If you've ever bought a car at a new car dealership, you've probably been enticed with a 0% financing deal. Big auto manufacturers like Ford Canada, Honda Canada and General Motors Canada often offer 0% financing rates on the purchase of new vehicles.

But 0% financing isn't as incentivizing as you might think. Since you’re not giving the bank any reason to lend you money (by paying interest), you might be wondering just how it’s possible to get a 0% car deal? It usually isn’t the bank doing the lending but rather the automaker itself. It’s called captive lending.

The way an automaker makes money with a 0% deal is simple: The money does not get made on financing but rather the price of the car itself. Dealers will try to pad the cost of the car so they make their money back. They might also sell you extras to make up the difference, including extended warranties for your vehicle. Bottom line is, 0% financing isn't the amazing deal it seems like it is.

Also, the cost of financing gets built into the price of the car. If you obtain a 0% financing car deal, you likely will not get any other incentives on top of that. And that means the automaker still pockets a nice profit on the sale of the car despite not making any profit on the financing. You're better off utilizing a more normalized interest rate and taking advantage of other incentives the dealer is offering, or shopping elsewhere.

Dealers use 0% financing to get people into the showroom. But only customers with amazing credit can really qualify. To get 0% financing, you generally need a high credit score. This usually means having a credit score of at least 725, which puts you in the "very good credit" category.

At House of Cars, we're honest with our customers about the financing we offer them. We also aim to educate every customer about their particular credit situation and how we can create a plan for them to overcome their credit challenges. We want every customer who leaves our dealerships to not only understand their unique credit situation, but to feel comfortable with it, as well as the plan going forward!

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After the last two years we’ve had, Christmas 2021 was undoubtedly the MOST anticipated celebration in a while. 

However, this past Christmas season wasn’t the happiest time of the year for many Calgary youth…

From October 15th to December 31st, House of Cars Calgary and Trellis Society Avenue 15 teamed up to ensure that children going through homelessness also felt joy, hope and Christmas cheer.  

What is Avenue 15 

Avenue 15 is a shelter for youth ages 12 to 17 experiencing homelessness due to many difficult situations. 

Among providing temporary shelter and basic needs, Avenue 15 also offers: 

• A comprehensive support system to help youth reunite with their families or find alternative living arrangements.
• Family mediation
• Support with school
• Employment 
• Money management 
• Recreation
• Healthy living and life skill development 

Assistance is available 24 hours a day, 7 days a week, by calling or by walk-in at any time.

A little about House of Cars 

House of Cars is a used car dealership in Alberta committed to doing our part to strengthen and unite our community with lasting benefits through multiple charitable programs.

Our team has proudly donated towards community-building programs helping multiple families overcome hardships of all forms.

We see our involvement within our community as a responsibility, meaning our diligent work responding to social and economic needs is far from over.

We’re here to support our community when it’s needed most.

What was donated? 

Donation boxes were stationed at all of the House of Cars locations, where many generous Calgarians offered a variety of helpful and joy-inducing gifts:

• Shoes
• Clothes
• Outerwear 
• Giftcards
• Hygiene products 
• New unwrapped gifts 
• Sporting equipment 
• Art & school supplies 
• Family-friendly games & puzzles
• Cash donations 

100% of all proceeds were given to Avenue 15 to be fairly distributed to children in need during the holiday season. 

A special thanks

Honestly, Calgary. This effort would not have been successful without your big hearts. Together we helped make a difference for those experiencing unique trials and tribulations. 

A special thanks to all of those who extended a helping hand in any capacity. ?

How can you help, too!

The Christmas season may be over, but it isn’t too late to give a little or a lot (even a little goes a long way). Unfortunately, children experiencing hardships happen all year round. Click here to learn more. 

If you need a bit more time to help out, we’ll see you at any of our House of Cars Locations during the 2022 Christmas season! 

Thanks again, Calgary! Happy New Year!

Depreciation of brand new vehicles are often a tough aspect for prospective car owners to keep in mind. When buying a car or simply maintaining your current one, it seems that there are more immediate concerns to worry about. Concerns like insurance, that clicking noise coming from the engine, the fact that it's running at a bit of a high temperature, and the price of gas which is continually rising.

