Purchasing a car is a significant decision especially if you are a new driver.
The choice to buy a new car or used car for first car depends on your lifestyle and financial capacity.
Both options have their advantages.
Here are some aspects to keep in mind before your purchase.
- New Car
Mechanically Sound and Warranty
New vehicles tend to break down less often compared to used ones.
They are more likely to stay mechanically sound if you service them regularly. Manufacturers also offer warranties for new cars and this translates to lower operating costs.
Most of the warranties cover between 3 and 5 years.
Purchasing a new vehicle also allows you to enjoy the latest automobile features.
Later models are more likely to apply updated technology in terms of entertainment, driver aids, fuel efficiency
and safety and this can enhance your driving experience.
A new automobile will lose almost 40% of its value in a few years.
Depreciation tends to occur rapidly in the initial years after purchase.
This means you are likely to get a significantly lower price for the vehicle if you choose to sell it off.
Improved Fuel Economy
Manufacturers tend to improve fuel economy with each new model they release.
This can allow you to make more savings compared to an individual who gets a used vehicle.
High Insurance Costs
Insurance costs are higher if you own a new car.
You also need to install protective measures to ensure it is protected against theft and this increases insurance costs further.
- Used Car
A used automobile will cost you less than a new one.
This is a critical factor for most first time car buyers because you may be on a budget. It is cheaper to get a luxury model if it is used.
Vague Ownership, Accident, and Maintenance History
It is difficult to verify a used car’s ownership, accident, and maintenance details.
This makes it a risky purchase.
These details are essential when you are purchasing a car because they can give you a good idea of how it was used and whether it exposes you to any risks.
High Maintenance Costs
An old vehicle may require frequent repairs and this increases ownership costs.
You have to think about the savings you are making in the purchase in relation to maintenance costs.
Choosing a new car or used car for first car does not have to be a challenge.
Use these aspects to select the right model for your needs.