Is it Better to Buy a New or Used Car?

Are you working on a budget and looking to upgrade your car but you don’t know what the best option is? We can help! If you’re wondering, “Should I buy a new or used car,” you’ll find details in our guide below that can assist you in making the best decision for your needs.

So, is it better to buy a new or used car? While neither one is better than the other, it truly depends on your budget and driving needs. That being said, if you’re working on a budget and you want something with exciting new features but without breaking the bank, then used vehicles may be the right choice for you. Contact us or browse our manufacturer research for more information.

New vs. Used Cars: What are the Differences? 

New Car Advantages

• Newest Technology: Buying or leasing a new car gets you access to the latest and greatest technology from whatever brand you choose. Automotive technology updates frequently and a vehicle that’s even a few years old can be considered technologically outdated. 
• Greater Fuel-Efficiency: In today’s automotive market, achieving impressive fuel-efficiency ratings is a goal for most automakers. Today’s vehicles feature fewer V6 and V8 engines, as they’re being replaced with turbocharged motors that are designed for greater fuel economy. 
• Full Warranty Coverage: Most new vehicles come protected by bumper-to-bumper and powertrain warranties that cover most of the car’s components for a certain amount of years and miles. 

New Car Disadvantages

• More Expensive: New cars are much more expensive to purchase than used and certified pre-owned vehicles, and you can expect to be taxed on the price you pay. What’s more, once the vehicle’s warranty coverage expires, you’ll likely find that your car’s state-of-the-art technology is expensive to repair and maintain. 

Used Car Advantages

• More Cost-Effective: Buying a used car is a good way to save money; you’ll save money when you purchase from the dealer, buy auto insurance, and pay taxes. 
• Slower Depreciation: The value of a new car begins to diminish the moment you leave the dealership. In fact, a large portion of a car’s value is lost in the first few years of its lifespan. Used cars have already taken this initial depreciation hit, and lose value much more slowly as they continue to age. 
• Less Chance for Negative Equity: Negative equity is when you owe more on your car loan than what the car is worth. So, if the car is lost or irreparably damaged, you may get stuck paying on the auto loan, even though you can’t drive the car. When you finance a used car, you’re likely to have a smaller car loan, so it’s less likely that you’ll end up “upside down” on the loan. 

Used Car Disadvantages

• Higher-Priced Financing: Lenders tend to charge higher interest rates on used-car loans, which leads to higher monthly payments. On the flip side, the price of the vehicle will be lower, so the loan term will also be shorter.

Why Shop with Tulley BMW of Manchester?

At Tulley BMW of Manchester, you’ll find a wide selection of new BMW vehicles, as well as high-quality used cars. Whether you’re interested in a new or pre-owned vehicle, our sales team will help you find the ideal match for your budget and lifestyle. Our finance team will work side-by-side with you, whether you’re looking to buy or lease a brand-new car or secure a used-car loan with a shorter loan term. To get started, you can apply for financing online or use our payment calculator to estimate your monthly payments. 

Start Shopping with Tulley BMW of Manchester Today! 

Ready to take the next step in the process? We’re excited to help get you behind the wheel of a vehicle that you’re going to love for many miles to come. Take a look at our certified pre-owned inventory to find your perfect match, and then be sure to schedule a test drive so you can explore our available models in person.