New
Used

What car are you interested in?

Don't worry, you can change your mind later on.

Sign Up Log in

Buying A Rental Car: Pros, Cons, And What You Should Know

Key Takeaways

  • Buying a rental is both affordable and risky.
  • With due diligence, buying a rental car makes sense for many, but not all, used car shoppers.
  • Rental EVs bring added risks, making pre-purchase inspections more important.

Buying a rental car can be an affordable way to get a newer vehicle, but it’s important to weigh the pros and cons. Rental cars are often priced lower than those privately owned, making them appealing to budget-conscious buyers. But are the risks worth it? Let’s weigh the pros and cons to find out.

Pros of Buying a Rental Car

Rental car companies like Hertz offer no-haggle prices on one to three-year old used cars, which can be significantly lower than the true market value. For example, a 2023 Tesla Model 3 could be thousands of dollars cheaper than its resale value. Additionally, rentals are well-maintained, with strict maintenance schedules and frequent cleanings. At least, that’s what’s supposed to happen. As many who have rented a car know, the experience can bring surprises, most notably unpleasant odors. With that said, let’s move on to the reasons why buying a rental car can be a bad idea.

Cons of Buying a Rental Car

While buying a rental car can save you money, it comes with some downsides. The most significant concern is high mileage. Rental cars often accumulate mileage faster than privately owned vehicles, leading to more wear on components. This is a big part of why rental cars are so affordable.

Additionally, while rental agencies maintain their fleets, cosmetic wear and tear from frequent use are not always addressed. Common signs of wear, like minor scratches or worn interiors, may still be present. Your rental car company should permit you to take the car to an independent mechanic for a pre-purchase inspection. These PPIs typically cost $100-$300, but it could easily identify problems that would cost you thousands of dollars.

Perhaps the most common complaint from those who rent cars is the smell. First, there are the lingering smells of previous drivers. Second, there are the odors that vehicle cleaning leaves behind. It’s not unusual to rent a car that somehow smells of cigarette smoke, even if smoking was never permitted in the vehicle. These odors can be very tough to eliminate.

Rental cars also tend to have limited features and are typically basic models without the higher-end trims or optional upgrades you might find in privately owned vehicles. Lastly, used car resale values may be lower than average, as many buyers shy away from purchasing former rental cars.

Buying an Electric Rental Car 

Should you buy a rental Tesla?

With the rise of electric vehicles in rental fleets, buying an electric rental car can be a cost-effective option for those looking to make the switch on a budget. Hertz is selling thousands of EVs after learning that renters are hesitant to give EVs a try on a time-constrained business trip or vacation. After all, charging is time-consuming. However, there are some precautions that every used EV shopper should take, whether buying from a rental car company or elsewhere. 

  1. Consider the battery’s condition, as frequent short trips and rapid charging could reduce battery health. Don’t buy a used EV unless you can see what the estimated range is at 100% full charge, and compare the number to the EPA-rated range when new. 
  2. Always check the vehicle’s charging history to the best of your ability. If an EV was exclusively charged at DC fast chargers, it’s more likely to be in poor condition. Overnight ‘Level 2’ charging is easiest on high-voltage batteries. 
  3.  Verify the battery warranty to ensure it’s still covered. Fortunately, EV battery and powertrain warranties typically last longer than coverage provided for ICE vehicles. See the best (and worst) EV battery warranties.

Final Thoughts: Consider Your Wants, Needs, and Budget

Buying a rental car can be a cost-effective way to get a reliable vehicle, but it’s essential to weigh the pros and cons. High mileage, potential cosmetic wear, and limited features may not matter if your primary goal is affordability and ease of purchase. However, you should always get a vehicle history report and inspect the car carefully. If you’re looking for an affordable car without the frills, a rental car could be a smart choice. For EV shoppers, pay extra attention to battery health and charging history to ensure you’re getting a well-maintained vehicle.

See depreciation data, total cost of ownership, maintenance costs, and so much more at the 100% FREE CarEdge Research Hub.

Save time and skip dealership!

Our concierge service can find any car for you.


Want to do it yourself?

Try Insights. Data and tools to help you research.


Last updated Oct 2, 2024

0 Comments

Submit a Comment

Your email address will not be published. Required fields are marked *