Buying a Used Rental Car to Save Money
Discover if buying a used rental car from Hertz, Enterprise or Avis can deliver a newer vehicle with modern features at a fraction of the typical used car price.
Pros and Cons of Buying a Used Rental Car to Save Money
Used rental car pricing is usually transparent — what you see is what you get. That means you don’t need to go in ready to haggle for a car.
Should You Buy a Used Rental Car to Save Money?
New car prices have reached record levels, with the average transaction price surpassing $48,000 in recent years according to Cox Automotive data. Used cars, while more affordable, still average around $25,000 per Kelley Blue Book, and older models often come with higher risks of mechanical issues shortly after purchase. In this challenging market, buying a used rental car emerges as a compelling strategy for budget-conscious buyers seeking reliable transportation.
Major rental companies such as Hertz, Enterprise, Avis, and Budget regularly retire their fleet vehicles after 1-3 years of service. These cars are typically low-mileage relative to private owners but packed with the latest safety features, infotainment systems, and fuel-efficient engines found in newer models. For instance, Hertz Car Sales frequently lists thousands of vehicles under $20,000, allowing buyers to access 2022-2024 models at prices that undercut traditional dealerships.
This approach appeals to families, first-time buyers, and anyone prioritizing value over customization. Real-world examples abound: Parker Myers from Indiana bought a 2-year-old Kia Sportage from Hertz with 32,000 miles and reports zero issues after five years of ownership. Similarly, KB Scheinding in Ohio purchased a 3-year-old van with 75,000 miles that has performed reliably for her family. These stories highlight the potential, but success depends on thorough inspection and realistic expectations.
Does Buying a Used Rental Car Save You Money?
Yes, buying a used rental car can significantly save money compared to new or typical used vehicles. Rental agencies like Hertz offer extensive inventories priced under $15,000 or $20,000, far below the $25,000 national average for used cars. As of early 2025, Hertz listed over 3,000 vehicles under $15,000 and 44,000 under $20,000 nationwide, providing ample options for most budgets.
The key advantage lies in the age of these vehicles. While private sellers or small lots often peddle cars averaging 5.76 years old, rental fleets turn over quickly to maintain modern lineups. This means you can snag a 2-3-year-old SUV or sedan with advanced driver-assistance systems (ADAS) like automatic emergency braking and lane-keeping assist—features absent in many budget used cars.
Consider the math: A 2023 model from Hertz might cost $18,000 with 30,000 miles, versus $28,000 for a comparable private sale or $40,000+ new. Fuel economy improvements in recent models can save hundreds annually on gas, and transparent no-haggle pricing eliminates dealership games. However, savings aren’t guaranteed if you’re set on a specific color, trim, or brand—rental fleets favor popular, high-demand models like Toyota Camry, Honda CR-V, or Chevy Equinox.
Pros of Buying a Used Rental Car
Despite the unique challenges, used rental cars offer distinct benefits that make them worth considering for savvy shoppers.
More Car for Your Buck
Rental cars deliver exceptional value by combining recent model years with aggressive pricing. Unlike older used cars under $15,000 that often lack modern safety tech, these vehicles include forward-collision warning, adaptive cruise control, and Apple CarPlay/Android Auto as standard. The average used car on the market is over 5 years old, missing out on EPA-rated fuel efficiencies that have improved 20-30% in the last decade per U.S. Department of Energy data.
Buyers like Flaherty scored a 1-year-old Chevy with just 13,000 miles, essentially getting near-new condition at used prices. Even higher-mileage examples provide better longevity than decade-old alternatives prone to costly repairs.
Warranty Coverage
Manufacturer warranties frequently remain intact, covering powertrain components up to 60,000-100,000 miles depending on the brand. Hertz Certified vehicles include a 12-month/12,000-mile limited powertrain warranty, plus 12 months of roadside assistance from Avis equivalents. This safety net mitigates risks, as evidenced by Myers’ trouble-free Kia experience despite 32,000 miles in two years—likely from highway-heavy rental use, which is gentler on engines than city stop-and-go.
