The more you hold on to your car or your laptop, the cheaper it gets. So, if you still want to recover a bigger portion of your money spent on depreciating assets, the key is to stem their decline. Here are a few tips to bear in mind when buying and keeping them:
- Buy a car that tends to be in demand. There are certain brands, like those from Germany and Japan, that are likely to depreciate less quickly. What's more, they last longer on the road, too.
- Consider that the maximum time to sell a used car is when it is three years old. If you keep your car no longer than three years, chances are you will not only re-sell it for a good price, you won't have to spend a lot of money on repairs.
- For electronic equipment, bear in mind that whether or not it is a good brand, it won't have a good resale value if you've been using it for more than a couple of years.
- For just about any depreciating asset, make sure you shop around before you part with your money, to ensure you are getting the best deal.
- Buy the item at a discounted price. (Tips courtesy of Steve Gregory, Holborn Assets and Sarah Lord, Killik & Co)
