Buying a brand-new car can come with a host of benefits. From the latest tech, like advanced safety features and infotainment systems, to the most current styles and accessories, such as sleek designs and premium sound systems, and being the only person to drive it aside from delivery miles, there’s nothing quite like getting a new car; not just you can elevate the experience that little bit more.
But is buying a brand-new top-of-the-line car different from buying a used car? The process overall is actually similar, but there are some things you need to know when heading to the dealership to make your next vehicle purchase.
Depreciation is Real
A new car can depreciate around 15 to 35% in its first year and 40 to 60% in the first three years. This means that if you were to sell the car after a year, you would likely get 15-35% less than what you paid for it. This is one of the reasons why people choose to buy used cars, as they will have already depreciated the larger sums before they own it. And while a car will always be a depreciating asset, newer cars will be more exposed to this than cars over 3 years old. So, when looking at the cost and value of the vehicle, consider how much it could depreciate (each car depreciates at different rates, and the exact amount will vary).
Finance Options
New cars are, of course, more expensive, which means you need to be careful when applying for finance to get the best deal. Once you add interest and depreciation rates into the mix, the deal might not seem so great.
When purchasing a new car, you have a range of options to consider. Whether it’s a land rover defender new or the latest electric model, understanding the finance terms is crucial. This knowledge empowers you to confidently choose a deal that suits your needs and budget, ensuring you can comfortably afford your new car.
Pre-Registered or Not
When buying a new car, you need to check if the car is already registered or not. If you are picking the specs and waiting for an order to be fulfilled, then you need to make sure they will be registering it for you. Usually, they will take care of all of this for you, but it’s best to check if your car isn’t already registered. You can still buy brand new pre-registered cars, which are vehicles that have been registered by the dealership for administrative purposes or to meet sales targets, and they will likely have a few hundred miles on them from being used to sell the vehicle or for people to test drive, but you will still be the first owner after the dealership.
Understand Features
Different models will come with different features and options, and you need to be aware of what is available for the vehicle you want and what the cost is for adding different things. There will be a wealth of features as standard, but you might also be able to upgrade certain aspects, such as interiors or pick the colour and add additional features. This can mean you might be waiting a bit longer for the vehicle and paying more, but it is worth investing in what is available to you when you order the exact car you want and need.
