New vs. Used?

[Viper007Bond]

At some point I'm going to have to buy a car. Yes, I'll have to get a license first (working on that soon) and drive around a beater for a while (I have one waiting for me), but after that, is new or used the way to go?

New means I know what happened to the car, I know it'll be babied, it'll have 0 mileage, I won't have to deal with breaking parts (for a while), etc.

Used will already have depreciated a lot though (i.e. I'll save a lot of money).


Due to lack of expenses, I have saved up a fair amount in the bank and can afford to make car payments meaning either is an option.

What would you do?

(I have my eye on a WRX or WRX STi by the way.)

 

[MadCat360]

Can't beat new car smell. But a certified pre-owned is a good middleground. You usually get a decent warranty and the car is cleaned and running well.

 

[citrus`]

Depends on what, you like, I think.

I want to say new, because it'll save you a lot of hassle, but I can't put my finger on it.

Hmm...

I'd start with a new car; it just seems more practical.

You buy a car to drive it, not sell it, right?

If you really like a car, the depreciation shouldn't matter much; you know you'll keep it a long time.

Can't beat new car smell. But a certified pre-owned is a good middleground. You usually get a decent warranty and the car is cleaned and running well.

Best compromise, if you can't decide.

 

[Hbriz]

Depends on the car. In 5 years or so time, I'm thinking of buying a Golf GTi. Thats a car I won't think twice about buying new, because the resale value is excellent. If I was buying something like a Holden Commodore, I wouldn't even consider buying new. 2 years and half the value is gone. I don't know about the situation in the States, but Subarus here have among the highest resales, so thats another I wouldn't hesitate to buy new.



Fun fact: According to Wheels magazine, the car with the best resale value in Australia is the Hyundai Santa Fe 2.2 CRDi auto, in equal first place with the Lotus Exige.
Fun fact 2: I don't trust Wheels magazine

 

[TC]

Certified pre-owned is a good idea. Sporty cars tend to get abused, so you got to be careful buying used.

It also depends on how good the resale value is. If you're only saving a few grand buying an older used model, than brand new is not a bad idea.

Of course, what body style WRX/STi do you like? Do you prefer the new hatchback models or the old sedans?

 

[citrus`]

Certified pre-owned is a good idea. Sporty cars tend to get abused, so you got to be careful buying used.

That's a very good point to mention.

My friends were looking for STi's around here a while ago.

They were hard-pressed to find one that hadn't been smashed at least once.

 

[flydiscovery]

If you have "quite a bit" saved up in the bank, I'd buy whatever you can pay full cash for, or whatever you can make the biggest possible down payment on. Why pay interest and fund someone else's fun?

That said, if you can afford new, I have a thing for new cars but it's mostly being brainwashed from a young age. If it's new+payments or used free and clear, I'd go used any day of the week. Interest is a ripoff.

 

[brydie76]

Given you are looking at a fairly expensive car, I would say slightly used (i.e. 1-5 years old with less than 70k miles on the odometer). Just get a mechanic you can trust (shop around, ask on here obviously, etc) to check it over before buying it and of course go for full service history.

I would only reccomend new if you were looking at smaller, less powered cars. I'm buying new when i have the money saved up because it is only a few grand more expensive (due to shonky depreciation) and the car I am looking at (mkV Polo/new Fiesta) are fairly new and not many will be on the used market. But a new Rex will cost a motza and there should be enough examples on the used car market to produce a decent one.

Perhaps look into ex-demo/dealer hire cars? (doubt too many WRX's would be around that are ex dealer hires, but demos are a good compromise. We got a dealer demo Outback H6 Luxury back in 2003 for $50k AUD- about $10k less than if we got it new. Only had 1500 kms on the odometer and was in new condition- was one of the lucky cars kept in the showroom!)

 

[v0od0o]

I'll concur with what others have said about certified pre-owned, and I did the same with my current car. I bought it off a friend, who had bought it as a certified pre-owned. I saved $20K+ off what the car would have cost me new, and the CPO warranty transfers just fine. The car had 33K miles when I bought it and 1 year of original factory warranty left. CPO warranty kicks in after that expires and extends for another 2 years. So basically I saved the money and still got a car with a 3 year warranty for that peace of mind. That's definitely what I'd suggest doing.

That said, it's very hard to find a non-abused STi or Evo. If you do go with the used route make sure you get a good pre-purchase inspection and check the Carfax. If you have a friend who has one or knows a lot about them drag him along for the test drive, he should be able to tell a lot with a quick look under the hood and a ride.

Good luck!

