For many people, one of the biggest investments they make is in their car. One of the first decisions they will come to is whether to go for new or used. Of course, there are pros and cons to both options that should be carefully considered before making a final decision. 
Brand New
If you go for a brand new car, you will be the first person to break it in and to make it your own. Because the dealership will carry a selection of each model, you can get your choice of options and trim levels. You also get the most current model. Shoppers for a new 2019 Mustang, for example, can opt for the new BULLITT model, which was not available in previous model years.
Buying a new car also means that you get the most recent body style. It can also mean that you can get a newly-launched model that wasn’t available in previous model years, like the all-new 2019 Ford Ranger.
A new car also offers more financing and purchasing options. This includes leasing. A lease is a good option for someone who would like to have a new car every three to four years and who doesn’t drive many miles. Leasing also can result in lower payments for the same car or a higher-end car for the same money. At the end of the lease, you have the option to return the car or purchase it to keep. Just be aware that going over the mileage on your lease contract can result in mileage penalties.
Buying Used
Buying a used car does allow the purchaser to avoid a few of the pitfalls of purchasing a new car. New cars can lose as much as 30% of their value in the first year after they’re purchased. By buying a well-maintained used car, you avoid the effect of that depreciation. Because the car has already depreciated, the selling price is lower than a new car of the same model would be, and that results in a lower monthly payment.
Used cars also do not depreciate as quickly as new cars do. As a car gets older, its value goes down more slowly. This means that if you were to buy a used car and keep it for a few years before selling it, you would lose less money than you would be doing the same thing with a new car.
Used cars are also less expensive to insure than new cars. This is because the car is worth less than a new model. While leasing is not available for used cars, you can also get more car for the money with a used car. This means you could move up to a higher trim level with more options for the same money as a new less-equipped car.
Because buying or leasing a new car or buying a used car is not always an easy decision, perspective buyers should carefully weigh all options before making a final decision.
Image via Flickr by frankieleon used under CC By
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