But car depreciation is an essential aspect to keep in mind, as it's always there. No matter how well you are looking after your car, it will continually drop in value as long as you own it. Unfortunately, the return on investment in vehicles is notoriously bad due to the rate of depreciation. But, what is depreciation, why does it happen, and how can you minimize it?

What is depreciation?

In Layman's terms, car depreciation is the difference between the value of your car from when you bought it to when you sell it.

Unfortunately, as soon as you drive your brand spanking new car onto the road, it can lose up to as much as a quarter of its value. If you've ever tried to sell a new car back to the dealership you purchased it from, you'll know what we're talking about. 

The amount that the value decreases depends on many factors, such as the make and model. Typically, however, a car will depreciate 15 - 30% within the first year of ownership and about 20% a year from then on.

If, for example, you purchased a new car for $20,000, it will lose between $2,200 and $5,000 as you hit the road. After a year, around 20% more of the value will have dropped, and then after about three years, your car will probably only be worth half of its original value. So after three years, you'd likely look at selling your car for as little as $10,000.

How tax drives depreciation

A primary factor in the rate of depreciation on new vehicles is the sales tax that's attached to the original price tag. For example, if we're still talking about the car that you've purchased for $20,00, let's say around $4,000 of that were to be attributed to sales tax. This means that when you bought the car, the actual value of it was, in fact, $16,000.

So, when you try to sell your car again, you already minus the $4,000 worth of sales tax that was initially attached to the vehicle.

Dealership prices

With any industry, there's going to be a rather large mark on the cost of a product from wholesale to resale. Most new car dealerships will purchase their vehicles from wholesale manufacturers at wholesale prices. So, let's say that the dealership purchased your car for $12,000 at a wholesale price. They're going to add on their own fees and costs to the process, raising the cost to $16,000 before tax is added. 

If they are buying brand new cars from $12,000 at the manufacturers straight off the assembly line, then it's unlikely they are going to even look at matching the price of a second-hand car, even if it's been well looked after.

How to minimize depreciation

There's absolutely no way to stop the depreciation of your vehicle, but there are ways to minimize the hit that you take. Here are a few tips:

1. Try to limit the mileage
2. Keep your car in good condition, service it on time, and repair damage immediately.
3. Buy a very new second-hand car to avoid the first year of steep depreciation.
4. Avoid over the top modifications like spoilers or crazy color jobs.
5. Sell according to the season for your vehicle.
6. Buy a popular color car, as it will sell easier.
7. Research the make and model of many cars to check and compare depreciation rates and invest wisely.
8. If you’re trying to sell a new car, try to sell your vehicle before the new replacement model makes it into dealerships.

At House of Cars Calgary, we sell nearly-new cars that are well looked after and won't take the first year of steep depreciation. If you'd like to know more about our services, please feel free to get in touch.

The demand for and use of electric vehicles (EV) and other eco-friendly vehicles continues to surge alongside the increasing growth of autonomous features. Around the world, debates have raged on the particular impacts that these new products could have; one of the biggest sticking points has been the loss of employment due to the increasing use of automation (mostly people-free) technologies used in the manufacturing of these products. However, there are more far-reaching impacts that electrification will have on road transportation and other industries that are less clear to the public.

If we look at the overall impact that electric vehicles could have on economies based on a variety of studies, then we can see that it is a largely positive one. However, as with any other big change within an industry - some will stand to benefit more than others and there will certainly be winners and losers.

If we’re being honest, the transition to a world that is completely filled with electric vehicles isn’t going to happen overnight. As such, we give the process a period of about thirty five to forty years to which we will see more electric cars on the road than fossil fuel vehicles.

However, in the next five years, we are expecting to see a massive growth in the EV sector and these are just some of the impacts that experts are predicting on a global scale.

Economic benefits 

As our population grows, so does the demand for cars and seeing as we don’t seem to be slowing down in our growth - it only makes sense that we’ll keep producing cars to keep up with this demand. While traditional vehicles will continue to be produced, there will be a big increase in the number of environmentally-friendly vehicles being manufactured for the market, which will lead to an increase in job production and wealth creation. Companies that are ahead when it comes to manufacturing and selling electric vehicles will make some serious money and contribute to the overall economy of their own countries.

