Why do people prefer to buy a new car? Because the attraction of a new car is from the smell of the car to shiny paint, clean interior, and the admiration and envy of your friends when they see it for the first time. In fact, in today's social culture, the new car is an identity symbol. In addition, buying a new car has some other advantages.
Reliability and warranty protection. Most new cars have a good reliability record, and if there is any problem, it is likely to fall under the manufacturer's warranty. Buying a new car also means that you don't have to worry about how the car is handled before you buy it.
Free roadside assistance. Many new cars are equipped with roadside assistance. This can save you the cost of paying your own insurance premium, or if your car breaks down, you need to pay for a trailer.
Latest features. New vehicles are likely to meet the latest fuel efficiency standards and have the latest safety features.
Attractive financing transactions. If you have good credit, many carmakers and dealers offer low-interest or no-interest financing plans. This can make buying a new car cheaper than buying a used car.
Of course, buying a new car also has some disadvantages.
It's expensive to buy. Buying a new car costs a lot of money. If you use a car loan to fund your purchase, you are likely to borrow more money and eventually pay more interest than a used car.
Rapid depreciation. New cars depreciate faster than old ones. A car loses the most value in the first few years of ownership, and a large part of its value in the first few seconds of leaving the parking lot. It is estimated that the instantaneous loss is maybe 20% of the value of the car. 1 this is because when you buy a new car from a dealer, you pay the retail price. Once you leave the parking lot, the car is only worth its lower wholesale price. This is the amount the dealer is willing to pay if you turn around and try to sell it back.
Insurance costs are higher. New cars also cost more to insure than used cars because they have a higher replacement value.
Never knew. Finally, the new car will not stay new for a long time. In a day, a week, or a month, you will get your first scratch or scratch. By the end of the first year, the floor may be soiled, the door may be soiled, and the sweet smell of the new car will only be a memory. Of course, monthly payments will last for years.