Expect to Spend This Much to Own a Vehicle in Colorado

A man discussing with a car dealerAs of 2015, Colorado has 919 vehicles per 1,000 people. It simply means most residents own one. It is also a necessity. But having a vehicle doesn’t just give you the right to travel. It also implies a responsibility including paying its cost of ownership.

So how much does it cost to buy and own a vehicle in the state? Here’s a breakdown for you:

1. Purchase Price

Colorado likes Subaru Outback, which has a suggested retail price of $26,500. But it can balloon up to $33,200 for a limited edition, according to Kelley Blue Book. Resale price, on the other hand, can be as low as $6,000 for a 2004 model or as high as $16,000 for a 2014 model, based on Edmunds.com data.

Drivers also need to pay for registration and titling. Fees may vary according to factors such as sales tax based on the net purchase price, license fee, and ownership tax.

2. Insurance

Auto insurance is mandatory in the state, and everyone needs to meet the minimum liability coverage. For bodily injury, it is $25,000 per person. It’s $15,000 for property damage per accident and $50,000 for bodily injury per accident.

To protect you from possible losses due to an accident or bodily injury caused by someone who doesn’t have insurance, you need the uninsured or underinsured coverage. It has a minimum requirement of $25,000 per person or $50,000 per accident.

The actual costs depend on many factors such as age and driving ability. Teens, for example, can add a whopping 73 percent to their parents’ premium. They could also end up paying 36 percent more than their parents’ policy if they opt for individual coverage.

3. Repair and Maintenance

In the recent survey of AAA Colorado, owning new cars could mean spending $1,186 annually for maintenance and repair. Although that’s a lot of money, car owners can reduce that with the help of an auto service in Arvada CO.

Professional services can help extend the lifespan of the vehicle and even make it more fuel efficient. It can also help mitigate the effects of depreciation. New cars can lose $15,000 of its value within the first five years.

In Colorado, you can’t avoid owning a vehicle, but it also pays to be a smart shopper. Consider these numbers when out looking for a ride.