Cheaper Than New:
It’s been a common theory for as log as I can remember that a new vehicle depreciates as soon as you drive it off the lot.
Right now (August 2020) you could expect to pay 80% of the original cost with 92% of the vehicle’s lifetime remaining for a 2019 F-150. Looking at https://caredge.com/ford/f-150/depreciation it appears that you could save $8,000 – $13,000 buying a used Ford F-150 that was 1-3 years old.
The greatest advantage to buying a new vehicle is that it comes with a warranty, and you don’t have to guess what the vehicle has been through. The downside is that new vehicles cost so much.
The advantage to buying a Certified Pre-Owned (CPO) Ford is that it comes with an extended warranty, you get a Carfax report with the vehicles history, you can save quite a bit of money over new, and still get a low interest rate.
New Ford Vehicle Warranties:
I remember having an F-150 that I purchased new, and the transmission started to act up intermittently right before the factory powertrain warranty ran out. Fortunately I was able to get someone from my local Ford Service Department to drive it when it was actually acting up, and the truck was repaired before the warranty ran out.
When you buy a new Ford, you get a:
- 3-Year / 36,000 Mile Basic Warranty (Bumper to Bumper)
- 5-Year / 60,000 Mile Powertrain Warranty
- 5-Year / 100,000 Mile Powertrain Warranty – Diese
The powertrain warranty covers the most vital systems of a Ford vehicle for a longer time than the limited coverage stays in effect. Specifically, the warranty lasts for five years or 60,000 miles.
Unlike the limited warranty that covers virtually anything that happens to the interior or exterior due to a defect, the powertrain warranty is meant solely for components that allow the vehicle to run. Once again, however, the scope is limited to manufacturing and material defects.
The coverage specifically applies to the engine (lubricated parts, cylinder block and heads, electrical fuel pump, oil pump, valve covers, water pump, powertrain control module, mounts, flywheel, etc.), the transmission (clutch, seals, torque converter, transfer case, mounts, etc.), and the drivetrain (axle shafts, bearings, drive axle housing, driveshaft, wheel joints, etc.).
The problem is that the factory warranty runs out right before things start to go wrong.
Certified Pre-Owned Fords:
Every car, truck, SUV or crossover must pass a 172-point inspection before it can qualify as a Ford Certified Pre-Owned (CPO) vehicle. When you purchase a CPO vehicle, you get the confidence of this comprehensive inspection plus manufacturer-backed limited warranty coverage.
Complimentary 24/7 Roadside Assistance too.
Comprehensive Limited Warranty Coverage
In addition to the 172-point inspection, every Ford Certified Pre-Owned vehicle comes with a comprehensive limited warranty covering more than 1,000 components for 12 months/12,000 miles.*
Areas of coverage include:
• Engine
• Transmission
• Rear-wheel drive
• Front-wheel drive
• Steering components
• Brakes
• Front and rear suspension
• Electrical system
• Air conditioning and heating
• Technology components
• Emissions components
• Factory-installed audio system
• Safety systems
7-year/100,000-mile Powertrain Limited Warranty
Along with this comprehensive limited warranty, 7-year/100,000-mile powertrain limited warranty coverage is included with every Ford Certified Pre-owned vehicle.
Low % APR Financing
1.99% APR Financing for 36 months*
*Not all buyers qualify for Ford Credit Financing 1.99% APR for 36 months at $28.64 per $1,000 financed, on select vehicles, regardless of down payment. Take delivery from an authorized Ford Dealer’s stock by 8/31/2020. Residency restrictions may apply. See dealer for qualifications and details.
24-Hour Roadside Assistance
It’s 2:00 a.m., it’s snowing, and you just got a flat. No problem. Every Ford Certified Pre-Owned vehicle comes with complimentary Roadside Assistance available 24/7, 365 days a year.
My Certified Pre-Owned Warranty Experience:
In 2017 I purchased a Certified Pre-Owned 2016 Ford Expedition. I got a good deal on it since it was a year old with 30,000 miles, and it came with a 7-year 100,000 mile warranty.
After it had 70,000 miles, I noticed a sound coming from the front end that sounded like the 4-wheel drive was engaged. I tested the locking hubs and found that they were engaging and disengaging the way they were suppose to. I also discovered that the front axles were turning while it was in 2-wheel drive. I learned that the Ford F-150 and Expedition with the 4A (4WD Automatic) 4×4 transfer case ‘bleeds’ power to the front differential even in 2-wheel drive.
I took the Expedition to the dealer and found that the pinion in my front differential was bad. The cost of the repair was going to be well over a $1,000. If I had purchased the Expedition new, it would have been out of warranty. But since I purchased it Certified Pre-Owned, it had a 100,000 mile warranty, so the work was covered.
Conclusion:
If you’re looking for a good deal on a lightly used Ford, you should try to get one that’s Certified Pre-Owned. That means you’ll have to shop the Ford Dealerships if you want a true Certified Pre-Owned Ford.
Links:
Ford Certified Pre-Owned Brochure
172-Point Inspection Checklist