Rick's Auto Service

Mishawaka Auto Repair

Mon - Fri: 7:30 AM - 5:30 PM
Call us: (574) 255-4724

Compare the Costs: Buying a new Car vs. Used

For those of you looking at brand new/used cars,  thought you might take a quick look, and just some

Thought on the subject.

Buying a used car is less expensive upfront. For example, a 2017 Hyundai Sonata is listed at $21,950, while a 2015 model has an average fair market value of just under $14,800, according to Kelley Blue Book. By dropping just two model years, you’d save around $7,000, about a third of the suggested retail price.

Comparing the costs of buying new versus used starts with the real money-saver in buying a used car: depreciation. This is the amount of value a car loses as it ages.

 

Besides the savings in the purchase price, there are other benefits to buying a used car. You’ll face lower insurance rates with an older car. This is because it would be less expensive to repair or replace a used car if it were stolen or in an accident. Annual registration fees are also less expensive for older cars.

  • UPSIDE for buying a new car.
  • Easier shopping
  • Lower financing rates
  • Newer technology
  • Warranty coverage—although we offer the same warranty 3 years 36,000 miles.

Your decision

Buying a used car usually is the better financial bet: The purchase price is lower, you avoid the biggest hit from depreciation, and you pay less for car insurance. However, other factors could still push you toward buying a new car. You may pay more upfront, but depending on the car, the price could be made up in low financing rates, warranties, new features and convenience.

#NEWCAR #usedcar #Maintenance