sensible colours. If you’re okay with that, you should have plenty to choose from!

 

Let the buyer beware though. Just because a car is an ex-rental, doesn’t mean it’s in perfect condition or has nothing wrong with it. Perform your due diligence before you buy to make sure you have the right car at the right price.

 

If in doubt, buy a certified used car from us as we guarantee the quality of every used car we sell!

 

When you’re ready for a car lease or loan, get in touch with the Acton auto loan experts at Northway Ford for great deals on auto finance.

 

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Categories: Car Loan

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