Naturally, we all dream of owning a brand-new car. The advantages of owning new vehicle are fairly obvious. But if you take a closer look and compare the advantages of buying a new car vs. a used one, the decision might not be so cut-and-dried. For example, to some buyers, it's more important to have the make and model they want than a new car.
With our nationwide network of dealers, not only can City Lending get you the best loan for your credit situation, we can access an endless variety of new and used vehicles for you to choose from. Give us a call at 800-391-4346 and we'll do our best to help you get the ideal combination of car and payment.
Let's look at the advantages of ownership of both new and used cars:
Brand-new, tip-top condition - The vehicle is not used. "Lemons" aside, it should have no mechanical problems.
Made to order - You can ask the dealer to find the color, style, features and options you want. And it's no hassle for you - let the dealer do the search.
Obviously, you can't order a used car with the everything you want; you have to take what the car offers.
Warranty - New cars typically come with a comprehensive warranties that cover the cost of repairs and labor for three to four years or 36,000 to 48,000 miles, whichever comes first. With sales and specials, warranties are often more generous than that. Many used cars come with limited warranty or no warranty at all.
Maintenance - With a new car, scheduled maintenance is usually tied in with the warranty. Simply because they are older and have mileage on them, used cars are more susceptible to mechanical problems.
Latest bells and whistles - With a new car, you have the flexibility to order a car with the features and options you want. Plus, new cars offer the most up-to-date technology throughout the vehicle, including government-mandated safety features.
Greater fuel efficiency, lower emissions - Stringent regulations have encouraged manufacturers to build vehicles with lower emissions and delivering better gas mileage. And there is a greater choice of hybrids available each year.
Better loan - Many dealerships and other lenders offer lower interest rates for new cars.
Lower price - The cost of a used vehicle is always less than a comparable new one. This gives you a wider choice of makes, models and features within your price range. And you save money on the total cost of your loan.
Lower tax and insurance costs - Insurance, taxes, and registration fees for a car are higher when the car is new. Used cars are generally less expensive to insure because their value isn't as high.
Depreciation slows - The value of a car can drop hundreds of dollars the minute you drive it off the lot. Cars typically depreciate the most during their first three years.
Better models are more affordable - You might not be able to afford the make and model you want brand new, but that model could be well within your price range if it's a couple years old.
For many buyers, a happy medium can be reached with a certified pre-owned car that has been given a multi-point inspection by the dealer and comes with a warranty.