New or Used Cars?

[saevel25]

My current car has about 90K on it and I am looking ahead to getting a new car in the next year or so barring any immediate issues. I was wondering which you prefer, new or used? 

[Gator Hazard]

My opinion is to buy used. I have about 125K on mine and looking to see if can stretch her out for another 3 years or more.  I am almost 40 and have only ever owned 3 cars in my entire life.  I have never bought new and see no reason too unless I somehow come into a major windfall of cash.  When I bought my last car I bought it certified pre-owned, came with a 4 year warranty from my time of purchase.  Had 32K miles on it I think and the previous owner had taken very good care of it, just upgraded to a bigger model.  I got it for basically 2/3rds of the original price on cars that somewhat hold their value (BMW 325xi).  I always try to get as many non payment years out of a car as payment years, if I got a car loan for 5 years, I want 5 years without a car loan as well.  When you look at the cost of fixing up a car that is paid off, say even putting in a rebuilt transmission for $2,000 versus a stream of car payments over 4-6 years, that $2,000 doesn't look too bad, perspective is everything.

If your car was your office, or for work you spent a lot of time in your car, I would say get a new car, if not, I like buying used and letting someone else pay the full price.  Just know the history of the used car, as in, if it was a rental car perhaps take a pass on it.  Get a certified pre-owned automobile that had someone who loved the car first and traded in for whatever reasons.

[pganapathy]

New is nice, but used is better value for money.  It is not like cars of old where you had so many expenses with maintaining old cars.  Today, cars are designed to run for hundreds of thousands of miles without major work.  Yes, you need to ensure it is a well maintained car with regular service.  Your biggest saving is on depreciation.  The first owner has taken the bulk of the hit.  Plus, for the same price of a new car, you can get two used cars or a much better and bigger car.  Your choice

[DaveP043]

I have to agree with @Gator Hazard and @pganapathy, I believe used cars present the best value for money.  On the other hand, there's something about a brand-new car that's pretty special.  The list of available features, things like built-in GPS, blue-tooth connectivity, lane-departure sensing, etc keeps expanding, so if that's important, you'll be looking more closely at new cars.  Last fall we bought a new Hyundai for my wife, and its been great.  Based on features, warranty, and improving reputation, the Hyundai also seemed like an excellent value for the money.  I'm driving a 2008 Audi A4 that we bought used. I have 92,000 miles, and I don't see getting rid of it for another 3 or 4 years.  

[iacas]

I have always preferred to buy new. You can find some pretty good deals on new cars if you're willing to put in the effort, and you get with that the peace of mind that comes with having all of the factory warranty, etc.

That said, I also keep my cars for quite a long time, and I'm a tech guy, so… like my computers, I tend to buy more loaded packages with the latest "stuff" and then drive it for eight years or so. Other friends of mine prefer to drive less "loaded" cars and replace them every 2-3 years.

To each their own. There are obvious pitfalls to either route. Generally speaking, I've found that buying used saves you some money (perhaps with some more headaches down the road), and buying new requires more up-front work but doesn't require you to make as many concessions as is often needed when looking at used cars (like the right features but a color you hate, etc.).

I second what @DaveP043 said about Hyundai (except to add Kia to the mix, especially given their relationship). They give you a lot of bang for the buck in terms of features like vented seats, lane departure, massive sunroofs, etc.

[Gator Hazard]

3 minutes ago, DaveP043 said:

I have to agree with @Gator Hazard and @pganapathy, I believe used cars present the best value for money.  On the other hand, there's something about a brand-new car that's pretty special.  The list of available features, things like built-in GPS, blue-tooth connectivity, lane-departure sensing, etc keeps expanding, so if that's important, you'll be looking more closely at new cars.  Last fall we bought a new Hyundai for my wife, and its been great.  Based on features, warranty, and improving reputation, the Hyundai also seemed like an excellent value for the money.  I'm driving a 2008 Audi A4 that we bought used. I have 92,000 miles, and I don't see getting rid of it for another 3 or 4 years.  

Actually buying one of those new (Hyundai) is not a bad idea considering they can be had for a little more than a used 2 year old comparable; they are bullet proof.  I have a buddy who has a hatchback Hyundai he picked up in 2001 or so and he still drives it 30+ miles each way every day to work and back on the salted streets of Chicago.  He has something like 220K miles on it and says he never needed to do any major maintenance on it, just replace the wiper blades, replace the fluids and keep buying new tires for it when necessary.

[Club Rat]

53 minutes ago, saevel25 said:

I was wondering which you prefer, new or used? 

Thanks Matt, I'd prefer a new auto, since your buying. Maybe a new EV Bimmer !!! 

I would buy new and accept the monetary loss (Value) for the benefit of having a worry free auto. With low interest auto loan rates, that great "New Car Smell" no cost maintenance for three years on most, not to mention all the new features new autos have for safety reasons alone. 

You may save a few bucks buying a low mileage trade in, but you always take a chance of having problems, then your out of pocket for repairs.

[Gator Hazard]

36 minutes ago, Club Rat said:

Thanks Matt, I'd prefer a new auto, since your buying. Maybe a new EV Bimmer !!! 

I would buy new and accept the monetary loss (Value) for the benefit of having a worry free auto. With low interest auto loan rates, that great "New Car Smell" no cost maintenance for three years on most, not to mention all the new features new autos have for safety reasons alone. 

You may save a few bucks buying a low mileage trade in, but you always take a chance of having problems, then your out of pocket for repairs.

Buahaha, no kidding right?

Not if you buy certified pre-owned.  You usually get 4 or 5 years of coverage.

