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[quote=Anonymous][quote=michadoh]If I were you I would go for a used car first because it is cheaper, 2nd it will  [b]not depreciate as quickly[/b] as your new car and 3rd buying used  car and customizing it without the fear of voiding the insurance but of course, you will be good at looking at used cars.[/quote]

What generally happens with cars is that they have some minimum value that the drop towards as a used car, usually reached at the 15 mark. Depreciation during the 15 years is fairly consistent as a percentage of the value. For example, a $30,000 car may eventually end up being worth about $3000-$4000 by the time it is 15 years old, and after that the price stays fairly consistent and decreases very little with additional years. However, during the 15 or so years of use, the depreciation of $26k-$27k happens at a fairly consistent rate - it may be more loaded towards the first 10 years than the last 5 years, but the tilt is not as heavy as one would imagine. You are going to see about a $1500-2000 depreciation per year for that car consistently. Now if you say that it's still worth it because the car depreciates closer to $2000 during the first 3-5 years of its use, and closer to $1500 a year later on in its life, remember that the first 3-5 years is the best part of a car's life, where it is under warranty, is the most reliable, and offers the most current technology/safety features. [/quote]

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