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Each year the market is producing more efficient and high quality cars. Together with the increase in production is the increase of market value also. Is it really practical to buy a brand new or pre-owned car?

Imagine if you’re going to buy a new model car this year for a whooping 5-digits dollar. After a year, for sure a lot of high end cars will be out again with different high class features making your former new model car just an average looking when parked beside new editions. The tendency is you want to purchase new models again by selling your car for an amount of one third compared to the money you invested on it.

The moment you drive your new car out of the company’s building, its price already depreciates. Most probable than not, you’re nodding your head right now saying, “Yeah, is it really worth the money?”

Repossessed cars are the trend nowadays in purchasing good quality cars for a very reasonable price. These are cars from clients or customers who failed to accomplish their duties on paying their loans and so on. The price of repossessed cars is marked down to like 1/3 or 2/3 of the original market value. Sometimes it depends upon the company’s policies.

Another money-saving benefit of buying “repo” cars is that you can purchase a big vehicle like an SUV for a price equal or lower than a brand new Sedan vehicle.

Not only that the price is much lowered but the quality is also comparable to the new ones. Some repossessed cars are still of very good quality and in a mint condition. It even has warranty which is the best about it.

Do you know that you can also put up a buy and sell business with repossessed cars? Buying low priced cars and selling it for a much higher price is a good investment. With few modifications and upgrades, those cars can now be as good as new. Isn’t that fantastic?

Here are some tips on how you can avail of the cheapest repossessed cars:

1. Look for car auctions near your place. Check the magazines, newspapers and even the internet to see when and where car auctions are being made.

2. Know the current market value of the car. This will help guide you in determining your target price.

3. Remember to test drive the car. By doing so, you will know whether it is still of good condition or not. Don’t just rely on what the seller will say for you can be fooled once you overlook the details of the car you will purchase.

4. Bring someone with expertise on automobiles. He will help you decide appropriately especially if you don’t have enough knowledge with regards to cars.

5. Be smart in doing your transactions. You should be aware of your rights when it comes to purchasing. A formal agreement such as proper documentations like transfer of car registration into your name should be done before fully paying the seller or company. Don’t forget to read the contract first before signing.

In spite of the growing benefits of repossessed cars, it does not mean that new cars are not advisable to be bought anymore. It will always guaranty you in giving a 100% peace of mind. What I’m just trying to tell you is that you have options to choose. If you want to save money then go for repo cars; on the other hand if money is not an object to you then shelling out big bucks for a high class car wouldn’t be too much of a problem.

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Masterful - that’s how auto critics describe BMW in connection with the manner by which it guides its Mini premium cars to achieve success in the auto market share.

From its inception in 2001, Mini has already made money. The latest lineup of Mini, which will go on sale this month in Europe to be followed by the United States, is expected to deliver stable profit chain.

According to Dresdner Kleinwort, Frankfurt, Germany-based investment banker, “Mini earned net income of $148 million in 2003 for its owners BMW, progressing steadily to $185 million in 2005 and is likely to reach $260 million in 2007.” Mini started with modest sales target. On its initial years, the target was 100,000 per annum. Then, the number drastically grows to 120,000 and eventually accelerated to 200,000 last year.

“They (BMW) started the first Mini with a very conservative production approach. After they realised the strong demand, they added capacity nearly overnight. So, I’m pretty sure that they’ve again established a process which will allow pushing production beyond 300,000 cars if the customer demands,” says Stephen Reitman, Merrill Lynch European auto analyst.

Mini is expected to reach higher grounds. “The Mini has been a phenomenal success, better than anyone expected, including BMW, but sales are close to their peaks, certainly in Europe,” says Al Bedwell, J.D.Power Automotive Forecasting analyst.

Auto analysts affirm that Mini is a big thing in the United States. “Currently Mini sells in the states (about) the same number as in the U.K. The U.S. sells seven times more cars than the U.K., so I’m convinced there exists a lot of additional potential,” says Ferdinand Dudenhoeffer, managing director of automotive consultants B&D Forecast of Bochum.

In addition, auto analysts are saying that BMW can benefit from the soaring mix of sales S, Cooper and basic Mini Ones. Parts Mini are now being enhanced and made more sophisticated to hook car aficionados.

“And you are right. Mini is more of a fashion/luxury item and thus the concept is probably better comparable to Porsche than to normal car business. Therefore I also think it is not about practicability, but customers buy the car to make a statement,” says Christoph Dolleschal, auto analyst with Dresdner Kleinwort. “Profitability wise the new Mini should do better than the old one. Pricing point is unchanged. However I think they’ve gained experience in production and simply are able to produce the car cheaper than the previous versions,” he added.

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