If you haven’t had much experience buying a car, then you probably think that buying new is always better than buying used. But, there might be a few things that surprise you about the differences. In this article, we are going to highlight some key points that you should know about before buying any car, whether it is brand new or second-hand.
Obviously, buying a new car will be more expensive than buying a used car. But, there is one more cost you need to consider. At some point later down the line, you are going to think about selling your car, either as part-exchange or to another party.
Now, as soon as you drive away a brand new car after buying it, straight away it will depreciate somewhere between ten and twenty percent. In a single instant. When you buy second-hand, you don’t lose anything, other than for the miles and damage that you do yourself.
So, when it comes to selling your car, you will lose more value if you bought brand new. Make sure you account for that first before investing anything.
Another cost to consider is maintenance. Used cars are a more risky purchase than buying new, just because you cannot be sure how well it was maintained by the previous owner. There could be an underlying problem with the way they used to drive it, for example, that will start to cause problems after a couple of months on the road.
To cut down on your risk, look at manufacturer-approved dealers, who will need to perform some basic checks before selling the vehicle onto you. Let’s say you want to buy a Ford car. A less risky solution could be to look at Fords at THC instead of buying from your local used car garage.
See if you can get an extended warranty to ensure that if anything happens to the car, they will fix it for you. That will give you better protection than buying from a private owner who will wash their hands of the vehicle as soon as you hand over the money. Check out our article on things you need to think about when buying second-hand for more info.
Of course, the quality of a brand new car will be far greater than a second-hand alternative, no matter how the previous owner looked after it. When you buy new, you will receive your vehicle exactly how the manufacturer imagined it. It will, quite naturally, never look better.
However, is the extra cost worth it? In some cases, yes. If you are driving alone and perform regular cleaning and maintenance, you can keep things looking new for years to come. But if you think you will be too busy to take care of it well, or have young children that are likely to make a mess, you should ask yourself it that extra cost is worth it.
We hope that this has helped you understand the pros and cons of buying new and used cars. Weighing up the costs – including the future costs – is an essential part of coming to your decision.