With so many options out there and so many considerations to make, buying a car can often be a daunting task. But where does one even begin the hunt? With thousands of new and used cars for sale on the market, the first question that probably comes to mind is which is the right choice for me?
That being said, let’s break it down! Here are some of the advantages and disadvantages of buying a used or new car:
The Pros and Cons of Used Cars
Pros of Used Cars:
Pro: Lower Depreciation Rate - Cars typically lose over half of their value within the first five years due to the increase in their mileage and the natural deterioration of their condition, meaning that when you purchase a used car that’s a few years old, the original buyer has absorbed the main depreciation blow.
Pro: Bigger Bang for Your Buck - If you’re lucky, you might be able to score the ride you’ve been looking for - whether it be a hybrid car, SUV car or whatever else - from used car dealers or directly from the owner at a significantly lower car price, sometimes even half.
Pro: Better Resale Value - Because depreciation is slower on an older vehicle, you most probably could resell your used car for a similar price to what you had originally paid, ultimately not losing a ton of money.
Cons of Used Cars:
Con: Unknown Car History - Those who buy used cars from used car dealers or people they don’t personally know may not always have the comprehensive record of the vehicle, including how it was treated, whether it was properly maintained or why it was traded in, which is why a thorough inspection by a trusted mechanic is crucial before making your purchase.
Con: You Can’t Pick and Choose / Take It or Leave It / Not Made to Order - When you buy a new car, you get to choose the exact features, specs, options and even color that you want, which may not always be the case with used cars for sale, meaning that you might have to make a few compromises on certain details.
Con: No Car Warranty - If the car you’re eyeing happens to be a slightly older model, its original manufacturer warranty may have expired, leaving you without much protection if something goes wrong, especially if you don’t have any auto insurance.
The Pros and Cons of New Cars
Pros of New Cars:
Pro: The Purchasing Process is More Direct - With a new car, evaluating its current state or learning its history is unnecessary, and finding out its market value is much easier, unlike used cars for sale, whose values can vary substantially due to mileage, condition and other factors
Pro: Better Financing Options - Unlike vehicles bought from used car dealers, new cars often are available with attractive buying incentives and low interest rates to encourage you to seal the deal and make the purchase.
Pro: Advanced Technologies and Greater Fuel Efficiency - The latest cars are manufactured with the newest features and safety options, with added emphasis on fuel efficiency and eco-friendliness. If that’s what you’re looking for, then a new car is probably the right choice for you.
Cons of New Cars:
Con: Steep Drop in Resale Value - New cars lose resale value almost immediately after you buy them, which is something definitely worth considering, especially if don’t plan to drive the vehicle through its lifetime.
Con: Higher Purchase Cost - A new car is usually significantly more expensive than its used counterpart, which could make a down payment or monthly loan installments harder to afford for those on a tighter budget.
Con: Higher Maintenance Cost - Thanks to inevitable wear and tear, a used car will eventually need more maintenance and repair works overtime, which could eat into the savings you made at your initial purchase.
Whether you’re searching for a new car, used car or simply can’t make up your mind, visit the Markazia Lexus showroom on Mecca Street today, because we just might have what you’re searching for!