A shift in global car manufacturing power

Currently, the global epicentres of vehicle manufacturing are mainly Japan, Germany, Detroit, etc. However, as we move to a more environmentally-friendly solution, we could see the power of automobile manufacturing shift to places that are a step ahead when it comes to green technologies. California, India and China are all examples of countries that would more than likely benefit from the shift. 

Places that have previously been known for their prowess in automobile engineering and manufacturing are going to have to start investing seriously in green skills and technology if they want to keep up with the rest of the pack.

Oil sales are going to drop even further

If the development and purchase of EVs continues to increase, we are most likely going to see the price of oil drop quite substantially. There is already a much larger quantity of cheap oil available now than ever before because of shale fracking. If the USA manages to become an exporter at the same time as electric vehicles really take off, then we could see a huge decrease in the amount of higher cost oils being sold due to a drop in market demand.

Automotive parts companies may struggle

Manufacturers of automotive parts are on the verge of being negatively impacted by the EV industry’s growth. Quite simply, electric cars have a lot fewer parts than traditional vehicles; in fact, they have thousands of fewer parts. Companies like Tesla have focused on simple, minimalistic vehicles that don’t require the same amount of upkeep and input as internal combustion vehicles, resulting in a substantial decrease in the demand for parts.

‘Green’ companies will flourish

As the need for traditional automotive parts starts to go down, the demand for renewable and electric parts will increase significantly. Companies that have already have the skills, money and products that meet green tax requirements, pollution regulations and other increasingly in-demand products and skills are set to really benefit from the EV market. We are expecting to see rapid growth in companies that specialize in green electric manufacturing and supply.

They will become more affordable

There is already a big difference in the cost between an EV now and what it would have set you back just a few years ago. As technologies evolve, it will become cheaper to produce electric vehicles. We should start to see these cars becoming more affordable for a larger range of people as they become more mainstream. At the end of the day, if we want to make the change to a completely fossil-free transport industry, the experts are going to have to find a way to make these vehicles more affordable for the average consumer.

Gone are the days when cars were largely mechanical devices. They’re increasingly reliant on technology that keeps them working efficiently and helping drivers to be safe.

The automobile industry is now largely driven by technology. Here are some of the trends that may have a major influence on the market in 2019.

1. Autonomous Vehicles

The coming of automated vehicles has long been predicted but slow to arrive. However, it’s a gradual process that has included the introduction of automated gearboxes, GPS, parking sensors and rear cameras that will all eventually lead to a car that drives itself.

While some of us may just be able to accept a car that can parallel park without our intervention, we’re not yet ready to be taken to our destination without the help of a driver, even though it offers great benefits to people who are unable to drive. The feeling of not being in control overrides any benefits an automated car can bring. We’re also not prepared to pay the cost of an automated vehicle, which is still considered excessive.

Automated vehicles will, however, be increasingly used by commercial organisations on private property at low speeds. These may include airport shuttle buses that take people between terminals or to and from planes on pre-set routes.

The cost of these vehicles can be easily justified by savings in driver costs and the avoidance of staffing difficulties during unsocial hours. So next time you’re at an airport, don’t be surprised if you get a bus with no driver.

2. Sharing Data

All modern cars are fitted with computers that can analyze performance, detect faults and predict fuel consumption. But they’re capable of so much more and, by passing data to and from the cloud, we can be provided with information that assists our journey.

Sensors will collect traffic data, climate conditions and other data that can be shared with others. This can inform you of what is to come and provide alternatives that make your journey better. Although this is already available to some degree with certain GPS models, it will become more sophisticated and wide-ranging.

3. Mobility as a Service (MaaS)

Automated vehicles are likely to be part of MaaS but are not essential to it. It includes ride hailing services  through apps and is aimed at making mobility accessible to everyone. As a result, the focus is likely to switch from innovative designs and feature-rich models to vehicles that deliver safety and comfort above all else.

