Choosing Between a New or Used Car
Why buy new?
Many people that buy new cars, site reduced maintenance and included warranties as a chief reason for their choice. It is true that since you are the first person to drive your car, there should be little to no maintenance issues with your car. Many times there are warranties that are included in the purchases of the car, so if there is a problem, you don't end up footing the bill for that too. Another reason to buy new is that cars are constantly being improved upon and new cars generally have better safety records and more safety equipment installed to keep your cargo the safest that it can be on the road. Of course, there is always the fun fact that you can select the color, special features, add-ons, and the famous "new car smell" if you purchase a brand new vehicle. Who doesn't love to have exactly what they want?
Why buy used?
One of the biggest advantages to buying a used car is that you miss the heaviest depreciation hit, which occurs in the first year. Many times used car buyers can get more for their money because of the loss that new car owners take. In many cases warranties that came with the car can be transferred to the new owner, alleviating the stress of worrying if something will break on your car. Another option that many buyers these days consider, is a certified pre-owned car, which is about half way between a brand new car and a used car. With a certified pre-owned car you get the assurance of a full manufacturer's warranty and competitive finance rates on your vehicle which are often not available to customers buying used cars. You pay a small premium over used car prices, but they are much more affordable than new cars.
The bottom line is that if you buy a new car, you know that it has always been treated well, has fresh parts, and a great warranty. If you can't stomach the depreciation, are looking to stretch your dollar, and aren't as particular about specifics, then you might be better suited for a used car right now. Either way, make sure you think about your lifestyle, do your research and finally find someone you trust to help you purchase your next car, used or new!