We are living in uncertain times. While economies are slowly starting to regain traction, many people who lost their jobs are still trying to get back up. Some managed to keep their livelihood but had to use a portion of their savings to get through the crisis.
For most people, buying a car is the least of their worries. But then, many are considering a car purchase even in the middle of the crisis. What led more people to buy cars, and does it really make sense to make a car purchase during the crisis?
Why Millennials Are Making Covid Car Purchases
Some experts say the pandemic forever changed the way people prefer to move from one place to another. If before, one is content with taking public transport to get to where they need to be, more people are reconsidering their transport options. The whole social distancing rule made it clear that the best way to move these days is by using your own private car.
Some people consider cars to be an extended form of their personal protective equipment. With your own car, you will have better peace of mind knowing you are less likely to expose yourself to the virus. Even if you travel with someone from your own household, you have a lesser chance of getting the virus.
Before, more people would rather rent a vehicle when traveling. Now, the uncertainty of who used the car before you and if the rental car company disinfected the car properly fill doubts in people’s minds. This is the same reason why ride-sharing became less popular mid-pandemic.
Car Boom During the Covid-19 Pandemic
Due to more people buying cars, this led to a car market boom. While some people are buying brand-new cars, more people are investing in used cars. Even with millennials’ desire to buy eco-friendlier cars, only 6% want an electric car.
The thing is, the car boom came with a high price tag. With plants locked down and supplies being interrupted, this led to a global shortage which helps increase the costs of cars for sale. Financially capable buyers don’t mind the price tag, leaving opposite buyers with a financial dilemma.
Still, buyers are in good luck. With interest rates being low, one can get approved for a car loan. More are thinking about getting their own car while the interest rates are low.
More people are thinking about buying a car or making a car upgrade despite the costs of buying a car. Aside from the preventive car maintenance, they know that it takes knowing a reliable auto shop and mechanic to take good care of their car investment. They are willing to take the risk and additional responsibility if it meant improving their health, safety, and convenience.
But Does It Make Sense to Make a Car Purchase Now?
Only buyers can determine if it makes perfect financial sense to buy a car during these unprecedented times. A car purchase can be a good idea even during a crisis if you:
- Plan to own the car that you are going to buy for the next decade
- Did your homework and can afford preventive maintenance and repairs
- Already know what you want and why you need a car
- Already got approved for a car loan
- Think buying a car can improve your lifestyle
- Are aware of the true costs of car ownership
What to Expect When Buying Cars Mid-pandemic
These days, more people are buying the things they need online. This includes cars. They are not simply looking for cars for sale on different online platforms but are completing the process digitally.
One can expect to have an online appointment schedule with a car dealer after expressing interest in check one. A dealer will give a live tour of the car while answering your questions. Everything, except for the test drive, can be done online.
Some car dealers know that many people want the convenience of getting their cars delivered through their homes. So what they did is adopt a system where they send the paperwork online and have the buyers sign the document and make payment digitally. They then deliver the car to the buyer’s address and ask them to fill in additional paperwork if needed.
This provides an efficient and convenient experience to buyers. Those wanting to test drive the car can request the dealer to meet them at their address. This is true even for non-luxury vehicles.
This goes to show just how the pandemic changed the car-buying process. It became faster, more efficient, and convenient to buy cars. If you think that it makes sense to invest in a car in the middle of a crisis, these are some things you can expect.