[saevel25]

Thanks for your thoughts.

1 hour ago, iacas said:

I second what @DaveP043 said about Hyundai (except to add Kia to the mix, especially given their relationship). They give you a lot of bang for the buck in terms of features like vented seats, lane departure, massive sunroofs, etc.

My current car is a Hyundai Elantra, knock on wood, but I haven't had one major issue with it. I did have the CD/Radio replaced under warranty a month after the purchase but besides that it's been routine maintenance. At the time they had a killer deal going on with their warranty, the car having stability and traction control, and the $4000 of MSRP. 2009 was a good year to buy a new car :) 

1 hour ago, Gator Hazard said:

 I have never bought new and see no reason too unless I somehow come into a major windfall of cash.  When I bought my last car I bought it certified pre-owned, came with a 4 year warranty from my time of purchase.  

I would wary of buying a certified pre-owned. From what I hear some places just do a walk around and call it a day and charge extra money to just slap a label on it. I think the key is to always follow up it and do the research. 

[Gator Hazard]

16 minutes ago, saevel25 said:

Thanks for your thoughts.

My current car is a Hyundai Elantra, knock on wood, but I haven't had one major issue with it. I did have the CD/Radio replaced under warranty a month after the purchase but besides that it's been routine maintenance. At the time they had a killer deal going on with their warranty, the car having stability and traction control, and the $4000 of MSRP. 2009 was a good year to buy a new car :) 

I would wary of buying a certified pre-owned. From what I hear some places just do a walk around and call it a day and charge extra money to just slap a label on it. I think the key is to always follow up it and do the research. 

As with anything, especially a purchase of that magnitude.  I can attest that at least my CPO vehicle seemed like it was brand spanking new.  It was flawless and I had my mechanic friend check it out as well.  New tires, new brakes, new wipers, completely detailed to the point it even had the new car smell.  If I can get a cpo like that, no reason to buy new, even came with 4 year or 50K miles warranty. 

[Yukari]

Buying a used car is a way to go if you want to save money. But if you want to keep the car for a long period of time, new car is not a bad option.

It all depends on what you are looking for really.  Save money or get the latest model.

[CoachB25]

I typically buy new and run them until they fall apart or I get in a wreck.  I've been hit so many times it isn't funny.  Two Camaro and two Saturn Cars have been totaled.  I really believed in buying Saturn Cars after my first crash.  I don't know how I lived.  The second one was worse.  They had to helicopter the driver of the Van to the hospital and though I was hurt, I wasn't hurt as badly as that guy.  I presently have a 2007 All Wheel Drive Saturn Vue.  I have run it into the ground driving my family/daughter all over the country to play softball both in Travel Ball and Collegiality.  It has 135,000 on it and we are now starting to have to have it in the shop. 

I will buy a new Jeep Grand Cherokee for my next car.  It will be the exact car I want and I will own it for 7 or 8 years.  I expect to buy that car in the Spring. 

[dennyjones]

If you are a backyard mechanic, a used car is the way to go.    If you are not mechanically inclined,  there is always an option to buy a certified used car.   

 

If you buy a used car, take it to an independent mechanic to have it checked out.    It could save  you money down the road if there are problems.   An undetected power train issue could be expensive.    Most places won't object to you taking a car/truck to an independent mechanic. 

[Lihu]

Should is the key word. I have purchased new cars because I've bought enough used cars in my youth to fill my quota. Over 26 of them. Some for resale.

"Should" because when you drive a new car off the lot it loses 10% to 30% of it's value. Unless, it's a collectible car.

[Patch]

I buy used stuff. That said before I buy it I have my mechanic I trust go through the vehicle and check it out quite thoroughly.  I recently found a 2004 Caddy Deville with only 12K miles on it. Paid $6K for it. In the last year I have spent $2K on repairs on the power windows. It now has 60K miles on it. 

Bought a 2006, 40 foot motor home 3 years ago for $32K.  Except for fuel and a slide repair that thats all I have spent on it. 

I use to buy new stuff until I found out how over priced new vehicles were. Last vehicle I bought new was a 2000 F-250. Its been decent vehicle for me but is going into the shop for front wheel bearing replacements. Before that it was a fuel pump.  Has 140 K miles on it. 

[Mr. Desmond]

Tough question.

It depends on the car.

If it's a BMW, Mercedes, etc., I prefer to buy used, with under 50k mi. The last purchase was 2 years ago, and it was pre-certified, had some of the original warranty remaining with the certified warranty. I enjoyed purchasing a 4 yr old Bimmer for half price with not many miles.  A lot of high end buyers just like to trade in cars every few years, so it's not an automatic that you're buying problems. Someone got bored.

If it's American, Korean, VW, lower end Japanese (Mazda, Toyota) I'd probably be tempted to buy new, because deals tend to be plentiful as to purchase, but it all depends, and depends on the timing of the deal.

Good luck.

[colin007]

in 2011 i bought a 2007 BMW 530i, with 24,755 miles, for $25k. sticker was an even $60k. it was certified preowned, and has had only one major repair in the past almost 5 years and 80k miles. that repair was expensive but it was still cheaper than car payments for a year.  im a big believer in used.

[Mr. Desmond]

9 minutes ago, colin007 said:

in 2011 i bought a 2007 BMW 530i, with 24,755 miles, for $25k. sticker was an even $60k. it was certified preowned, and has had only one major repair in the past almost 5 years and 80k miles. that repair was expensive but it was still cheaper than car payments for a year.  im a big believer in used.

And I am looking for a 530i - stick.