If you’re thinking about upgrading your car, then it can be hard to decide whether to purchase a new or secondhand model. It’s pretty clear which option will save you money in the short term- but what about the long term? Will your insurance be affected depending on whether you buy a new or used car? And what about if you want to sell your car later down the line?
To make your decision a little easier, we will compare the pros and cons of buying a new or used car below:
New Car Advantages
If you want a car that only you have driven and owned before, then you should think about buying a new car. Since it’s come straight from the manufacturers, you don’t have to worry about any dents, scuff marks or other kinds of wear and tear that you can expect in a used car.
A new car will also generally come with a warranty, and since you’re the first person to use it, you’re unlikely to have to do any serious repairs. The dealer may also offer financing at a lower interest rate, which will save you money in the long run.
New Car Disadvantages
The most obvious disadvantage of a new car is that it a more expensive option than buying a used car. A new car will quickly lose value over the first 3 years of you owning it, so if you’re thinking of selling in the future, you’re not going to even come close to the price you bought it for.
Since you’re one of the first to drive a new model, you’re also somewhat of a guinea pig. You’re essentially testing out the features of the car, and over time manufacturers might make small improvements and tweaks that you won’t benefit from.
Used Car Advantages
Not only are used cars much cheaper to buy, but their value should pretty much stay the same if you’re looking to sell a couple of years down the line. Since you’re not losing money on depreciation, you might even find yourself bagging a zero-interest loan.
If you’re looking for secondhand cars with the option for finance plans in Ottawa, then take a look at the used cars from My Car. You can filter your search based on your budget and the year of the vehicle to speed up your search. Once you know what you want, you can then explore which finance option will be most suitable.
Used Car Disadvantages
Since used cars are likely to already have a significant number of miles on them, you should expect for the car to not be in one hundred percent perfect condition.
A used car may not be as reliable as a new one, and you may find yourself doing more maintenance and repairs on it as time goes on. You may also have to compromise on your preferred colour in order to bag a car with a better mileage and history, and for some people, this can be a deal-breaker.