Is it Better to Buy a New or Used Car?

If it’s time to upgrade your ride, but you can’t decide if it’s better to buy a new or used car, Red Wing Chevrolet can help! Your situation is unique, and one is likely better for you based on your current situation. Below, Red Wing Chevrolet in Red Wing helps you compare new vs. used cars so you can decide once and for all. Read on as we answer your question, “is it better to buy a new or used car?” and then head to the dealership to start car shopping!

New vs. Used Cars: Which is Better? 

New Car Advantages

• Greater Fuel-Efficiency: The cost of gas is higher than ever, and today’s new vehicles include fewer V6 and V8 engines than in the past. Every year fuel economy standards improve, which means more savings at the gas pumps around Prescott!
• Newest Technology: When you buy or lease a new Buick or another brand, you get the latest features and auto technology. Technology progresses quickly so that even a car just a few years old can already seem outdated. 
• Full Warranty Coverage: New cars include a bumper-to-bumper and powertrain warranty to cover most of the car’s parts for a limited amount of miles or years. That means greater peace of mind on Zumbrota streets! 

New Car Disadvantages

• Faster Depreciation:New cars depreciate quickly as soon as you drive off the Cannon Falls lot. In fact, they lose about 20 percent of their value in the first few months.
• More Expensive: New cars are more expensive than used and certified pre-owned vehicles, plus you have to pay sales tax in most states. 

Used Car Advantages

• Less Risk of Negative Equity: When you owe more on your auto loan than the vehicle’s value, you have negative equity, and if your car is damaged or stolen, you could get stuck paying back the loan even though you can’t drive it. When you finance a used car, you’re less likely to be “upside down” on your loan. 
• Cost Savings: The cost difference is significant when deciding between a new vs. used car. Buying a quality pre-owned car is a great way to save money.
• Slower Depreciation: The value of a new car diminishes the moment you drive away from the dealership. Pre-owned vehicles have already experienced initial depreciation and depreciate much more slowly as they age. 

Used Car Disadvantages

• Higher-Priced Financing: Autoloans for a used car usually have higher interest rates, which means higher monthly car payments. Still, the price of the vehicle is lower, so you can likely pay it off faster. 

Shop For Your Next Car at Red Wing Chevrolet Today! 

By now, you’ve probably answered your question, “Is it better to buy a new or used car?”. Whatever you’ve decided, we are here to help! We look forward to taking you for a test drive in a pre-owned or new Cadillac, GMC, or Buick. Be sure to browse our used vehicle specials and ask about our financing incentives. Don’t wait! Contact us today or get started by completing a finance application online.