Why Do People Buy Cars They Can’t Afford?

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People often want to drive the best, most stylish, and desirable machines. Usually, this results in purchasing a car, which, realistically, they are unable to afford, which could negatively impact other aspects of their life. So, why do people spend so much money on cars and vehicles that are over their price range?

Status Symbol

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There are many reasons why people buy cars that are over their price range. One of the main reasons is that vehicles are considered to be status symbols, so they want to show to other people (and themselves that they are a success). Someone arriving in a flash sports car will make a more significant impression than someone turning up in a run-down hatchback, so perception has a lot to do with why people spend so much money on cars. People also often feel that they will succeed more if they drive a new car because of the message that this communicates to people.

Identity

A vehicle can be much more than just a way of transport that will get you from A to B destination. For many people, it is a part of their identity. Those that spend large amounts of money on a car accept it as part of their identity, so they are associated with that brand. That is particularly true in the case when a person has an interest in driving and automobiles. Driving a stylish car can also be a way of expressing yourself, similar to the idea that people put so much thought, attention, and money into how they dress.

Better Experience

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Another reason that people buy cars that are over their price range is that they can provide a better driving experience. The best and latest cars will have impressive new technology, a better driving experience, superior comfort, and more. People often spend long periods driving or drive every single day, so they want to make the experience as enjoyable as possible. That can be hard in a regular car, but with a luxury vehicle, it can make a big difference – this might mean that you arrive at work each day feeling fresh or return home in a good mood.

Dependable & Safe

Similarly, high-quality cars will also be more dependable, which is hugely important for every motorist but particularly those that rely on their vehicle every single day. When you purchase a brand new luxury car, then you can trust that it will perform each day and easily allow you to get from A to B. These cars also have the best safety technology, which can make driving much safer and less stressful for many motorists.

Large Asset

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Another reason that people often spend large amounts on a car that they are unable to afford is the fact that it is one of the most significant assets that an individual owns. When people are buying a home, for example, they are likely to try and spend the most amount of money so that they can get as big/beautiful a house as possible. As such a valuable asset, many people will pay large sums on the right car as opposed to trying to save money and buy the cheapest car possible (although the reverse is also true for many).

Creating a Budget

There are many reasons why people spend too much money on their automobiles. That is why it is so vital to establish a budget before you start looking and to factors in the various running costs, such as insurance and road tax. Spending too much money on a car could negatively impact many areas of your life and create an awkward situation, so it is crucial to work out how much you can afford and then stick to this.

Buying Used Car

It is also a smart idea to shop in the used car market as this helps you to make significant savings, and you can get more for your money. Not only this, but you can use a part-exchange service where you sell your car to the dealership as a way to reduce the price tag of the new vehicle. You can use a “value my car” service like the ones at Robins and Day to figure out how much you could get for the car and even take a few steps to maximize the value so that a new car becomes more affordable.

When shopping for used cars, you should always do your research first. Not all used cars will come in good running condition and you’ll end up looking for CarJunkYardsNearMe.

People will often spend more money on a vehicle than they can afford. That is because, for many people, it is a status symbol and a part of their identity.

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