4. Electric Vehicles

Like autonomous vehicles, these have been a long time coming but are now largely accepted as the future for cars. Limitations imposed by low battery capacity are being overcome, while the availability and capabilities of fast charging points are being increased. As a result, sales of electric cars are predicted to grow by over 30% annually.

Environmental issues are against petrol-driven cars, although advances in petrol engines will enable the transition to other fuels and further diminish the use of diesel. A host of new vehicles, whether battery electrics or plug-in hybrids, are due to launch in 2019 and are mainly manufactured by traditional car makers, rather than the electric specialists such as Tesla.

5. Trip Planning and Multi-Modal

The emphasis is likely to be less on using a single vehicle for a trip, and more on using several. Facilities will be available for complete trip planning that may include the use of public transport of various types, such as car or bike sharing and ride hailing services. The aim will be to complete the trip in the quickest, cheapest and most efficient way possible.

And there you have it – the five hottest technology trends for automobiles in 2019.

Car ownership in Canada is at an all-time high and sales have continued to increase over a period of many years. However, there are signs that sales growth is beginning to decline, and there are several reasons why this trend may continue.

More people than ever are living in urban areas where housing density is high, therefore, driving around is no longer an easy task. Additionally, they’re faced with parking problems, higher capital costs, insurance, fuel, and maintenance, as well as the increasing cost of owning a car in general. This has caused many people to abandon their cars altogether, this is particularly true for young people who have no ambitions to own a car.

The Growth of Car Sharing Services

Many of the new generation of non-car owners rely heavily on public transport, which is possible in urban areas where journeys are frequent and relatively cheap. Increasingly, however, they’re also using car-sharing services. This enables them to hire or drive a car whenever and wherever they please.

Many of these people have realized that any car they own sits immobile for at least 90% of its life, resulting in money being lost during the time the vehicle sits immobile. Therefore, they prefer the convenience and lower cost of using either public transport or a car-sharing scheme, depending on which is more appropriate for what they wish to do.

The car share market is still relatively small and its likely effect on the automobile industry is still unclear. However, it is continuing to grow and is starting to worry many in the industry who believe the effect will be a negative one. At present, it’s not possible to confidently predict anything for certain, but some assumptions can be made based on reasonable facts.

Possible Effects of Car Sharing

If car-sharing services grow as they are expected to, it will result in a corresponding decrease in car ownership. That, in turn, will result in fewer cars on the road, as well as streets being less congested with parked vehicles. The logical conclusion is that the automobile industry will ultimately manufacture fewer cars, although that’s not necessarily the case.

Privately owned vehicles spend the vast majority of their time parked, whereas car-sharing versions will be used much more frequently by many people. Therefore, they're almost certain to do more miles and depreciate faster, resulting in the vehicles needing to be replaced frequently. That’s particularly true because car-share users won’t stand for battered old vehicles and will insist on a modern and reliable car. The outcome is that, although there will be fewer cars on the road, generally, they will be newer, meaning car sales will most likely not be reduced as much as many people may believe.

One big effect may be the type and variety of cars that are made. At present, many manufacturers rely on innovative features to attract new buyers who are keen to upgrade to the latest model. Car share users, however, will have a vehicle only a short time and so won’t be particularly interested in those features. Instead, they’ll want a car that is reliable, clean and sufficiently roomy. That may well spell the end of coupes, sports cars, and high-performance cars, except for a niche market of keen car owners.

The car market will undoubtedly be changed by car-sharing but will not necessarily be reduced as much as many people fear. It will most likely mean fewer cars on the road and a reduction in variety.

It's advisable that a family spend no more than 10% of their income on the total cost of their car, including insurance. That means for most families, a new car purchase is out of the question. Thankfully there are used family cars for sale that can meet your budget.

With all of the car financing options available, there are lots of great used car choices for families. Used cars are smart choices because the prices of cars typically drop within three or four years being off the lot.

Navigating your choices means that you first need to know what your needs are. Whether you're a small family taking road trips across the state every few months or a big family needing a lot of trunk space, you want to make a smart, reliable choice.

Here are 5 options to help you sort through the used family cars for sale tailored to your family's needs.

