Navigating The 2024 Auto Market: Is It Better To Buy A New Or Used Car In 2024?

The automotive industry entered uncharted territory in early 2020 when the global pandemic caused nationwide factory closures. Although the automotive industry is among the largest manufacturers in the United States, the long-term closures of factories led to production issues, a decline in sales, and international trade. The lingering effects of the pandemic have left many questioning whether it is better to buy a new or used car in 2024. Moon Township Ford is here to help you make the best decision for your lifestyle and budget as we cover the pros and cons of buying a new car vs. used in 2024. Follow along to learn more.

Pros of Buying a New Car

Lower Financing: New Car vs. Used Car Interest Rates in 2024

Though the initial cost, or MSRP, of a new vehicle is higher, banks are more willing to offer lower financing rates for new cars because the car’s inherent value is higher, and it has yet to be subjected to vehicle depreciation. The financing rate will apply to the overall cost, which may still be higher than a used vehicle, but the cheaper car is not always the better choice.

Custom Order

When considering whether it is better to buy a new or used car in 2024, consider the features and specifications that are important to you and your driving experiences. Purchasing a new car allows you to build and price your new Ford to your exact specifications. With a custom order, you can select essential vehicle features like trim level, powertrain, exterior colors, and more.

Safety, Latest Features, & Technology

New cars have all the latest trimmings and technology, a huge selling point for drivers seeking the most advanced entertainment and safety amenities available. Technology is constantly improving, meaning if you opt to purchase a used car, you won’t have access to features and configurations available in newer models. Automakers are also kept to strict safety standards that change how cars are made over time. When debating whether buying a new or used car in 2024 is better, consider the extra peace of mind you will have, knowing everything is up to code with mandatory safety features, like tire pressure monitoring and stability control.

New Car Warranty

New cars come with warranties straight from the manufacturers that remain untouched. You can purchase a warranty for a used vehicle or purchase a certified pre-owned car; however, the best warranty you will get is the one that comes with the new car.

Maintenance

New cars often feature free or discounted maintenance for a certain period after purchase. This should be considered when determining whether it is better to buy a new or used car in 2024.

Pros of Buying a Used Car

Lower Price

The price of a used vehicle will be lower than a newer model. This factor also allows buyers to purchase cars and trim levels that may have otherwise been out of their price range.

Depreciation Value

Cars lose value over time, beginning as soon as they leave the dealership’s lot. When you buy a used car, the value of the car does not immediately depreciate.

Auto Insurance Rates

Auto insurance is typically lower for used vehicles than new ones because the car’s value isn’t as high and will be cheaper to repair or replace.

Cons of Buying a New Car

Down Payment and Purchase Price

The purchase price of a newer vehicle will be higher, meaning more money will be required upfront.

Depreciation Value

Another essential factor to keep in mind when determining whether it is better to buy a new or used car in 2024 is that new cars begin to depreciate in value the second they leave the dealership. Some vehicles will depreciate as much as 40% just by driving off the dealer’s lot.

Cons of Buying a Used Car

Quality and Reliability

Though a used vehicle will be thoroughly inspected before leaving the lot, there is always a chance of underlying issues and unexpected repair or maintenance needs.

No Manufacturer Warranty

Used vehicles do not come with the manufacturer’s original warranty. You can purchase warranties, but they can be expensive and do not cover specific parts and features.

Selection

While you may have more purchasing power when you buy a used vehicle, you will have less say in its features, such as the trim level, exterior color, and interior features.

Find Your Ford

When deciding whether it’s better to buy a new or used car in 2024, it depends on your preferences, lifestyle, and budgetary constraints. For more help determining which option is for you based on the pros and cons of buying a used car, visit Moon Township Ford today!