What should you do if you desire a new car given the supply chain for new cars’ swings and shortages in the used car market? We asked the auto loans staff to list some benefits and drawbacks of purchasing a new vs used car. They came up with something like this.
Pros of Buying a New Car
Full access to all vehicles offered on the market: If you buy new, you have the freedom to select any make, model, and trim that fits within your price range. not simply what is currently available
Manufacturer and dealer warranties: Function similarly to insurance. There for you when you require them, something you do not receive with used vehicles.
Newest technology: New cars are equipped with the most recent safety and automotive technology.
Cons of Buying a New Car
New cars are more expensive. Driving a new car is the most expensive option available, and they may be rather expensive.
New cars depreciate fast. soon as you start driving away, a new car starts to lose some of its value. Over time, though, the rate slows.
Pros of Buying a Used Car
Less expensive than buying new: Used car prices can range from 20% to 50% less than those of new automobile pricing.
Close to cutting edge technology: If you purchase a car that is a few years old, you will continue to receive new technology, just not the most recent technology.
Borrow less: Because used cars are less expensive, you’ll need to borrow less money from your auto loan.
Cons of Buying a Used Car
Limited selection: You can only purchase what is offered, which is frequently limited to a small number of makes, models, and colours.
Wear and tear: There is some degree of wear and tear on every used car. Whether it be for the interior, mechanicals, or bodywork. However, you can also buy a certified pre-owned car and have a guaranteed reliable vehicle. Click here to learn more about those.
Expired manufacturer’s warranties: are typically no longer valid by the time a car is sold again, and most dealerships only provide limited warranties on used cars.
New Vs. Used Cars: What Comes Out on Top?
As you can see, each choice between a new vs used car has benefits and drawbacks. You will need to decide which is best for you because they will each function differently for different people in various circumstances.
If you’re ready for a car loan, we’d love to help! simply click here to get pre-approved online today.