While used cars are usually less expensive, car makers have been working to lure even the most budget-conscious shoppers back to the showroom. When the right buying conditions align, a brand new model could be worth consideration.
Despite the general assumption that a new car depreciates by 20% as soon as they leave dealership, there are some vehicles that hold their value much better than that. While this alone doesn’t make buying new cheaper, it may narrow the long-term cost difference. This is particularly true if you don’t drive the car for more than a few years. For example, a new Honda Accord, which has a five-star depreciation rating, could be more sensible than paying almost the same amount for a gently used model.
Manufacturer & Dealer Incentives
Due to recent tough times for the auto industry, car buyers have benefited from deep discounts on new vehicles. Big trucks are particularly affected. These rebates may even be combined with very low financing rates. A deal like that may make the actual cost comparable with a slightly used version, which has no rebate and standard financing.
A car which is under warranty is more valuable because your are protected from having to shell out for costly repairs. When combined with below-average depreciation and/or generous incentives, and a new car might just be the way to go.
For current incentives and offers from dealers in your area, visit BestDealerLocator.com.