New or used? Why you should consider both when buying a car
Deciding whether to go for a brand-new or second-hand car can feel overwhelming. Both options offer their advantages, and what seems right for you today may change depending on your lifestyle, budget and long-term plans.
The key to making an informed decision is knowing what each choice means for you and weighing that against your needs. Before you make any sort of commitment, it’s worth taking a step back to think about the bigger picture.
The benefits of buying new
- When you purchase new, you know exactly what you’re getting – no hidden repairs or potential issues, so you’ll enjoy that all-important peace of mind.
- New cars come with warranties that often cover repairs for a number of years, meaning fewer unexpected costs.
- Manufacturers also pack new cars with the latest technology, safety features and fuel efficiency improvements.
- Additionally, new vehicles tend to have the best resale value when it’s time to upgrade again.
However, new cars typically depreciate quickly – sometimes losing up to 35% of their value in the first year alone. This can make it feel like you’re losing money the moment you drive away from the dealership.
The benefits of buying used
- Second-hand cars typically cost much less than their new counterparts, and they often have already experienced the steepest part of their depreciation curve. This means that, depending on the model, you could get a relatively new car with only minor wear at a fraction of the price of buying new.
- Many used cars still have plenty of life left in them, especially if they’ve been well-maintained by the previous owner.
- Certified pre-owned vehicles can be a great middle ground, as these cars undergo rigorous inspections and come with extended warranties.
- You can also opt for a higher-end or luxury model within your budget, which might have been out of reach if buying new.
Financing and value for money
When it comes to financing, new cars tend to offer better loan terms, with lower interest rates and longer repayment periods, which can make monthly payments more manageable. However, this doesn’t always mean new cars are the best value. Used cars often cost less to insure and have lower taxes, which can significantly reduce the overall cost of ownership.
Buying used might also give you the opportunity to pay in full upfront, avoiding the long-term commitment of car loans. This allows you to avoid interest charges and own the car outright much sooner. If you plan to keep your car for a long time, the savings from buying used can quickly outweigh the benefits of purchasing new.
Environmental and practical considerations
From an environmental standpoint, purchasing a used car can be a more sustainable option. Manufacturing new cars contributes significantly to carbon emissions, so extending the life of a vehicle by buying used can reduce your environmental footprint.
Practically speaking, buying used gives you access to a wider range of options. You’re not limited to the current year’s releases, which gives you more flexibility in terms of choosing the make, model and features that best fit your needs.
Whether you’re yearning for a used car in Sheffield or a new model in Northampton, make sure you thoroughly weigh up all the pros and cons before making a final decision.