Are you excited to get your adventure on but can’t due to steep ATV costs? We hear you. That’s why we’ve written this article on why these mean machines are expensive, and you need ATV financing to move forward.
So, Why Are They Costly?
ATVs usually cost between $5,000–$15,000. Why?
- Firstly, they are still considered utility vehicles rather than actual vehicles. Indeed, they are used for recreational and sports purposes more often than before. However, most still perceive them as tools that can be used in agriculture (lodging fertilizer, carrying tools for working in the field, etc.) or other areas of everyday living (plowing snow, for example).
Why is this relevant? Well, since they are perceived as utility use, they automatically don’t have such a large market, meaning that to profit from these products, the companies that produce them must make them expensive. Otherwise, it wouldn’t make sense for them to create them. You know that tractors and combine harvesters are likewise costly for the same reasons.
- The second reason is that their production does cost more. Namely, ATVs are designed to be more adaptable to different terrain than “classical” vehicles, such as cars and motorbikes. This means they have to have stronger parts, which cost more money.
So, the production costs more, and since companies are always profit-orientated, it’s logical that they will sell their ATVs at higher prices. If you don’t have an extra $5,000–$15,000 disposable income, ATV financing is your best chance of owning one.
- ATV prices are high because of the demand. The market plays a significant role in setting prices, and as long as people are willing to pay $10,000 or more for an ATV, prices won’t come down. This is especially true in the United States but also applies to other parts of the world. So if you’re thinking of buying an ATV, don’t expect to get a bargain.
Are They Worth It?
ATVs are a good investment if you’re looking to resell later on. The worst-case scenario is that you won’t get as much money as you originally paid for the vehicle.
For example, let’s say you buy an ATV for $9,000. You take care of it, don’t overuse it, and after three years, you decide to sell it. However, you can only get $4,000 for it. This happens with many products, but ATVs aren’t one of them.
The value of ATVs doesn’t decrease that much over time. In fact, after a few years, their value remains the same. Most ATVs will lose their original value within 3–4 years from their first use. However, more robust models depreciate less.
Generally, generic models tend to depreciate for the first 3–4 years. But after that, their prices remain mostly the same. This is because of their all-terrain trait. You get a vehicle that can travel on any kind of road surface. Even with its age, that holds some usefulness for the new owner, especially if they like adventuring more than you.
Conclusion
If you’re well within the capabilities of buying a new ATV with cash or need one through ATV financing, reach out to Canada Powersports today! We empower customers with financing for ATVs, snowmobiles, RVs, and much more! Get started by visiting our website!
