Is it worth buying a new car?

Although many people still decide to buy a new car, one study found that it loses approximately 20 percent of its value by the time it leaves the dealership. Also, this value will be reduced by 10 percent over the course of each year. Of course, money is not the only factor to consider when buying a new vehicle; These cars have other drawbacks that make buying second-hand cars more convenient. Is it worth buying a new car?

the value of the car

Many believe that buying a new car is more convenient than buying a used model. However, the value of the car progressively decreases. When you take it out of the dealership, specialists say that its value drops by 20 percent; a figure that will continue to decrease over the years. Experts indicate that, in just 4 years, the price of the car will have dropped by 50 percent. In the following years, the car will continue to lose its value, but the percentages decrease a little. However, it is estimated that, at 8 years, the car retains only 16 percent of its original value. This makes it an unfavorable investment for the driver.

You may also be interested in value my trade

Is it worth buying a new car?

Other disadvantages of buying a new car

The price is, without a doubt, a determining factor when purchasing a new vehicle. The truth is that, in addition to depreciation, new cars are much more expensive than used models. Among other disadvantages, we can mention:

- They do not admit negotiations. The price of the new car at the dealership remains fixed, so you will have to invest an amount that you will not be able to negotiate.

- The price of insurance is also higher. Since these are expensive vehicles, the policies associated with them are also high.

- Require more visits to the mechanical workshop. A study revealed that cars are most likely to break down during their first 5 years. In particular, they have problems related to the bodywork.

It is more convenient to buy a used model

One of the main advantages of buying a used car is that you can get models that are practically new but are worth much less. Used vehicles have had only one owner, so they probably don't even have that much use. On the other hand, when you buy a second-hand car, its value is already depreciated, so you will pay a fairer value. Of course, the price of the car will continue to decline, but this depreciation will be slower. Finally, for the price you get for a new model with basic features, you can get a high-end second-hand car.

Although many still choose to buy new cars, it is much more convenient to buy a used model. New vehicles lose value quickly, have fixed prices, spend more time at the mechanic, and are associated with more expensive insurance. These are the reasons why you could get the most out of buying a second-hand vehicle.