When it comes to the time to buy a car, you may be wondering about whether you should buy a new one or a used one. Both ideas have their pros and cons, but there are many more reasons why buying used is the best idea, and is something you should certainly consider. Here are some of those reasons.
Depreciation
Possibly the biggest reason to buy a used car and not a new one is what is known as ‘depreciation’. Unlike most purchases, as soon as you drive the new car away from the forecourt it will have lost value (unless it is a special car such as a classic car, but that is a rarity). That’s because when you sell it on or come to trade it for a new one, it will be classed as a used car, even if you’ve only driven it for a week (used cars, therefore, aren’t necessarily old). Within the first three years of owning a new car, you can expect to have lost around 50 percent of its value. When you buy a used car, that won’t happen – the original owner has already taken the hit so you don’t have to.
More Choice
There is so much more choice on the used car market than when you start looking at brand new models. When you search around for a used car, you can have your pick of make, model, style, color, and the additional specifications that go along with it. As long as it is what you want, and it fits within your budget, you should be able to buy it and drive it away there and then. If it is a fair distance away, you can look into the cheapest way to ship a car easily, and in this case, you might even be able to broaden your search area.
A Better Deal
A used car is always going to be less expensive than a new one. This is partly due to the depreciation we have already mentioned, but also because the used car market is a competitive one, and therefore you should be able to find a great deal, or bargain for one if it doesn’t already exist.
Buying a used car also means that you are more likely to pay outright, since it will be less expensive than a new one. That means you won’t be subject to the interest rates added to a loan or car finance, which will save you even more money.
Certified Pre-Owned
The reason that some people are put off from buying a used car is that they just don’t know what problems it might be suffering from in the engine, or anything else. This is especially true of more modern cars since there are so many computerized and electrical components. With a new car, you are almost totally guaranteed that it will be in perfect working order, and if there are any problems it will be under some kind of warranty.
This doesn’t need to be a problem if you are buying a used car that has a certified pre-owned option. This is a specific kind of manufacturer’s warranty, and what it includes will depend on the make and model (and sometimes age) of the car. It is always worth checking out before making a purchase, just to be safe.
Featuring the Honda HR-V
CRD Auto Industry Insider may contain helpful and on-topic partner content that auto enthusiasts and car shoppers find valuable.