Costly decision
When it comes time to purchase a new set of wheels consumers only have two choices, buy new or go used. Both options have their advantages and pitfalls but the thing most buyers will be looking at is the overall cost.
Related: New vs used cars: Which one should you buy?
We take a look at the three biggest factors in cost that may influence your buying decision.
Purchase price
If you buy a new car, the moment you drive it off the showroom floor, its value immediately drops. buying new you will take the brunt of the depreciation. Choosing a used model means you will only be paying for the car and none of the initial taxes or depreciation. Used cars are also considerably cheaper than new cars and there are plenty of very good deals to be found.
Insurance
Research has shown that used cars are marginally cheaper to insure than new ones. You should however check as your personal profile may influence the rate that you will be given and in some cases, the opposite may be true.
Maintenance
When you choose to buy new you get a service or maintenance plan that can take care of any maintenance you will need. You also get the first crack at the warranty. If you go for used all the ensuing maintenance will be out of your pocket. You may luck out and get the balance of the vehicle's warranty but in most cases, a used vehicle won't have a manufacturer warranty when you buy it.
