Should I Buy a New Car or a Used Car?
One of the biggest questions car shoppers face is whether they should buy a new or used vehicle. While there are certainly pluses and minuses for each option, it all comes down to your personal wants and needs. Here are some of the reasons you might want to buy a new or used vehicle.
Affordability and Depreciation
If affordability is your top concern, you will almost always be better off buying a used vehicle. Buying a used vehicle is less expensive up front, and you’ll be able to avoid the steep depreciation that occurs during the first year. A new car can depreciate by 20%-30% in the first year alone, then 10% a year for the next five years. Buying a vehicle just a few years old can save you quite a bit of money.
Insurance and Licensing
The less you pay for your vehicle, the less you will pay for licensing and insurance. Many new vehicle owners forget that the pricey new GMC they just purchased carries a hefty weight at the DMV and when they insure it. If you do plan to buy new, make sure you budget for these costs so you are not taken off guard.
If you are looking for an Elkhart new Jeep or new Dodge and you want something to meet your exact specifications, you’ll probably want to buy new. It’s difficult to find a used vehicle that has the exact motor, interior features, color, and bells and whistles that most appeal to you. With a new truck or car, you can order exactly what you want and not have to make any compromises.
Financing Deals and Specials
Dealerships are often given the opportunity to put new models on special or to offer financing deals for them as a way to highlight new lines or popular brands. If you are looking for a new Jeep or Dodge in Elkhart, you might be able to take advantage of one of these specials or a financing deal that will make your monthly payments more affordable. Used cars do not benefit from such specials and the only way to reduce payments is to have a good trade-in.
New vehicles tend to come with a standard three-year, 36,000-mile warranty, which means repair costs won’t even be on your radar when you drive off the lot. Though you can add warranties to used cars, they can be costly and are often limited. If fewer trips to the repair shop are high on your list, you should probably buy new.
Whether you decide new or used is right for you, working with a reputable dealer is always the best way to ensure that you get the right vehicle at the right price. If you’re interested in buying a car or truck, please take a look at our website or come visit us at our dealership.