But when people choose to buy new cars, it is essential to know some new cars information.
Understand the benefits of new cars
One of the best reasons to buy a new car is the manufacturer's warranty. You may enjoy trouble-free ownership for several years. If something does go wrong, you don't have to spend money to repair it. Many dealers offer a 3-year / 36000-mile warranty, while some extend the warranty to 5 years / 100000 miles to give you more peace of mind. Different dealers and brands are willing to add other additional terms to the warranty to increase the attractiveness of the transaction.
The new car adopts the latest technology to enhance safety and provide maximum convenience. Imagine that you don't have to look for the key when you want to enter the car or start the car. As long as you have the key and press the start button, you can start. Advanced airbag and driver assistance functions make every driving safer. These are just some advanced features that come with new models and will continue to be improved.
The ability to customize has also attracted many car buyers. Choose your favorite paint color and wheels, and even add a package with additional functions to make every driving more pleasant. All these additional features make it fun for you to spend more time on the highway, not just a day's requirement.
The temptation of 0% financing may overcome your real nature. Whenever you can get a better APR or financial terms, it will make you smile. Four to seven years of car loans are common, which usually reduces your monthly repayment, although it increases the total interest you pay.
Understand the disadvantages of new cars
Depreciation is one of the main reasons why people choose to stay away from new cars. Drive out of the parking lot and your car is not worth the price you paid when you looked at it two minutes ago. This sounds extreme, but if you drive away from the dealer, you lose 9% of the car's value. By the first year, you have accumulated nearly 20% depreciation.
The cost of owning a new model does not stop there. Your sales tax will also be higher, which is related to the price of the vehicle. Because the tax is calculated as a percentage, when you buy more expensive goods, the tax will rise. All but five states (Alaska, Delaware, Montana, New Hampshire, Oregon) impose sales taxes on cars, but each state is different.
Car insurance for new cars is usually more expensive because replacement costs are higher. Repair costs are higher because OEM parts are used instead of after-sales parts.