Buying a New Car vs a Used Car

Whether you buy a new or used car is a big question for buyers. Those in a financial position to do so obviously look to get new vehicles – they are more reliable and don't come with any expectant surprises.

Those who aren't are faced with a big decision. Do you take out a loan and get a new car that won't let you down or go the far more cost-effective option of a used car that is a bit pre-loved? The answer depends on your situation, with pros and cons available for both sides.

1. Car Insurance
   
   New cars have more safety features and driving advancements, giving them a big tick form car insurance companies. However, they cost more, meaning your premium and excess will also be higher.
   Naturally, used cars are the opposite – cheaper to insure but lacking the safety standards of their newer alternatives.
   In this category, used cars get the tick for their positive impact on your hip pocket.
   
2. Maintenance & Servicing
   
   New cars, depending on your model, can be more expensive to service. If you're buying a brand new sports car, expect to pay more for it to be maintained. If you're buying a popular brand and model, servicing won't be as expensive because parts will be common.
   Whilst used cars are cheaper to service, age and reliability aren't on their side, meaning more can go wrong. Each service presents new potential hazards for car owners which could make your quick trip to the mechanic a costly one.
   Researching your used car thoroughly to ensure it is up to scratch will alleviate any surprises.
   
3. Reliability
   
   Reliability is the main reason people buy a car. We want something that will get us from A to B efficiently. New cars are obviously ideal for this – they are in peak operating performance and won't let you down.
   Used cars, on the other hand, have a higher chance of breaking down and causing you headaches. The reliability factor is out the window because, at the end of the day no matter how many questions you ask, you'll never know the full history of the vehicle and what it could dish up during your ownership.
   New cars win this one.
   
The equation for buying a new car vs a used car is simple. If you have only a small amount of cash to work with and are happy to risk the possible long-term outlays, go for used. If you have money to burn, research whether a new car would suit you. Personal situation is always the underlying factor.

Source ; thebuzzinsurance