Car buying guide: second-hand vs. brand new

buying a new car vs old car

Cars have fast become an essential part of people’s daily lives. Without a car to call your own, you would have to either walk or subject yourself to public transport. Now you are able to drive yourself to and from work and to family functions with everyone safely inside the car.

Buying a car

When you look to purchase a vehicle for yourself, you often ask yourself which is better? Brand new or second hand?

That choice will ultimately depend on your current financial standing. If you can afford a brand new car fresh from the lot, then you should choose to do so. However, if you are facing money troubles or can’t get a car loan approval or the down payment required for a new car, then a well-kept second-hand vehicle might be a better option.

To help you come to a conclusion, here are a few things to think about when choosing to buy a car:

Brand new car

Pros

  • First owner. You will be the first one to drive the new car straight out of the dealer’s lot. An experience not a lot of people will get to have.

  • New car smell. There’s just something about the smell of a brand new car that is unmatched by anything else. Is it because you worked hard for it? Probably.

  • Latest features. All the nifty gadgets and safety features will be there, and you can drive with confidence, knowing that your family will be safe and secure.

Cons

  • Depreciating value. They say a car loses value the second you drive it. And that is true; so expect your new car to start depreciating as soon as you make that first drive home.

  • More monthly expense. The monthly payments you will need to make to pay back a car loan will be more expensive, cutting into your family’s budget.

  • Larger down payment required. Not only that, but the down payment will also be a lot higher compared to a second-hand car lease.

Leasing a second-hand car

Pros

  • You can get it through a car lease. A second-hand car can be acquired through a car lease. A car lease allows you to drive around a rented vehicle between three to five years, depending on your contract at a fraction of the cost you would spend on a brand new car.

  • Can get the job done. Like a new one, second-hand cars can also get you where you need to go, as long as it is well maintained.

  • More affordable. The payment frequency is negotiable and can be discussed with the dealer to fit your financial status.

  • Have the option to own a vehicle towards the end of a contract. Towards the end of the contract, you will be given the opportunity to either upgrade or purchase the car for yourself, so now you can own the car without going through the process of a car loan.

Cons

  • Does not have the latest features. Unlike a brand new car, it will not have all the bells and whistles. Instead, it only promises good performance on the road.

  • No new car smell. Because it is a second-hand car, it won’t have that new car smell. Instead, it will smell like pine trees or lemons, depending on what air freshener is available at the dealers.

  • A few years old. It’s not a brand new car, it will be at least two to three years old. But there’s no need to worry because these vehicles are well maintained, and you can count on it when you need to make a long drive.

Budget is always a big factor when making decisions like what car to get for your family. A leased car is just as good, if not better than a brand new car. The best part is that no matter your financial status, everyone has a fair chance of getting approved and driving away in your new car.