Used Car or New Car?
To buy a used or a new car – which is the best? It mainly depends on your budget. If you can afford it, by all means go for a new car. Many people decide to buy a used car just because there are certain advantages over a new one. Both have their own very different advantages and disadvantages though, it is up to you to decide which is right for you and your budget.
The following are some of the advantages of buying new:
Peace of Mind
The car is brand new so you can be guaranteed that it hasn’t been used before or it doesn’t have any of the potential problems, wear and tear etc. that a used car might come with. All the parts are new so you know the car should last for a long time without you having to fork out and get things fixed.
With a new car you get a full warranty. Depending on the length of time the warranty covers (usually 3 years) if anything happens to the car within that time it will be fixed free of charge or the car will be replaced by the dealer.
A new car will always have better handling and if you use your car properly and drive it carefully it should last you for years without any problems.
Buying a used car
Used cars also have some advantages – the following are just a few:
The main benefit is that you will save a lot of money. As you know, once a new car is driven out of car lot it immediately loses up to 20% of its value. Therefore you can get an almost new car for significantly less than a brand new one and it may even still be within its warranty period. If your budget is smaller, you can still get a good used car for less than £1000 if you shop around – you need to have a good working knowledge of cars though to make sure you are buying a car without serious defects, whenever I buy a used car I like to look up the most common faults with that make and model then when I go to view it I know what to look for.
Less Sales Tax or VAT
When buying direct from a private seller you probably won’t have to pay any tax at all, however if you are in the U.S.A your state may require you to pay tax usually the seller will pay it (they will probably be more desperate to sell than you are to buy).
As I said above when buying any car the first thing to do is research your chosen model. There are numerous car blogs and websites online where people review different makes of car. You want to purchase one from a reputable company that is deemed reliable by the majority of users. Next you should decide on your budget, and whether or not you want to pay for the car outright or choose a finance option. Insurance and any extra costs such interest (if you are buying a car on finance) should be factored into your budget.