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Buying a car is considered a rite of passage, a way of saying that you are a responsible adult and a way to freedom. However, many Generation Y, generally those born between the early 1980s and early 2000s, are braking on car ownership. This could be for a multitude of reasons. Owning a car or deciding not to own one is driven by cost, impact on the environment and urban living.
Many Gen Y’s are getting out from behind the wheel and walking, taking public transit if there is easy access to it or carpooling with friends instead of buying a car. According to Oregon-based CNW Marketing Research, which provides data about the automotive industry, U.S. adults aged between 21 and 34 bought 27 percent of all new vehicles sold in 2010, down from a high of 38 percent in 1985.
However, owning a vehicle still benefits, especially if you live in the countryside or want to save up on train fares. For the convenience of it, it’s good to look at both of the benefits and disadvantages.
Three Benefits of Owning a Car
1. Freedom
Car owners can get out whenever and go wherever they please without relying on other people or public transport. This is essential when you have a job interview or any other appointments you can’t afford to be late for.
The freedom of car ownership also allows people to explore different portions of a city or community and live farther away from work.
2. Demonstrating Responsibility
Owning a car could influence other payments, such as a home, by demonstrating that you can take out a loan and make regular payments. It shows a potential lender you can pay back the money, and it boosts your credit.
3. Convenience
Errands such as picking up dry cleaning, stopping by your friends or even going on day trips are made so much easier when you don’t have to rely on public transport.
Three Disadvantages of Owning a Car
1. Cost
This is a huge contributing factor to not owning a car. Sometimes it is just not feasible, and it depends on your lifestyle. The purchase price of a vehicle, new or second hand, can be daunting. You may be more concerned about paying for food, rent, health care and more recreational items such as holidays before settling for a car. There are other costs to think about, such as auto insurance, maintenance and fuel and even car accident lawyers. If you live in a big city, you may even need to think about permits and parking. All of it adds up, and it makes for a very expensive purchase. There are ways to shave off the costs, but does it make the purchase worth it?
2. The Environment
Cars have a huge carbon footprint; Cars are a major contributor to global climate change, emitting roughly 20 pounds of greenhouse gas into the atmosphere for each gallon of gasoline burned. Cars, motorcycles, and trucks account for nearly 1/5th of all U.S. So by not using a car, you are making a huge difference to global climate change, which is something to consider.
3. The Sales Process
The idea of having to apply for credit to get a loan can be overwhelming and a new frontier that doesn’t appeal to some seeking to live debt-free or who are already burdened with existing debt. Even maintaining it is a lot of work.
Buying a car depends on your lifestyle and what is best suited. It is a good idea to look at all of the contributing factors and weigh up the options before you take the plunge.
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