 

[EyeMWing]

Completely out of line with the rest of the thread, I feel compelled to post this suggestion:

Since you'll already have a beater, why not pick up an older project car. Something with some snazz to it. Service history won't matter worth a hill of beans, because you'll be systematically dismantling and inspecting every piece of it anyway.

Pro:
-You're not at the mercy of current fashions in cars.
-You can have utmost confidence in the way the thing works
-You can get anything.


Con:
-You need a place to work on it.
-You'll need to work on it concurrent with the life of your beater
-Possible substantial parts outlay
-If you don't have ancestral tools passed on to you from your father (and preferably from his father - and to him from his father's father) building a set for yourself will likely cost more than the car will

 

[Blayde]

Agree with certified pre-owned, it's lost it's first few years depreciation, which i usually quite a bit, meaning it's good money, and there are quite a few drivers who baby it and dont push it, good for you to.

Unless it's a brand you model which isnt available yet, that's the way to go.

Completely out of line with the rest of the thread, I feel compelled to post this suggestion:

Since you'll already have a beater, why not pick up an older project car. Something with some snazz to it. Service history won't matter worth a hill of beans, because you'll be systematically dismantling and inspecting every piece of it anyway.

Pro:
-You're not at the mercy of current fashions in cars.
-You can have utmost confidence in the way the thing works
-You can get anything.


Con:
-You need a place to work on it.
-You'll need to work on it concurrent with the life of your beater
-Possible substantial parts outlay
-If you don't have ancestral tools passed on to you from your father (and preferably from his father - and to him from his father's father) building a set for yourself will likely cost more than the car will

The cons you mention are only likely if he doesnt go euro and gets something that you CAN work on, if he get's a 3 y/o euro car with their own special tools needed, it's anyway a dealer maintained car

 

[Viper007Bond]

Thanks all.

You buy a car to drive it, not sell it, right?

Correct, but the idea is to not throw your money down the toilet too.

Of course, what body style WRX/STi do you like? Do you prefer the new hatchback models or the old sedans?

I can't decide. I keep going back and forth and with the current generation soon coming out as a sedan version it's making it all that much harder.

Since you'll already have a beater, why not pick up an older project car. Something with some snazz to it. Service history won't matter worth a hill of beans, because you'll be systematically dismantling and inspecting every piece of it anyway.

Working on cars really isn't my thing. I like cars a LOT, but I honestly have other things I'd rather do. Case in point: my dad's TR250 has been sitting in the garage needing a new clutch for at least 5 years (and is undrivable as a result) and we still haven't found time to work on it. :?

 

[TC]

I can't decide. I keep going back and forth and with the current generation soon coming out as a sedan version it's making it all that much harder.

I must admit, the new sedan STi looks damn good. I can feel your pain.

 

[Strelok16]

used.

Because you can get awesome cars for seriously reasonable prices used, cars you might never be able to buy new.

Like EyeMing said, a project is also a good option. If working on cars isn't your thing, it doesn't have to be a major project, just something that needs a few things and can be worked on while you drive it. There are also a good number of classics out there that can be had in good, driving, non-project condition. Definitely spend some time looking through used and classic car listings. you might be surprised at what cars you'll find and the prices you can find them for.


then again, I originally bought my Mustang as a running project, and it turned into a full restoration... >.> just take the time to learn stuff before you pull the trigger on something and you should be alright

 

[Spectre]

New only makes sense if it's a car model that is either just going to be abused inherently (and therefore will not have any good used candidates) or you're going to keep it 7-10 years. Otherwise, used/preowned.

Leasing makes sense if you're going to play musical cars and trade in every few years. Otherwise, no.

 

[Ice_warmer]

one of the best experiences in life is a new car, the smell, the touch, knowing it is its first time ...

 

[Spectre]

one of the best experiences in life is a new car, the smell, the touch, knowing it is its first time ...

... discovering the huge hole in your wallet, realizing that your buddy got the same car with only 10K on the clock for half what you paid for yours...

 

[DanRoM]

New is only good for two reasons: a) You want a sporty model that tends to be abused or one that tends to be carbaged, so it's unlikely to find a mint condition one, and b) you want some options that no used specimen meets your requirements.
I imagine b) is not much of an issue in fully-loaded-land. So, a year-old car is the best compromise between "nothings broken yet" and price.

 

[Vette Boss]

I have found that going CPO is indeed a good way to go. I have saved hundreds on the Passat, in just the year I've had it. Only the best used examples are chosen, so it's very safe to do.

 

[thedguy]

... discovering the huge hole in your wallet, realizing that your buddy got the same car with only 10K on the clock for half what you paid for yours...

This! Go used, though you might try and get a CPO.