When most people need to buy a new car in the UAE they often think that buying a used car will save them money; but is that always true, and what about the hassle involved?
Read on to discover how buying a new car can sometimes be cheaper than buying used.
The car buying journey normally begins with a search. When searching for a used car, you can have a rough idea of what you want but comparing different versions of the same car can be very confusing. What optional extras does it have? How does it compare to the other versions? Gathering this information on used cars is highly challenging, the person selling the car might not even know.
Conversely, this comparison is easy when it comes to brand new cars. You can use our intelligent search engine to narrow down your options, and once you’re there, comparing models at different price points is simple. The dealerships themselves will also be more than happy to show you the differences between the various versions of that model you have your heart set on.
Buying a new car can actually be cheaper than buying a used car. “How!?” you might ask. The secret is to think about buying a new car as a cost that is drawn out over the years you will own the car. Buying a used car will almost always be cheaper when only considering the initial cost, but with a used car you will need to pay for registration, insurance, servicing, and repairs from the moment you buy it.
When buying a brand new car, it’s common for dealerships to give you these benefits for free, or at a discounted rate, for the first few years after you buy the car. This significantly reduces the amount the car will cost you, which saves you money.
The initial cost of buying a new car can also be reduced through taking a loan (or car finance) to help buy the car (loans are available for used cars too, but generally at a higher cost). Provided you are in a stable job and earn a reasonable salary, most banks in the UAE will be happy to offer you an automotive loan at low interest rates.
Buying a used car may not be any, if at all, cheaper than buying brand new, when you consider the cost of owning that car over a few years. As always, the right answer will lie in what’s best for your individual situation, based on any number of variables – such as the money you have immediately available, access to finance, the type of car you want to buy, and how long you want to own it for. It is true that new cars will depreciate more than used cars, but again – this level of depreciation depends on many factors, and the cost of the depreciation in a new car needs to be balanced against the cost of servicing and maintaining a used car.