When you’re searching for an used vehicle it’s likely you’ve already viewed the former rental vehicles–used dealer’s lots are packed with them. A car that was previously rented similar to buying other used car, comes with its advantages as well as drawbacks in regards to mileage, maintenance and model year as well as resale value and many more. Let’s take a look at the advantages and disadvantages of purchasing a car that was previously rented.
Pro: Former Rental Cars are Typically Newer Models
Car rental companies wish to attract customers by offering new automobiles, not ones from the past 10 years. In order to make room on their lot for the latest cars they purchase frequently the rental car company has to market the “older” vehicles–vehicles that are generally only a few years old, making them perfect for buying used cars. A car that was used for two years might have the latest technologies and security features however, it will be at a cheaper cost than the model that is two years old owned by a single person.
Con: Rental Cars Often Have High Mileage
In case low miles are on your priority list, you must be aware that a onetwo or three years old rental car is more likely to be a better mileage than a comparable privately owned vehicle. The major rental companies typically offer cars with between 25,000 and 40,000 miles. These miles are often difficult to drive because they originate with multiple owners who might not maintain the vehicle.
Pro: Rental Cars Get Regular Maintenance and Cleaning
Although a vehicle might be driven hard in its time as a rental vehicle, it’s likely to have been taken care of throughout the time. Although renters might not feel confidence in their ownership of their vehicles, the rental vehicle businesses do. It’s in their best interests to ensure that their vehicles are in good state of repair. This is why the most reliable rental companies adhere to the maintenance plans in full compliance with the law and employ highly skilled internal mechanics or outsource service for their cars to reputable dealers.
In reality, many rental car firms have such a good attitude towards their vehicles that they’re willing provide their own warranty on sales of cars in addition to other kinds of insurance to make the purchase more attractive. This is different from other used car dealers that require you to negotiate for additional items. Hertz and Enterprise both offer 12 months/12,000 miles of powertrain warranty. Avis has a wide range choices for extended warranty. The three companies also mention that a lot of their sold vehicles still have the original warranty of the manufacturer.
Con: Rental Cars are Likely to Have Suffered More Wear-and-Tear
As previously mentioned The miles you drive on rental vehicles can be long and tough. Different driving styles – one renter has a tendency to use the brakes heavily and the other prefers to lower the accelerator, which can results in wear and tear early. Each driver who is new will be driving the car slightly differently from the previous driver and may be more rough on the car when they become accustomed to it. Although most renters do not wish to wreck the car (because they’ll be required to cover the cost) Many renters are more aggressive when renting vehicles than they are with their own vehicle.
Pro: You Can Buy Former Rentals at Lower Cost
Since rental companies buy their new cars in bulk with a lower cost and must to sell their cars to increase their rental fleet and offer bargain rates on the sale of their cars.
“We’re not looking to make a ton of money on our used cars,” Gregg Nierenberg, Vice President of Fleet Services at Avis Budget Group spoke to NerdWallet.com in October 2017.
Avis, Enterprise, and Hertz each have user-friendly websites for customers to search through the selection of used vehicles in their local area. They also offer no-haggle prices: no-haggle pricing will let you know in advance the amount you’ll spend (financing options will be contingent on your credit score obviously). The three companies Avis and Hertz offer a 3-day test drive, where customers pay the rental cost upfront however, the fee is reimbursed if the driver purchases the car. Enterprise extends the trial time by seven days.
Con: Your Former Rental Will Have a Lower Resale Value
An old rental might cost less up-front however, it’ll yield less cash in the future. Finding the highest resale value of a used rental vehicle is a challenge since many consumers are hesitant to purchase used rental vehicles and certain state legislatures have made laws that allow dealers to label rental vehicles “program cars” in hopes of to avoid the stigma. The value of rental cars from earlier rentals is also affected by the reality that these cars can be sold at such large quantity. If the market becomes overrun with thousands of vehicles with the same model and model that are all sold at roughly the same time, and with identical mileages, the cost for the model and make decreases.
The lower resale value will not matter for someone who is planning to drive their car to the limit however, for those who are planning to sell their vehicle within a couple of years and are hoping to receive a substantial amount of cash in exchange for the trade-in It’s crucial to consider the lower resale value for old rental cars.
The Bottom Line
On CarGurus All rental cars are identified by the name “Fleet,” but not all vehicles are marked “Fleet” are former rentals. To determine whether you own a CarGurus “Fleet” vehicle was one of the rental vehicles, you should check the history report of the car. Of course, buying the vehicle’s history report as well as soliciting service history documents are actions that every buyer should follow when purchasing a second-hand car and it’s particularly important when considering a previous rental. It is recommended to take a rental vehicle to a reputable mechanic prior to buying it is an additional recommendation. With all these advantages and disadvantages to mind, the previous rental car could offer advanced safety and technology for an affordable cost.
Alex has been with us from the start, providing readers with the latest news and comprehensive reviews. Her extensive knowledge of the automotive industry makes her an invaluable asset to the team.