New Car Vs. Used Car

Should you buy a new car… or should you buy a used car?  The answer is:  It depends. Sorry.

Let’s look at some of the things that may help you make your decision.

This could be a great used car...right?

New cars today do have very impressive warranties.  And, quite frankly, new cars built today are built much better than they were a generation ago.  But, used cars also come with warranties.  Sometimes it’s the remainder of the hefty warranty from when it was new, and other times you can purchase an additional warranty for used cars.

Used cars are always cheaper than new cars… in a perfect world.  But, if you’ve learned anything about the economy in the past few years… things aren’t always what they seem.  Interest rates on new cars can be quite low right now, sometimes even 0%.  Interest rates on used cars are almost never as low as new, which could mean both a higher payment each month, and a higher total cost of the car at the end of the loan.

New cars are typically in top condition, and your risk of something going wrong should be relatively low.  However, with so many manufacturers offering pre-certified used cars, the risk of trouble with many used cars is also relatively low.

On a strict apples-to-apples comparison, a good used car will almost always be the better financial deal.  But, according to bankrate.com, if you expect to hang onto a car longer than most, and are looking for a more robust warranty, a new car may make more sense.  BankRate, Edmunds, and Cars.com all have great tools to help you through the process.

Beware: The Hurricane of Bad Cars

Not quite a year after Hurricane Sandy caused untold amounts of damage to the eastern seaboard, unsuspecting car buyers are finding themselves in formerly flooded cars.  

Many of these cars are being sold privately or at smaller used car lots, but the risk is real.  Once corrosion starts in a car, it begins to slowly break down vital parts of a car.  A car that may have been sitting in a few feet of salty sea water is an even greater risk.

Unfortunately, some unscrupulous people are shampooing the carpets, squirting some Febreze around, and passing these off as great used cars. 

AAA has offered up some clues to help you buy smart… and stay safe. 

First, trust your nose.  If you are picking up any kind of a mildew smell, or if it seems like they are overdoing the air fresheners, start asking questions. 

Take some extra time to look under the car and pay close attention to tight areas that are hard to clean.  If you are seeing mud trapped in there, or detect corrosion, you could have a formerly flooded car. 

Spend a few extra dollars for a CARFAX report.  Pay particular attention if the car spent anytime in the northern Atlantic states in the past 12 months.

Lastly, your own personal mechanic is your best friend in these kinds of situations.  They know exactly what to look for and can advise you accordingly.

It’s important to know that selling flood damaged cars without disclosing that information is highly illegal.

Just keep in mind there were hundreds of thousands of cars that sat soaking in the flood waters last year, and some are making their ways to private sellers and tiny dealerships.  Be extra vigilant.

Any questions?  Just ask our trained mechanics here at US Automotive.