Are really always saving money by buying used?

[Anonymous]

Anonymous wrote:

Anonymous wrote:I just bought a new car and I'll never do it again. The fees and taxes were already double on the new car. Interest rate is about the same because the Honda offered it's financing on used certified Hondas. Just looked up and could've got the same 3-year old car for ca $15k but just bought new one for ca $24k. Not impressed by having new vs 3-year old and will never do it again.
I have to drive it at least 15 years to make it worth while. My needs might change in year 10.
It probably depends on the car, but will not buy new again. Not to mention how painful it was in the dealership to be nickel and dimed. I think I even cried there from anger.

The problem here is not that you bought a new car but that you don't know how to research, negotiate, and buy a car in the first place. When I walk into the dealership, I know exactly what I'm going to pay because I have already agreed with the dealer via email. The dealer does not get to "nickel and dime" me, and there is no emotion or anger involved.

Empower yourself as a consumer.

Totally agree with PP.
I understand the limitations of many people and the fact that the used car is their only option. However whenever possible I would always go with a new car. Car is a lot like a house and clothing and shoes, it is your personal space, it is your shell and your second skin. You spend so much in it, you became part of it. Whoever was using it before you, their presence and dandruff, smells of perfume, and any cigarette smoke ever smoked in the car, all in it. You live in it, you breath in it, you eat in it, some people even cut the cheese in it .

So when you buy used car you buy the whole another world. If you have kids with allergies that can be an issue, if you have allergies it can make it worse in some way or another. Buying a new car is not only amazing comfort but
also peace of mind and fresh clean unused interior that is yours and yours only, and your family of course. Nobody was sitting in your seats, bringing dirt from the road with their shoes.. it is clean and yours.

If this is not worth anything, then there is more. When you buy a new car there is an amazing level of comfort that comes with it. You know you can rely on it, you trust your car and when you bring it for the service you get a loaner to drive free of charge, at least the brands I own. You also know that the warranty is there for you. Most cars have only up to
4 or so years and this period is not only to have a piece of mind but also to know if your car is worth keeping.
Most cars last a very long time with little to no problems. Others constantly experience problems. There is a consensus out there that if a car starts having problems within the first three years then you know you have a bad car. If you bought a new car, you can just use it up until the warranty ends and then get a different car. However if you want to keep a car that performed impeccably during the first three years, odds are it will be a very reliable car. That is also my personal experience and the people I know well enough to know their car problems.
When you are buying a used car, nobody will tell you if it is a headache car or not. You only get very basic information and not full disclosure. Lots of cars out there are out there not because people fancied a new car but they wanted to get rid of a headache. Of course lots of cars out there are good cars but you can always ask yourself who can afford and why would they get rid of a car after 3 years? There is a bunch of people who can and will want a new car every few years and they can afford it. However while this is more true to the high end cars like Mercedes, BMW, Land Rover, Porsche, it is not necessarily the true to lower priced cars who by default attract more frugal clientele. So if I were to buy used luxury car I would be much less hesitant to buy one or two year old car then buying used one to three year old Toyota or Ford, but then again those who consider a luxury car usually can also afford a new car to being with.

At the end of the day your question : Are really always saving money by buying used? is relatively easy to answer.
You probably can always save money by buying used car as per above what other's said. However you also can ask yourself if money is the most important factor in buying a car. If it is about money, perhaps yes. But if you want to buy a car that stays new longer, makes you feel better, is more reliable, saves you money in the long shot and keeps you happier for longer and makes you proud for longer then new car is much better purchase.

When you buy a new car it is like you buy a new sandwich. Yes, you can buy a sandwich that someone bit only once or twice, and you can be happy with it, however, you feel and you know you are not the first owner, it will never feel truly yours, it will feel used, and it might also come with some stuff of the past owner that you would rather not deal with.

[Anonymous]

I find it interesting that people who buy their fist new car after owning used cars never go back to buying used cars. It is only people who always buy used car, they keep always buying used cars. It is not necessarily that they can not afford the new at some point, it is just their mentality. They never experienced a new car ownership and they don't know what they are missing.

