- Learn to say 'no' to the good so you can say 'yes' to the best. John C. Maxwell
Buy a New Car
Despite big promotional events and appealing advertisements, new cars come with hefty price tags and lose their value very quickly due to depreciation. In fact, there are many benefits to buying a used car for cheap over a brand new one.
However, there are a few specific occasions when a new car isn’t just a luxury indulgence and a way to pamper yourself. It actually makes more sense to buy new in these cases.
Benefits of Buying a New Car
New Safety Technology
In the automobile industry, the amazing power of computer processors has sparked a technology revolution, and manufacturers are finally using technology to enhance safety. When you spend on a new car, you can find advanced safety features including:
- Stability control
- Adaptive cruise control
- Lane departure warning
- Blind spot monitoring
- Rear-view camera
As with earlier developments like anti-lock brakes, these new features are quickly trickling down from high-end luxury cars to family sedans and even economy brands. It’s too soon to find them in most used vehicles, but you can find affordable new cars with great safety features.
Simpler Needs, Simpler Costs
You might be drawn to a new car by a low advertised price, only to learn from the car dealership that the base price is for a low- or no-frills model. To get the advanced features like cruise control, voice recognition, a navigation system, and seat warmers, you’ll deal with a list of expensive options, often adding as much as $10,000 to your total – before taxes.
If you know that you don’t want pricey options like “pearlescent” paint coating, larger wheels, or even an automatic transmission, you’ll probably find less of a difference between the prices of new cars and used cars. If you’re just trying to get to the office or train station and back, you can custom order a new car from the dealer without all of the unnecessary options and get a competitive price for a brand new car.
According to J.D. Power, more than half of car buyers claim that after exterior and interior styling, reliability is the most important factor when choosing a vehicle. Because new cars are typically more reliable than used cars, consumers are likely better served by choosing a new one instead of a used one.
Qualified language is necessary here because reliability means different things to different people. Especially in recent years, consumer dissatisfaction with user experience and design has colored perceptions of quality and reliability.
For example, new car buyers frequently find touchscreen infotainment systems difficult and confusing to use. Dual-clutch automated manual transmissions that don’t sound or feel like traditional automatic transmissions produce a greater number of owner complaints. Misunderstood safety technology causes consternation in drivers.
Keep in mind that the modern definition of reliability encompasses matters of design, user experience, and expectations of operation in addition to outright component failure.
New cars come with a warranty, and some are quite generous. This means that if something does break or fails to work as designed or intended, you can get it replaced at no cost.
When it comes to warranty coverage, Hyundai and Kia provide the best programs, with Mitsubishi close behind. Buy a new Hyundai or Kia, and these automakers provide the following coverage:
• Powertrain warranty: 10 years or 100,000 miles
• Vehicle warranty: 5 years or 60,000 miles
• Rust warranty: 7 years with unlimited mileage
• Hybrid battery warranty: Guaranteed for the life of the vehicle
• Roadside assistance program: 5 years with unlimited mileage
In 2016, Toyota supplies the least favorable warranty program, supplying industry minimum coverage combined with the shortest roadside assistance program of any volume automaker.