You might have always heard that it's a more financially sound decision to purchase a used car rather than a new one. Although there are certainly some perks to buying used -- such as not having to deal with as much depreciation -- this does not mean that a new car is a bad idea for everyone. In some cases, a new car can actually be a sounder choice. These are a few questions that you should ask yourself first so that you can determine if a new car purchase would be smart for you.
1. Is Your Income High Enough to Afford It?
The last thing that you want to do is cripple yourself with an expensive car payment, especially if you have a lower income. Overall, you should not spend more than 20 percent of your monthly income on transportation, and that is supposed to include more than just your monthly payment -- it should also include insurance and maintenance for your new car. Talk to someone from a new car dealership to get an idea of how much the monthly payments will be on your new car, then use an online tool to estimate the cost of insurance. If this number comes up to be more than 20 percent of your income, you may want to decide on a used car instead.
2. Is Technology Important to You?
Newer cars do often come with the newest and best technology. For example, your new car might come with a touchscreen music system, a built-in GPS navigation system and a rear camera display that helps you back up safely. Some new cars even come with blind spot assistance, parallel parking assistance and other handy tech-savvy features. If technology is something that is important to you, you are probably going to have to go with a newer model car to find what you want.
3. Do You Know Much About Car Repairs?
If you don't know much about car repairs, you may not want to buy a used car that may need more maintenance and repairs. A new car might be a better fit for you since it probably won't need as many repairs, and it should come with a warranty to help cover anything that does go wrong. It might also be a more reliable ride if you are concerned about getting stranded.
As you can see, a new car, from a dealer like Western Avenue Nissan, might be a good fit for you. However, you should always be smart about things like financing to ensure that you get a good deal.Share