You need to buy a car, but there are two ways to go- new and used car. How do you choose? Both have advantages and disadvantages. New cars are great, but let’s face it, they are very expensive. Sure, there are perks like warranties and service plans, plus that famous new car smell, and the pleasure you will feel when you know you are the first owner of a brand new machine, but how much of your precious earnings do you really want to sink into it? Can you really afford it? So, what about the alternative, buying a used car?

One thing about used cars, there are plenty of them to be found! Just drive down the street and you will probably see one parked along the way with a for sale sign on the windshield, or you can stop by the car yards in Port Macquarie where you can find hundreds of used models to choose from. There are some really great deals to be made when purchasing a used car the wise shopper can take advantage of! So, let’s take a look at some of the reasons why a used car might be the best choice for you:

The Price

 We have already touched upon this, but it’s true, new cars cost an arm and a leg, and maybe another arm, they are very, very expensive, and for a lot of people living on a modest budget, prohibitively so. Used cars are simply much cheaper than new cars, but are they really the great bargain people think they are? Well, consider that if there is a popular make and model you really like, you might not be able to afford to buy it new, but if you shop the used market you could find one a few years older that is still practically identical to this year’s version, but much less expensive! Another thing to consider are the fees and taxes beyond the sticker price, which are much higher for a new car than for a used model that is almost identical!

Lower Insurance Costs 

The calculation of auto insurance premiums are based on a wide variety of conditions like your age, gender, and location, and these can vary, but one thing that always holds true is that you will pay a much higher premium for a new car than you will a used car. 

Lower Depreciation 

New cars lose their value fast. Just three years after you buy one, the value of your new car will have dropped by as much as half of what you paid for it! So, why not buy the make and model you like from three years ago, instead? The thing is, if you do, you will have made a better investment, because once a car is used it depreciates at a much slower rate, losing value very slowly so if you decide to sell it a few years down the road you won’t have lost nearly as much as you would have if you had purchased it new!

The Australian Department of Consumer and Business Services webpage has some advice on purchasing used cars. Good luck with your car purchase, new, or used!