If you’re looking for a new-to-you vehicle, it’s important to consider the differences that come with buying new versus used.
Before deciding whether to purchase a new or a used car, it’s important to consider the motivation behind it. If you’re just looking for a cheap mode of transportation, buying a used car may be an option for you. If you need peak performance and reliability, a new car may be the way to go. With the help of Travelers Insurance, here are seven questions to consider after asking yourself “Should I buy a new or used car?”
1. Is Having the Latest Car Technology Important to You?
Car manufacturers have embraced new technology to improve the driving experience and improve passenger safety. The newer the car, the more high-tech features it’s likely to have. Are you looking for a Bluetooth stereo system that connects to your smartphone? How about a rear-view camera that makes it easier to back up? Do you want an automatic braking system that deploys when a collision is imminent? If so, you should think about buying a new car.
2. How Much Are You Willing to Spend on Car Insurance?
New cars are typically more costly to repair or replace than used cars. In general, the more you pay for a vehicle, the more it costs to insure. If saving money on insurance is important to you, a used car may work out best. The Insurance Information Institute says agents can estimate how much your insurance will cost before you make your purchase. If you’re a Feltner Group customer (or want to become one), be sure to reach out before making your final decision.
3. Do You Want a Car For the Status Symbol?
Many people view new cars as a way to enhance their public image. Any car can take you from Point A to Point B, but a new car has more prestige. There’s nothing quite like the gleam of a factory-fresh paint job to turn heads. If impressing your friends, family, or coworkers is a priority, you may want to consider a new vehicle.
4. Are You Prepared to Deal with Maintenance Issues?
While used cars cost less than new ones, they typically require more maintenance. The older the car, the more often you’re likely to visit the repair shop. According to Autotrader.com, you can minimize the chances of buying a used car with serious maintenance problems if you first have it inspected by a mechanic and obtain a vehicle history report from companies like Carfax or AutoCheck. No matter how well a car has been maintained, nothing lasts forever. If you dislike upkeep, you may dislike owning a used car.
5. Are You Aware of New Car Depreciation?
A new car begins depreciating in value the moment you drive it away from a dealership. New vehicles typically depreciate between 15 and 25 percent each year over the first five years of ownership. It’s not unusual for motorists to owe more on their new cars than they could recover if they resold them. If you’re not prepared to absorb this loss in valuation, you should consider buying a used vehicle.
6. Will a Teenager Be Driving the Car?
The modern safety technology that new cars offer seems made to order for inexperienced teenage drivers. The problem is that new cars are very expensive to insure for teens. That’s because inexperienced drivers are more likely than others to have collisions. If you’re buying a car for a teen, your challenge is to find a car that strikes a good balance between car safety and affordability. For guidance, the National Highway Traffic Safety Administration provides detailed safety ratings for vehicles manufactured since 2011.
7. How Much Time Are You Willing to Spend Shopping?
The process of buying a new car is fairly simple. You go to a dealership and pick the model you want. The car you choose should be in sound mechanical condition. According to Edmunds.com, new cars come with a limited warranty of at least three years and a powertrain warranty of at least five years. That means you won’t need to consult a mechanic before making your purchase. In contrast, finding a used car takes more time. You may visit numerous car lots before you find one that meets your standards. If you lack the time, a new car may work out best.
Once you have the answers to these questions, you’ll also have the answer to “Should I buy a new or used car?” And, no matter what vehicle you go with, consider reaching out to the folks at Feltner Group to get the best possible insurance coverage at a rate you’ll love.