The average consumer considers buying both a new or used car during their shopping process. So, which do you choose? The budget conscious shopper thinks he or she can save money by buying a used car and let the previous owner absorb the depreciation. The fact is that’s true. Now, does this mean that a new car is automatically out of the question for you? Maybe not…
Here are the top 4 reasons to buy a new car…
#1 Used car buying can be tricky
First we have to understand that not all used cars are created equal. Some are better than others. Next we have to figure how used is too used. The older the car, the more likely you will have unexpected repair bills. In some cases age is just a number. Some makes and models have a better reliability history. However, you can’t just bank on past history. Every year new cars get makeovers. They get new technology, upgrades in suspension, and changes in interior and core material make-up. Any of these changes could change the longevity of a used car. Additionally, you have to look at mileage. Two used cars born the same model year with a 20,000 mile odometer difference can have a significant impact on purchase price and the quality of life of used car ownership.
#2 Cheaper is not always better
Buying a car on price alone is about as bad a marrying someone just because they would say yes after a date to Pizza Hut (no offense to our friends at Pizza Hut). For most of us price is important, but it can’t be the only important factor. Here’s a list of things to consider:
1. Budget (how much can you afford…payment, insurance, gasoline, repairs, etc?)
2. Reliability history of vehicle
3. Consumer reviews of used models of the cars you’re considering
4. Your driving habits
5. How good are you at keeping up with your routine maintenance
6. How long you plan to keep the car
7. Your Credit Score (can you get the worst, good, better, or best financing terms)?
8. Can you put down a big down payment?
9. Are you the only person driving the car (will the other drivers care for your car the way you do?)
#3 New cars have better financing terms
Very often new cars are a great deal, because the financing costs are cheap. There are lots of 0% deals in the market today. Now, you do have to qualify for them. If you do qualify, you may be better off with a new car. Additionally, there are some amazing low payment – zero down payment leases. You could be driving around town in a $50K car for less than $500 per month (depending on the manufactures offer and your credit status). Normally, a $500 per month payment would put you in a $25K – $30Kish car purchase. That’s a big difference in car class. Again, lower price does not always mean a better deal for every new car shopper.
#4 New Cars are being made better
Yup, I said it!
Today’s new car is a better car. Today’s new car is more fuel efficient and has more technology than your old Pentium computer. With features like navigation and rear view cameras you get where you going faster, especially if you have never been there before. New car reliability has never been better. Cars are lasting a lot longer. Do you remember when it was time to trade in your new car after 4 years, because it started having mechanical problems? Do you remember time when announcing that you had 100,000 miles on your car was a sign that you had done something special? Today people don’t even talk about that any more.
Today’s new car has duel climate control, heads up display, special service alerts, tire pressure alerts, special limited slip differential (that actually works), heated mirrors, wireless blue tooth that lets you make calls from your car and listen to your favorite music. The list goes on and on. If you sit in a new car after being in a late modeled used car, you will be amazed at the difference. Buying new also gives you the peace of mind of a new car warranty.
There has never been a more confusing time to be a new car shopper, but there has never been a better time to be a new car shopper. Happy shopping!