Finding the Best Minivan

The natural option for most families of 4 or more is to look into a minivan. For hauling sports gear around town with some room for the dog, a minivan will do the job. Since finding one that's stuffed with gadgets and tech might be out of your budget, manufacturers tend to lean on safety features.

While this only has one USB outlet for the whole family, the Toyota Siena aims to redirect your attention with its all-wheel drive. It's one of the only cars on the market with four wheels gripping the road under the most treacherous conditions.

The latest edition features an 8-speed automatic engine with mountains of torque for hauling passengers and gear up hills with ease. That's what's helped earn it awards for resale value.

Finding one of these only a couple of years off the lot would make it a gem in the rough of your search for family cars for sale.

Finding the Best Family Sedan

For a smaller family looking for a safe car with good mileage, a sedan is a smart choice. What they lack in trunk space, they often make up for in performance and safety.

The Nissan Maxima is well known for its sporty driving but less so for its roominess. It'll be enough room for 3 passengers and some luggage on a trip upstate to see family and suited to get through traffic on the way to the airport.

Well-maintained Maximas have a life long past 10 years and its V6 engine is built to climb hills with you for years to come. It gets a solid 26 mpg from its 3.5-liter engine.

All of these factors keep it rated just below 9 out of 10 in consumer ratings.

Finding the Best Family SUV

SUVs have grown so much in the last 20 years. Safety and comfort standards have improved as well as their value and versatility. The Honda CR-V, one of the best selling SUVs in the country, is no exception.

With starting prices for a new model hovering around $24,000, it should be easy to find one within your price range.

Safety is a top priority for this SUV. The latest models have a backup camera, stability control, and crash test ratings that are second to none.

If your family loves tech, you'll appreciate the connectivity to Apple CarPlay and Android Auto integration. Voice controls will allow you to integrate your music and GPS seamlessly while keeping your hands on the wheel and your eyes on the road.

Finding the Safest Option

Finding a family sedan that's under $15,000 with high safety ratings might seem like a tall order. For example, The Subaru Legacy is a simple but efficient 4-door sedan that can suit the needs of most families. It also happens to be rated "5 Stars" for safety.

This mid-size car has been rated with "Superior" front crash prevention for the last 5 years. Its LATCH system for child seat anchors continues to improve with every release.

As an added safety measure, it has a rollover sensor that will deploy airbags in the case of a rollover. Front, rear, and head airbags are activated should a collision occur.

The newest models include seat cushion airbags. Located in the front part of the driver and passenger cushions, they prevent passengers from sliding under the seatbelt in the case of a severe crash.

Finding the Most Features

When searching through family cars for sale, some families need a car fully-loaded with features. Whether it's your family's love of gadgets, need for charging, or appreciation of cutting-edge safety, a Ford Fusion might be the way to go.

And if your family is has a green, sustainable household, you'll love the opportunity to lower your carbon footprint with the hybrid version.

For example, the loaded- up 2015 Titanium version includes a keyless ignition, leather interior, and rear parking sensors.

If you're a musical family, you'll love that this car is outfitted with twelve Sony speakers. Rock out to your favorite music together on a family trip or get into the groove on your way to school. More and more manufacturers are learning just how much people like their music!

For longer trips, backseat passengers can rest in comfort with the heated and cooled seats and video monitor.

You'll also remain safe and visible in low-visibility conditions. The Titanium package includes turning signals on the mirrors and front fog lights to see the way through fog and snow.

Finding The Ideal Family Cars For Sale

With so many family cars for sale, it can be hard to parse through all of the great options. While it may be tempting to find a cheap option online, it can be hard to verify the quality of what you're going to get.

Going with a dealership over an owner ensures that you're going to be protected instead of being potentially saddled with thousands of dollars in legal fees. The combination of a warranty, certified safety checks and the kind of advice you get from on-site mechanics can be priceless.

To see what's available near you, check out our inventory and see the great options in family cars for sale today.

You'd like to have a new vehicle to drive, but with your bad credit score, you can't afford it. Luckily, the right dealership and car loan can get you the vehicle of your dream.

