For some reason, Americans love buying new cars. I’m glad they do, because if they didn’t, there wouldn’t be any used cars for me to buy. I really like making good decisions and being smart with my time and money. If I would buy a new car, I would betray these 2 qualities.
Reasons to buy a new car:
- You are allergic to money, and want to get rid of a lot of it very quickly
Reasons to not buy a new car
- You have literally no idea if the new car suffers from poor engineering
- You lose thousands of dollars in value the second you drive it off the lot
- You are not allergic to money, and want to keep as much as you can
Reasons to buy a used car
- Engineering flaws are known, and you can avoid bad makes/models/years you know yielded bad cars
- You don’t want to take a depreciation hit
- You want to know the long term reliability of the car
- You aren’t allergic to money
Reasons to not buy a used car
- You walk, run, or bike everywhere
Only buy a new car if you literally do not need the money (i.e. only if you have all your debts paid, your retirement saved for, and only if you pay for it with cash or take advantage of a 0% APR and invest the difference in muni bonds).