A car is a high-priority purchase for most, owing to the multiple benefits it carries. For some, it is about ease of commute; for others, it is about holidays and long drive. No matter what your reasons are, what your city is, what the traffic conditions are like or how much you earn, owning a car is imperative. When it comes to buying a car, there are a lot of questions you need to consider. The number one is – Should I buy a new or a used car?While a shiny new car would be appealing with its latest technology, a second-hand car is more pocket-friendly and depreciates less.

Can’t decide which one to choose? Here are 11 things to consider to help you decide.

Value for money

Buying a used car is significantly lighter on your pocket. Of course, you need to factor in other costs like maintenance and depreciation charges. But a well-kept used car is a better value for money than a brand-new car.

Depreciation

A new vehicle loses most of its value in the first few years. Your new car starts to depreciate the minute you drive off the showroom. In contrast, since most of the depreciation has already occurred with a used car, the depreciation rate is slower, and you get better value.

Maintenance

In the initial years, a new car incurs less maintenance and repair costs. Whereas a used car might incur additional charges like repair and replacement over the years.

Insurance cost

A key factor that determines the insurance cost is the value of the car. Now, since a used car is cheaper than a new one, the cost of insurance would be less on a second-hand car.

Upgrade

Buying an old vs new car is not only cost-effective but you can also get an option to buy a better model for the same budget. For instance, for the same budget, you can easily buy a 3-4-year-old sedan instead of a new hatchback.

Reliability

Even though many used cars today come with certified inspection, there is no doubt that new cars are more reliable and are covered with the manufacturer’s warranty. Not to mention, you don’t have to worry about any previous mishandling in the case of a new car.

Finance options

Purchasing a car, whether new or old, will be more affordable with a car loan. With the used car sector becoming more organised, most lenders offer attractive finance options on second-hand cars at competitive interest rates.

Latest features

A technology that is the latest today might become outdated six months from now. So, buying new car vs usedonewill offer you access to the latest features in terms of specifications, equipment, and accessories.

Registration fees

When buying a new car, you’ll have to pay a significant registration fee. While you don’t have to worry about this expense for a used car as it has already been paid by the first owner.

Customisation costs

You don’t have to deal with expensive add-ons when opting for a pre-owned car. You may install your customisations later at a much less cost than a new car.

Mileage

New cars are more fuel-efficient and ensure better mileage as compared to second-hand cars. Thus, allowing you to save big bucks on fuel.

In Conclusion

Still wondering “should I buy a new or used car”?Well, with its own set of pros and cons, the final decision depends upon your utility, preferences, and budget. Now, whether you decide to get a new car or used car,opt for easy finance options from Tata Capital! With attractive interest rates on vehicle loan and flexible EMI Plans, your dream of owning a car will now be a reality.

Get in touch with us to know more.

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