[Anonymous]

Anonymous wrote:I just bought a new car and I'll never do it again. The fees and taxes were already double on the new car. Interest rate is about the same because the Honda offered it's financing on used certified Hondas. Just looked up and could've got the same 3-year old car for ca $15k but just bought new one for ca $24k. Not impressed by having new vs 3-year old and will never do it again.
I have to drive it at least 15 years to make it worth while. My needs might change in year 10.
It probably depends on the car, but will not buy new again. Not to mention how painful it was in the dealership to be nickel and dimed. I think I even cried there from anger.

New car is not for everybody, you clearly have a buyers remorse. I would assume you do have it with any purchase of a new item. In this case surely new car is not your best option because if you will be beating yourself every day for doing it then you can go bananas. Ever looked at people's shoes? Some have brand new always new, others wear used shoes on and on. It is not that the same shoes are not more comfortable, they are but unfortunately we live in the place where people look at your shoes and car and judge you. Right? I did not invent it, I only report it.

As to paying double tax, you pay what it is. New car, higher price higher taxes, Amen. Why the whining?

As to the deal making, just as some people stated, if you had to cry in anger you were entirely not prepared and went with a knife to the gun fight.
Who in their right mind would walk out of the street and would sit down and buy a car without any due and diligent research and preparation? Why in heaven most people will research for weeks and months a car they want to buy but do not spend more then ten minutes learning how to buy a car and how to negotiate? Just sheer reading is not enough.
You need to do some research, you need to learn what is the process of negotiating and how to get most of it.
It is a process. Most important part is to know exactly what you need to pay for your new car. This changes not only many times a year, it also changes within the same month so you really need to do your work. You need to know exactly what incentives are out there, you need to know how much you can reasonably negotiate the price without being disrespectful and knowing that dealership is not a charity and you need to respect that they need to profit from the car they sell.
Then you truly need to spend time visiting showrooms, talking casually about the car and incentives, test drive, be sure you want the car and know exactly all the options you want and you don't. And then find the car you want from tons out there and buy that car. Negotiate ahead of time via email, check all car deal websites, use it to your advantage.
You can totally buy a car saving a lot of money if you do it right. Even if you rent a car buying services who split the deal between the dealership and them and you still better deal then you paying it all to the dealership not knowing what you are doing.

It is sad that cars do not have fixed prices like carrots or cabbage and that the sales are not simple and clear to the buyers, this probably would result in more new cars being sold. Till then just buckle up and arm yourself with the best information from all online car buying places, car forums and your cousin Larry and once you negotiate the price online then just walk in and be ready to sign the papers. Stress free. Every dealership has a website, every dealership deals with internet sales, you can ask , they will reply, you can continue process via email. They are happy if you do.
You don't need to make a move until you are ready to do so. Don't make a move until you are ready to do so.

[Anonymous]

Anonymous wrote:I find it interesting that people who buy their fist new car after owning used cars never go back to buying used cars. It is only people who always buy used car, they keep always buying used cars. It is not necessarily that they can not afford the new at some point, it is just their mentality. They never experienced a new car ownership and they don't know what they are missing.

And once you have the new car, it’s so much easier to be relaxed and stress free since you know you won’t have major problems for 8-10 years whereas with used you’re worried immediately and certainly in the next 2-3 years.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I find it interesting that people who buy their fist new car after owning used cars never go back to buying used cars. It is only people who always buy used car, they keep always buying used cars. It is not necessarily that they can not afford the new at some point, it is just their mentality. They never experienced a new car ownership and they don't know what they are missing.

And once you have the new car, it’s so much easier to be relaxed and stress free since you know you won’t have major problems for 8-10 years whereas with used you’re worried immediately and certainly in the next 2-3 years.

I don't completely agree but really want to pound on one of your points:

YES, buying a new car can be a decent financial decision IF you keep the car for a long time. 8-10 years is nothing for a car that has been well-maintained from the start.

It's the cycle of buying new every 4-5 years that gets expensive.

[Anonymous]

If you're getting rid of the car at year 8 no matter what, then of course buying used isn't always going to be cheaper. Most people who say buying used is cheaper don't operate with that assumption.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I find it interesting that people who buy their fist new car after owning used cars never go back to buying used cars. It is only people who always buy used car, they keep always buying used cars. It is not necessarily that they can not afford the new at some point, it is just their mentality. They never experienced a new car ownership and they don't know what they are missing.

And once you have the new car, it’s so much easier to be relaxed and stress free since you know you won’t have major problems for 8-10 years whereas with used you’re worried immediately and certainly in the next 2-3 years.

