Some people insist on buying a new car off the showroom floor, but others will look at finding a bargain. We look up some of the pros and cons of buying a new or pre-owned vehicle.
Pre-owned car – the pros
- Better price – Second-hand cars are much cheaper than new cars, which means lower financing costs.
- Bargain – You can get a much higher specification car pre-owned than new. However, ensure that you buy from a reputable dealership.
- Service/maintenance plan and warranty – If you buy a car less than five years old, you could still benefit from the balance of the motor plan and warranty.
Pre-owned car – the cons
- Standard as is – With a pre-owned car, you can’t add optional extras and safety features.
- Don’t really know what you are getting – Ensure you get a full-service history and have a roadworthy test done. Apart from that, you’ll have to take the seller’s word for it that it hasn’t had any serious mechanical issues or been in a major car accident.
New car – the pros
- Best condition – You are getting it brand new with no mileage and you are the very first owner.
- You will have less maintenance to worry about – If anything does go wrong, it usually will within the first few months. Apart from that, everything will be covered under your service/maintenance plan other than normal wear and tear, such as tyres.
- Latest technology – Most new models come standard with the latest state-of-the-art infotainment systems, as well as a more powerful engine, with a lighter body and better fuel efficiency.
New car – the cons
- Expensive – Price is determined by brand reputation and perception. There is a big difference in price between a new car and a pre-owned vehicle, even if the mileage is low.
- Additional costs – Extras can cost up to 20% of the price – which you won’t get back if you resell.