Sometimes, a vehicle is just a means to get from point A to point B. However, it doesn’t have to just be a mode of transportation. In fact, vehicles open up a lot of doors that people don’t know about. This is especially true when it comes to the value of your car as a resellable asset and a means of creating income. So, let’s look at 5 ways to turn your vehicle into an investment!
Make a Purchase for the Long-Term
A lot of people choose to lease their personal vehicles to have fewer responsibilities and allow for greater freedom once the lease ends. However, purchasing a vehicle for the long-term is actually a smarter investment. You’ll end up paying less for your vehicle over time. As an added bonus, you’ll actually own it! So, if you haven’t already purchased a vehicle, make sure that you buy one that will stand the test of time.
Set Aside Funds for Vehicle Maintenance
Auto restoration and vehicle maintenance can get expensive. However, the costs of letting your vehicle fall into disrepair are much greater. Not only can it greatly reduce the resale value, but it can also make your vehicle unreliable or completely unusable. If you can’t rely on your vehicle, what’s the point of owning one? To get the most out of your vehicle and make sure that it retains as much value as possible, keep up with the maintenance costs, including general services and replacement parts (as needed).
Use Your Vehicle for Work
Is there a job opportunity that you wouldn’t be able to access with public transportation? If so, a vehicle is a worthwhile investment. It can give you the power and freedom to seek out jobs in a much wider area. In fact, this is one of the best reasons for owning a vehicle. While remote work is on the rise, most people still have to commute to their jobs. So, if you want to maintain a steady paycheck or even increase your income, make sure to have a reliable vehicle that can get you there.
Turn Your Vehicle into a Business
Do you prefer to be self-employed? If so, a vehicle is a great way to make that happen. Whether you want to establish a delivery service, moving company, mobile hair salon, or anything that requires reliable transportation, a vehicle can make it happen for you. Turning your vehicle into a business is the quickest way to reclaim the initial costs of your vehicle and help you pay for its maintenance.
Time Your Resale Carefully
At some point, you’ll likely want to sell or trade-in your vehicle. However, timing is key. If you’ve accumulated too much mileage or put too much wear-and-tear on your vehicle, you will likely get only a fraction of your initial investment back. So, try to sell your vehicle when you’re ready to make a change and your vehicle still retains much of its original value.
For example, if you buy a vehicle when it’s brand new and put 70,000 miles on it, you can likely get between 30-50% of your initial investment back. Alternatively, if you wait until you’ve put 200,000 miles on the same vehicle, you’ll be lucky to get 10% of your initial investment back when you sell it. So, do your best to time your resale to get the best possible return on your investment.