Actually I bought a new car about 10 years ago and honestly it wasn't worth it. I am now a happy 3 year old-used car buyer. So much easier (I just do Carmax) and all this craziness about other people being in it is really weird to me as a chemist. Do you know what is coming from the factory? And leather is coated now these days it can be so completely cleaned.

But clearly it takes both in an ecosystem to survive, so not trying to convince everyone. Just telling you that people don't just do one or the other.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I find it interesting that people who buy their fist new car after owning used cars never go back to buying used cars. It is only people who always buy used car, they keep always buying used cars. It is not necessarily that they can not afford the new at some point, it is just their mentality. They never experienced a new car ownership and they don't know what they are missing.

And once you have the new car, it’s so much easier to be relaxed and stress free since you know you won’t have major problems for 8-10 years whereas with used you’re worried immediately and certainly in the next 2-3 years.

Not true for me, but I guess people can vary. I bought new once and never again. I kind of felt like a sucker for the first couple of years for driving something that depreciated so fast. I'm not a car person, though, just need something that runs reliably and used Hondas get me there.

[Anonymous]

Anonymous wrote:I find it interesting that people who buy their fist new car after owning used cars never go back to buying used cars. It is only people who always buy used car, they keep always buying used cars. It is not necessarily that they can not afford the new at some point, it is just their mentality. They never experienced a new car ownership and they don't know what they are missing.

Not true for us. We had always bought new cars over the years, then when we went shopping for a third fun car which was a totally unnecessary expense, decided to look at used to save some money. A year later when replacing my daily driver we got a year old one with 12K miles that was perfect and saved a ton. Not sure we’ll ever buy new again.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I find it interesting that people who buy their fist new car after owning used cars never go back to buying used cars. It is only people who always buy used car, they keep always buying used cars. It is not necessarily that they can not afford the new at some point, it is just their mentality. They never experienced a new car ownership and they don't know what they are missing.

Not true for us. We had always bought new cars over the years, then when we went shopping for a third fun car which was a totally unnecessary expense, decided to look at used to save some money. A year later when replacing my daily driver we got a year old one with 12K miles that was perfect and saved a ton. Not sure we’ll ever buy new again.

What kind of car was the used one?

[Anonymous]

Anonymous wrote:

Anonymous wrote:I ran this same calculation when I bought my Toyota. Used was only a few thousand less than new. It just doesn’t make sense to buy some cars used if you can afford the higher payment of financing a new car.

I agree. When I bought our last Toyota the financing on the new ones was almost free and I couldn’t find ANY benefit in buying a newer used over just a new one. I think maybe certain brands may get you ahead buying used, but certainly not Toyota or Honda.

That was my experience as well for my last Toyota purchase (about 12 years ago). Plus it was just too much bother trying to find exactly what I wanted in a used car (model, color, AWD, and other options). I don't want to compromise on those things, since I tend to keep my cars for a long time - might as well get exactly what I want, since I'm probably going to be driving it for the next decade at least!

[Anonymous]

2.5 years ago I bought a 3 year old Mercedes E350 with 18,000 miles on it for about 60-65% of the original price. They extended the warranty and gave me free maintenance until mid 2020. I paid cash. I now only drive about 6-7,000 miles a year and the last car I owned I drove for 10 years so I will probably keep this another 5 years. It’s hard for me to believe that buying new would have been smarter given the deal I got.

[Anonymous]

Im flexible. When purchasing a high end car then my experience has been to purchase a vehicle not older than 3 years - because most come with a 4 yr warranty so you can get it fixed for free if there are major issues. However....I have always purchased Subarus, Honda, Toyota, Lexus brand new. The cost savings of purchasing one of these japanese cars at 3 years of age was not significant.

[Anonymous]

I am with you op and I’m actually having this conversation with my sister right now. The first three or dour years are maintenance free. 8 years isn’t driving it into the ground. Subaru’s have the CVT transmission too which is very bad. I don’t know why they hold their value. They shouldn’t. You should buy new but negotiate hard and don’t pay interest.

[Anonymous]

I think this is generally a tie or perhaps more accurate, hard to predict but either way the cost savings is not likely going to be very high. The best way to save money on a car purchase is not to buy a luxury car -- shoot for the middle and you will can save in the neighborhood of $20,000.