New or Preowned cars, whats a better option?

[eejikes]

Personally, I feel these two words dont go together, ie Car and Loan. Basic investing principles say invest in assets that are expected to appreciate. Cars loose 10% or more in value once you drive of the dealers lot and continue to do so rapidly throughout their lives.

Certified preowned vehicles make much more sense to me, make someone else pay the early depreciation costs. New car smell, over rated methinks. And you also get hosed for insurance and maintainance costs as well.

Post your views, New, Pre Owned, or Plan Used what makes better value?

[MrDisco]

there is no 'better' option. logically buying a certified pre-owned is the only way to go. if you're the type who only views cars as getting from A to B then it makes a lot of sense.

However we're not robots. Cars can be an emotional purchase and buying new is much more appealing to some. Sometimes you want to splurge and be able to buy the model of your choice, in the colour you want, with the options you want, AND get that new car smell. No one should begrudge people for making either choice.

[hagbard]

The best option is to get a used car from someone you know and know has taken good care of the car, better still, if they give it to you.

[Evil Techie]

unless u r buying BMW, usually used is a better deal economically

and yeah for used cars, its best to know the seller personally or someone u can trust through connection

if not, ull need to do quite a bit of homework to make sure u are getting a good car and a good deal

[KawaiiTentacleBeast]

I heard there are some really nice cars parked at the TTC station.......

[MP3_SKY]

My dad just bought his 2005 Camry from Toyota, traded in with his old camry.
Saved about 8k from buying used and 1 year older with 24000km on it.

Car still under warranty, no problem so far after 10 months of driving.

I know some people need everything brand new, then no choice. For thos who doesnt care and have to pay less....this is your option, just to find a right one.

Those from dealership (certified) are ususally clean record. They don't take accident car, even they do, they sell it to auction or used car dealer.

[plucky duck]

My first and only vehicle thus far is a used one. New it went for ~$30k, I paid $22700 for mine after 2yr depreciation.

There are also people who may have went used at one point, having a lemon, or just having dealt with too much maintenance and inconvenience decided to purchase new next time around. To them, the price they pay is worth it from being stuck dead on the road or the parking lot. Everybody has different ideas of priority and what their time is worth, as well as peace of mind.

[pete5000]

I know this isn't scientific but, I've bought 10 vehicles over the years (excluding motorcycles) and the ratio for significant dead-in-the-driveway problems is 100% on the used and 0% on the new.

Unless your best friend is a certified mechanic who knows everything about cars, you have no idea what the used vehicle has been through.

[konfusion666]

I currently have a "factory certified pre-owned" car, and it's been good to me.

However, for my next car I'll probably go new.

What annoys me are all the little things that get worse in any car as it ages. They're not serious problems, so the warranty doesn't apply, but they can still be annoying... at least with a new car you have it before the annoyances start.

[MP3_SKY]

and thats when you have to swithch cars after warranty expired. Your car will turn down even you are the 1st owner.

[Shaner]

Definitely used.
Buying a new car is not the smartest choice unless you have a large amount of disposable income.

I'm in the market for a new (new to me) car and have been looking at Mustang's.

A new Stang GT costs about $37k. I found a 2005 with only 16,000 km's on it for $27k. That's a $10,000 difference and the car is like new!

[pete5000]

aren't the new Mustangs much prettier though?

[D-Sisive]

depends, some ppl like to keep the car forever so its worth it to buy new all at once or finance it

some ppl change cars every couple+ years so buying used or preowned or leasings is the way to go

[MP3_SKY]

depends, some ppl like to keep the car forever so its worth it to buy new all at once or finance it

some ppl change cars every couple+ years so buying used or preowned or leasings is the way to go

exactly

[Samir]

aren't the new Mustangs much prettier though?

2005 is the year the new Mustang was introduced.

I love Mustangs also, but I'd buy a used 2006 or maybe a 2007 next year. Since 2005 is the first year for the new model, it may not be optimal.

But oh, what a sexy car.

As for the OP, if you are buying a car that depreciates quickly, i.e, a sports car, then used is the way to go. For stuff that doesn't, like a Civic or Corolla, I'm not sure, I think it may take some number crunching.