Is it Better to Buy a New or Used Car?
One of the more common questions South River buyers will ask has been, “Is it better to buy a new or used car?” There’s no real exact answer. Some people have their preferences and debating new vs. used cars can go for pages and pages. How about a straightforward guide?
Carpoint Auto Group has had a lot of experience handling used vehicles. We even have a whole section geared around used cars under $10k. Let’s find out if it is better to buy a new or used car by reviewing the advantages or disadvantages of both.
New vs. Used Cars: What are the Differences?
When comparing new vs. used cars around Ocean County, it’s best to summarize them through the lens of advantages and disadvantages.
New Car Advantages
- The Latest Technology: Buying or leasing a new car means you’ll be able to get the latest technology from whatever brand you’re considering. Automakers upgrade their technology regularly. As a result, a vehicle that’s even a few years old can be considered technologically obsolete.
- Superior Fuel Efficiency: In the modern automotive market, impressive fuel efficiency ratings are a top goal for many automakers. Many vehicles nowadays include less and less V6 and V8 engines, now featuring turbocharged engines to make their cars have greater fuel efficiency.
- Full Warranty Coverage: Most newer vehicles, regardless of automaker, are protected by a bumper-to-bumper and powertrain warranties that cover most of the vehicle components for a certain amount of years and miles.
New Car Disadvantages
- More Expensive: Newer cars are going to be far more expensive to purchase than used and certified pre-owned vehicles, so expect to be taxed on the price you pay. At the same time, the minute your vehicle’s warranty coverage expires, it can be expensive when your vehicle’s state-of-the-art technology is expensive to maintain and repair.
Used Car Advantages
- Most Cost-Effective: Buying a used car is a great way to save money, especially when purchasing from a dealer, buying auto insurance, and paying taxes.
- Slower Depreciation: A new car’s value will begin to diminish the minute you leave the dealership. Most of a new car’s value will be lost in the first few years of its existence. Used cars have already taken the initial depreciation hit, so they’ll lose value in a slower manner as they continue to age.
- Lower Chance For Negative Equity: Negative equity is when you owe more money on your car loan than it’s worth. If your vehicle is lost or irreparably damaged, you might be stuck paying on the auto loan, even though you won’t be able to drive the vehicle. For those considering financing a used car, you’ll have a smaller car loan, meaning less chance of going upside down on your auto loan.
Used Car Disadvantages
- Higher Priced Financing: Lenders will charge higher interest rates on used car loans which can create higher monthly moments. On the other side of the coin, the vehicle price will be much lower, so you’ll have a shorter loan term.
Why Shop With Carpoint Auto Group in South River?
At Carpoint Auto Group, we have a variety of quality used vehicles that you can select from. Our sales staff can find something that matches both your budget and lifestyle. At the same time, our finance team can assist you whether you’re planning to buy or lease your vehicle. Apply for financing online and consider our payment calculator to estimate your monthly payments.
Start Shopping With Carpoint Auto Group Today!
No matter what your needs, Carpoint Auto Group is here to assist. Now that we’ve answered “Is it better to buy a new or used car?,” explore our South River inventory and find what you’re looking for. You can also check out our pre-owned/used vehicle specials and save more money on your purchase. We can also tell you what else to look for when seeking a used car around Ocean County. See you shortly at Carpoint Auto Group!