Scotty:
At what point is it worth buying a used car vs. a new car. Currently, the spread between used and new prices just doesn't seem like you can get great value buying used. I'm looking at AWD RAV4, Outback Wilderness or XT, or CX5 (non-turbo). I'm really only seeing at the most about a $3,000 savings per model year and per about 15,000 mi. For really low mile examples maybe $2,000 per model year. This is vs. the new car price, not vs. what these prior model years sold for originally, so the depreciation is even less compared to the original prices. For trucks is it even worse. Any recommendations?
Thanks,
Ryan
At what point is it worth buying a used car vs. a new car.
seems like a personal choice to me.
personally, I would spend the additional $3k for new.
If you're financing don't forget that interest rates are even higher for used cars than they are for new cars. That can tip the balance even further towards buying something new. Obviously you're also getting a full factory warranty on new car which is another consideration.
yup , also insurance rates
Historically, used cars provided a better value. But during the pandemic, I’ve seen used cars going for MORE than new cars. Especially in the case of the RAV4. I know two people that got a RAV4 (used) and a RAV4 Hybrid (new). The Hybrid usually has the price premium, because it is a hybrid. And they were pretty much the same trim. But the used one went $15-$20K over what would have been MSRP. And the Hybrid just a little over MSRP new. And they weren’t bad negotiators either, it’s just the way the market was going.
So a new car can totally be a better value than a used car. It really depends on what is available to you in your market.