Loans are the best way to buy or lease a car. Many Canadians are choosing smaller, more frequent, auto loan repayments to be able to affordably finance new vehicles.

It's a great time to get an auto loan in Canada, but if you have bad credit, car leasing may not seem like an option for you.

Fortunately, bad credit doesn't have to stop you from leasing a car anymore. In fact, with the right strategy, you can get financing with payments you can afford, and in case you didn't know, car financing with bad credit actually helps you build your credit score back up again. Bonus!

Bad Credit Car Leasing Strategies 

In the past, bad credit would automatically bar you from getting a loan. Today dealerships and lenders can be more flexible with people that have poor credit. There are a variety of financing options available to you.

Are you ready to learn everything you need to know and tackle bad credit car leasing? These are must follow tips for anyone with bad credit that needs to lease a car.

Get Your Finances In Order

If you're dealing with bad credit car leasing, it's important to take your financial situation into consideration. You'll need to make sure you're getting a loan you can afford to pay off in a reasonable amount of time.

Take into account what you're bringing in now from your job and how much you can realistically afford to set aside for monthly payments. If you're having trouble finding extra money, see what you can afford to cut down on.

This is a great time to revamp your budget so you can see where you can cut down on expenses. Once you have a solid budget that gives you an accurate picture of your financial situation, you can start looking for loans.

Knowing your financial situation should also involve knowing your credit score. When you know what your credit score is you can get a better idea of the kinds of loans you'll qualify for.

You should also get your credit report so you can dispute any charges you may not recognize. Lenders and collection agencies can make mistakes. Thoroughly check what shows up on the report to make sure your score is accurate.

Pay Down Existing Debt 

Are you having trouble with bad credit car leasing because of past debts? Before you commit yourself to new debt, you should make a committed effort to paying down your existing debt.

Paying off debt can help make you look like an attractive candidate for a loan. A solid payment history on debt shows lenders that you'll make an effort to pay them back.

If some of your debt is on credit cards, don't immediately close them after they're paid off. A steady on-time payment history can help credit, but closing accounts after paying them off doesn't look good to lenders.

Save Up For A Bigger Down Payment

Are you worried about getting a high enough loan amount to cover the cost of your lease? Instead of aiming to get the highest loan amount possible, aim to save up for a bigger down payment.

Having a large down payment can help reduce the total loan amount, lower your monthly payments, and could even help reduce the interest rate. A smaller loan amount could also make you look less risky to loan lenders.

A good rule of thumb to follow is to double what you would normally try to put down. The change from a 10% down payment to a 20% down payment could save you a lot of money.

Don't Go For The Extras

Some people end up needing a bigger loan than they anticipated for because they want extra features. If you want to reduce the loan amount, you should consider getting rid of some car features.

Think about what features are your must-haves and what you can do without. Leather seats and a backup camera may be nice, but if they end up tacking on more money to your loan it may not be worth it.

Consider A Co-Signer

You'd like to take the time to improve your credit, but you need a car now. If you want to get approved for a loan fast, it's time to look for a co-signer.

A co-signer is someone that will agree to pay off your debt in the event that you can't. The decision to co-sign for a loan shouldn't be taken lightly. Both parties can be affected.

If the original borrower can't afford to pay off their debt, co-signers could see their own credit scores suffer. Late or delinquent payments on the account will show up on their credit report.

You also need to make sure that the co-signer has a good credit score and history. If you choose someone with a low score, you won't be approved.

Going down the co-signer route isn't for everyone. Make sure you pick someone you can trust and that you're ready to make timely payments before you make any decisions.

Think Beyond Monthly Payments

People in bad credit car leasing situations may be overly concerned with their monthly payments. You want to make sure that you get a loan you can afford, but there are other parts of your loan that are just as important.

Pay attention to how the interest rate is expected to change throughout the loan's life cycle. Some rates may slightly increase depending on whether or not the monthly payment amount changes.

Your Turn

Have you been able to lease a car despite having bad credit? Tell our readers how you got your loan approved in the comments section!

If you have any questions about affordable car loan and leasing options, contact us so we can help. You can also check out House of Cars Inventory  and/or reviews for insperation.