Federal Trade Commission guidelines ensure rental sellers provide vehicle history reports (VHRs) via Carfax or AutoCheck, revealing accidents, service records, and odometer readings transparently.
Complete Maintenance Records
Rental companies adhere to rigorous maintenance schedules enforced by fleet management software, often exceeding private owner diligence. Expect oil changes every 5,000 miles, tire rotations, brake inspections, and multi-point checks documented in detail—information private sellers rarely provide. This transparency allows buyers to assess care quality, such as distinguishing highway miles from abusive urban driving.
Cons of Buying a Used Rental Car
While attractive, used rental cars carry drawbacks stemming from their high-traffic history that demand careful evaluation.
Rougher Driving and Wear-and-Tear
Renters, insured with full coverage and no long-term ownership stake, often drive aggressively: speeding, hard braking, and overloading. This leads to accelerated wear on suspension, brakes, transmission, and interior upholstery. Industry data from iSeeCars indicates ex-rental cars experience 20-50% higher repair rates in the first post-sale year compared to private vehicles.
Scheinding’s 75,000-mile van exemplifies typical odometer readings—double average annual mileage—raising concerns for components like clutches or turbos.
Limited Inventory and Selection
Fleet composition limits choices to high-volume models in basic trims, with sparse local availability. Hertz’s 44,000 under-$20K national stock shrinks dramatically by ZIP code; Cincinnati shoppers saw only 374 options. Myers accepted base models due to slim pickings, a common trade-off for color, options, or exotic brands.
Lower Resale Value
High miles and rental stigma depress trade-in values by 10-20% versus comparable private cars, per Edmunds analytics. What saves money upfront erodes equity when selling or trading, potentially costing thousands on your next purchase. Plan to drive long-term to maximize value.
How to Buy a Used Rental Car: Step-by-Step Guide
Follow these steps to minimize risks:
- Research Inventory: Check HertzCarSales.com, EnterpriseCarSales.com, AvisBudgetGroup.com for local stock and VHRs.
- Inspect Thoroughly: Hire a mechanic for pre-purchase inspection focusing on brakes, tires, suspension, and transmission.
- Verify Warranty: Confirm remaining factory coverage and any dealer-added plans.
- Test Drive Extensively: Check for unusual noises, vibrations, or warning lights.
- Negotiate Smartly: No-haggle policy applies, but bundle add-ons like extended warranties judiciously.
- Finance Wisely: Secure pre-approval; avoid long-term loans over 60 months per Consumer Financial Protection Bureau advice.
| Company | Avg. Price Under $20K | Warranty | Roadside Aid |
|---|---|---|---|
| Hertz | 44,000 vehicles | 12-mo/12K-mile powertrain | Yes |
| Enterprise | Varies by location | 7-12 mo limited | 12 months |
| Avis/Budget | Competitive | Similar | 12 months |
Frequently Asked Questions (FAQs)
Are used rental cars reliable?
Many are, thanks to maintenance records and warranties, but higher miles increase repair risks. Always get a PPI.
How many miles do ex-rental cars have?
Typically 20,000-80,000 in 1-3 years, mostly highway miles which are less taxing.
Can I finance a used rental car?
Yes, most offer on-site financing with competitive rates; pre-approval strengthens your position.
What’s the best company for used rentals?
Hertz leads in volume; Enterprise excels in certified programs. Compare local inventory.
Do they come with Carfax?
Standard at major sellers, detailing full service and accident history.
References
- Pros and Cons of Buying a Used Rental Car to Save Money — The Penny Hoarder. 2025-01. https://www.thepennyhoarder.com/save-money/buying-a-used-rental-car/
- Used Car Market Report — Kelley Blue Book. 2025-12. https://www.kbb.com/car-advice/used-car-market-report/
- Vehicle Depreciation Trends — U.S. Department of Energy, Alternative Fuels Data Center. 2024-06. https://www.afdc.energy.gov/data/10312
- Consumer Guide to Vehicle History Reports — Federal Trade Commission (.gov). 2023-08. https://consumer.ftc.gov/articles/buying-used-car-government
- Ex-Rental Car Reliability Analysis — iSeeCars.com Study. 2024-03. https://www.iseecars.com/rental-car-study
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