New versus Used Cars: A Comparison

If you want to buy a car, the seemingly endless supply of options can leave you quite confused. You also have to decide if you should go for a used car or whether to opt for a new model, straight from the dealership. Both have their own pros and cons. Here’s how they compare.

Purchase Price

Used: One of the biggest advantages of purchasing a used car is that you can get incredible value for your money. While the discount on used cars may not be as large as it once was, there are still a number of great deals around. You just need to be diligent and do your research.

New: The price for a new vehicle will always be more expensive than that of an equivalent used model. However, if you are getting an auto loan, you will find that interest rates for new car loans are lower than those for old cars.

Features

Used: Finding a used car that perfectly suits your requirements can be a challenge in the pre-owned market since your options are typically more limited.

New: When shopping for a new car, you can get exactly what you want. The model, trim, engine, color, technology, etc., can be customized to suit your exact preferences. Most times, if you can’t find a model that you want at a dealership, you may be able to order one directly from the factory.

Reliability

Used: It can be hard to tell if a used car you intend to purchase has been maintained well by the current owner. Before buying the car, reviewing the vehicle history report and getting it inspected by a mechanic can help. If you can spend a little more, buying a certified pre-owned (CPO) vehicle is recommended since they come with a warranty.

New: A new car is fresh off the assembly line and comes with an original warranty and many other guarantees like free roadside assistance. This means you will likely be able to drive without having to spend on maintenance for at least three years after purchasing it.