The Pros and Cons of Buying a New Car

Even in this down market, is it still a good idea to buy aaddition to the warranty, you will also get Lemon Law
new car instead of a pre-owned one? What areprotection.
some of the advantages to doing so, and do they4. New cars generally come with a lower financing
outweigh the disadvantages? Here are a few prosrate.
and cons to consider when deciding to buy a new car.5. You get to enjoy the feel of driving a new car and
Pros of Buying Newthat new car smell
1. You have the ability to customize your vehicle fromCons of Buying New
the beginning. If you like having the most control over1. It will cost more. A higher price means higher monthly
your car, buying new allows you to get and orderpayments.
exactly what you are looking for.2. The value of a new car depreciates rapidly in the
2. The car is equipped with the latest style andfirst few years of ownership. Some figures estimate
technology, including the latest safety equipment.that the value of a car depreciates between $5,000
Because the car has not been through anything it is inand $8,000 the minute you drive it off the lot. New car
optimal condition, which will give you peace of mind.buyers absorb the bulk of a vehicle's depreciation.
3. You receive a full manufacturer's warranty.3. Insurance rates tend to be higher.
Warranties rarely come with used vehicles, so that4. With used cars, there is less price variation between
might be something to consider if it is a concern forthe same make and model.
you. Plus, a new vehicle technically lasts longer since5. Unless the price reaches a certain cut-off point, tax
there is no threat of potential abuse of surprises. Inrates are also higher.