Should I Buy a New or Used Car?

Irrespective of how you look at it, buying a car is a significant investment decision. As a matter of fact, most car owners have profound memories of the first car they ever owned. While buying a car is somewhat a milestone, the decision on whether to buying a new or used one is without doubt a major one. Depending on your needs and budgetary allocations, you may decide to go either way. To help you make an informed decision, here is a look at the benefits that come with purchasing a new or used motor vehicle.

Benefits of Buying a Used Car

Affordability… This is perhaps the primary reason most people would prefer buying a used car. The fact that it has been used previously means that its price is reduced hence affordable. Lower prices also give you the chance to buy nicer models that are out of reach when new due to the high prices they go.

Reduced Loss in Value… New vehicles lose value much faster than used ones. In fact, some models can lose as much as forty percent of their value during the first year of use. On the other hand, a used car has already hit depreciation and the rate is much slower once it’s in your possession.

Cheap Insurance Rates… The value of the unit has a direct impact on the cost of its insurance. The higher the  value, the higher the insurance will. Used cars are less expensive which means they have a reduced value. You will save more money on insurance if you buy used cars as compared to buying new ones.

Wider Choice… You cannot make a special order for a used car, but you can easily get models that are no longer in manufacture. While you may not be fully satisfied with what you get, you can always buy an old classic car and upgrade it. In fact, most classic cars that have been stepped up sometimes cost more that new motor vehicles.

Improved Reliability… Used autos may not have the same warranty as new ones, but some car makers will transfer the original warranty to the second owner. However, this happens only when you buy from authorized dealers only. The car has to be certified by the original manufacturer before the warranty is extended. The fact that a used car has been in use for quite some time only means the model is more reliable, and you can look forward to using it with no hitches.

As mentioned earlier on the choice of whether to buy a new or used car solely depends on your needs and the budget. Let’s flip the coin and look at the advantages that buying a new car brings.

Benefits of Buying a New Car

Reduced Maintenance Costs… You don’t have to subject a new auto to a maintenance procedure until it has been on the road for several thousands of miles. In addition more and more dealers are willing to meet the cost of maintaining it for a couple of years in a bid to attract more customers. You won’t have to change the battery, tires or even the brake pads as is the case when you buy cheap used cars.

Latest Technology… Unlike used cars, a new car boasts some the most recent technology which increases their comfort and performance. Newer models have fuel saving features and are more fun to ride as compared to old cars. Depending on the type, you may find cars with the extra ability such as crash detection systems, incredible accelerating power, rear view camera and easy to control hydraulic steering wheels just to name but a few.

Financing… It would be easy to attract financing if you have the intention of buying a new car as opposed to an old car. This is because the car’s value is still intact and has not been affected by depreciation. While getting financed for a new car is relatively easy, you need to remember that the overall cost will be higher due to the interest charged. This in effect means a cheap car might end up being way expensive in the long run.

You Can Order for Custom-made Vehicle… If you have the money to spend, and the question of whether to buy a new or used car does not even arise, you can order a new car as per your specifications. This is one distinguishing factor between purchasing a used and a new car. However, it is important to mention that not all car makers will offer this facility. Mostly, custom-made cars are the preserve of luxury automakers. It is, needless to say that you must have the money if you want a tailor made car that is unique to only you.

Comprehensive Warranty… A new car’s warranty is broader and covers a lot more when compared to a used car’s warranty. Some manufacturers got to the extent of providing alternative means of transport if you are stuck at home due to your car’s breakdown. Others have a warranty that includes roadside assistance and towing services when you are caught off guard. If a particular part has a malfunction, there are warranties that take care of that too by replacing the broken part. Again, comprehensive warranties are offered by selected automakers and may vary from one location to the other.

Like outlined above, there are many advantages that come with buying a used or new vehicle. The most important question to ask yourself is why you need a new one in the first place. Once you have established the need, the decision on whether to buy a new or used becomes a lot easier. Regardless of which way you go, ensure that you conduct a thorough research on any offer that would save you some money.

Remember that you will need to spend further for operation and maintenance cost. Lastly, ensure that you only buy from authorized or reliable dealers as making a complaint becomes easier. Let the legal framework be in place as well just in case anything happens.