Buying a car is exciting, whether it’s a necessity or just an upgrade, it can be a fun experience. But do you buy a new car or a used car? New vs Used and what are the advantages and disadvantages of both?
How you choose a car is dependent on what you need it for. You can have a read of our article on how to choose a car right here.
Buying a new car means you can have everything you want, the way you want it. A used car means you still get a great car, but without the larger costs that come with buying a brand-new car.
Why Should You Buy a New Car?
A new car comes with new car smell. They also come with a bunch of other advantages and a lot of drawbacks to go with them. When you buy a new car, you are the first owner, there are next to no kilometers on the car and you can pick whichever colours, wheels, and options you want. If you order the car then you can go wild ticking boxes and getting exactly what you want fitted to your car. Your car, how you want it. That’s basically the advantage of buying a brand new car.
This freedom does come at a price though – it’s the actual price. A brand new car carries a significant mark-up for the manufacturer, topped off with the dealerships cut, and then some ‘on-road’ costs sprinkled delicately on top. This means a hefty bill for the customer. The other way it hits you in the wallet is even worse. Because the car is brand new and commands brand new prices, the second you drive it off the lot, it depreciates by anything from 10% to 25%. This is due to it now being ‘used’. Consumer NZ points out the fundamentals of depreciation here. If you can afford the extra costs, and you really like things your way, then you’ll love a new car.
Why Should You Buy a Used Car?
You don’t get to choose exactly what you want, true, but you still get a car and at a fraction of the price of a brand new one. Used cars main advantage over new cars is the price and the derivatives of their price. Insurance is usually cheaper, you don’t have to get them serviced by the dealer to maintain warranty and there are usually no on-road costs when buying. A well maintained used example with under 15,000km is an absolute bargain if you want a near new car but don’t want to suffer the immediate depreciation and wait times.
Obviously when you buy a used car you don’t get to choose the options and colors for that specific car. You can look for makes and models of that car with similar packages to what you would’ve ordered but that freedom of choice isn’t nearly as broad. Also, you’re smart so you’ll get this, a used car is ‘used’. There will be little scuffs and scratches, there might be some curbing, there might be some wear on the seats. It’s a used car, you get this.
New or Used?
It’s a free country, it’s up to you. We like used because we like the value and aren’t that fussed by different colored stitching. If you need more help deciding on what to buy or how to buy, check out our guide articles here.