I bought a new car that I now need to sell soon. When should I sell it?

I recently bought a new car. I'm not sure why I did not consider nearly-new, cheaper cars, but with Covid-19 and showrooms closed, I bought new. Now I could be out of a job. I own the car (with a personal loan), but I'm trying to decide when would be a good time to sell this and buy something cheaper.

Asked on 15 July 2020 by frances

Answered by Andrew Brady
Cars lose money the second they're driven out of the showroom. Your car might only be a few months old, but you'll already lose money if you sell it now. You're unlikely to be able to sell it and buy a like-for-like replacement while releasing cash. Changing cars costs money. If you desperately need the cash, you'd be better selling your car and looking at an older alternative for considerably less money. If you're worried about meeting the loan repayments, speak to the provider. They're generally pretty understanding - especially in the current circumstances.
Tags: depreciation
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