New vs Gently Used Cars

“It loses value the second you drive it off the lot!” “Never buy new!” If you have ever considered buying a new car, you have probably heard those lines many times from many different people. Financial advisors and parents alike all advise against purchasing a new car because it instantly loses value. That means you will never be able to get equal money back on your purchase. While a new car may not be the smartest financial decision, it does have its perks.

What is there besides money?

Believe it or not, there are many things to consider besides just the money factor. First off, you get the peace of mind that comes along with owning a new car. When going to bed at night, you don’t have to wonder if your car is going to break down the next day. Yes, you can always research a used car before you buy it to see what kind of history it has, but unless you personally know the previous owner, there is no real way to know what the car has been through. Not to mention the warranties that all new cars come with.

What else?

Well, if you are the kind of person that loves to be the envy of everyone else in the office, then a new car can definitely help you out. When you pull up in your shiny, new automobile you can be sure that all the people driving old clunkers will be eying you with jealousy. This feeling of pride is definitely enjoyable and may make that hefty monthly payment worth it.

The Bottom Line

Only you can decide which option is the best for you. If all you care about is the money involved, then buying a new car is probably not for you. However, if you value peace of mind, want bragging rights, and thoroughly enjoy that new car smell, a new car may be just the thing for you.

Keep in mind, that new car will need insurance.  You can immediately save on that cost by taking a defensive driving course and submitting the certificate of completion to your insurance provider!