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Ask HN: New car or used?

4 pointsby sethjohnabout 16 years ago
The engine just blew up on my old Beamer. ($4K seemed like such a good deal at the time!, its was a beautiful car with 160K) After another $4K in repairs and a blown headgasket...not such a good deal after all...<p>What's the most economical replacement car? A) Brand new Japanese car which I'll take great care of for the next 20 years. B) The same car for a few thousand less with a few thousand miles on it. C) Similar car for dirt cheap with a whole lot of miles on it?<p>I'm not concerned about style or comfort, just trying to figure out what's the best deal economically.

5 comments

SwellJoeabout 16 years ago
Used, obviously.<p>But you should buy from an individual rather than a dealer. You pay a very large markup from a dealer on used cars, and most have a vested interest in keeping the price of used cars as high as possible (because they want to sell you a new car even more than a used car). The dealer also knows better than you when they have a good used car...it's been through their shop, so they know. If it's a "good deal" at a car dealer, then you're almost certainly getting a car that's going to have problems in the future.<p>Also note that standalone used car dealers are often merely dumping grounds for the cars that new car dealers don't consider worth putting on their lot. So, even though a dealer that only deals in used cars wants to sell you a used car and has no interest in you buying a new car, he also generally only has steady access to the cars that new car dealers take on trade-in but don't want to sell on the lot. (There are also bankruptcy and repossession auctions, auctions of distressed vehicles from out of state that are auctioned as scrap and then re-titled as clean through various loopholes in the law, and a <i>few</i> trade-ins from people buying a used car from that dealer and upgrading. But used car dealers are almost universally selling the absolute worst cars available, and at significant markup.)<p>Buying from an honest individual, knowing the blue book price, and having a trusted mechanic go over the car before making a decision, is the best way to insure you get a good deal on a good car. Watch for signs that you're dealing with a hobbyist used car salesman. There are many folks that operate small-scale buy-sell operations from their home, having one or two cars for sale at any given time, mostly purchased through the same shady channels as used car dealers.<p>There are probably exceptions to the always buy used rule. Finding a used sports car that is actually going to last is difficult. Most folks don't know how to care for a performance car, and will drive the hell out of it for a year or two, and then pass it on when it starts getting troublesome. BMWs fall into this category a lot of times. When I bought a 350Z a few years back, I bought new, because the few used ones I could find were already (just a year after they hit the market) pretty abused and had problems.<p>But I'm not even certain that was a wise choice...if I'd waited another year, I might have found more options to buy used. Regardless, the vast majority of cars don't fall into this category, and the more boring the car, the better deal you can get on it used. My folks bought a two or three year old Camry with 30k miles for very little, like maybe eight grand, a few years back.
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CyberFonicabout 16 years ago
I have had several used and new cars. Based on my experiences to date, I would buy a "modest" new car which has been in production for a while and has a good reputation. In my experience Japanese cars are reliable, but I'm wary of the cheapest models. Then keep the car for at least 10 years.<p>Shop around and be on the lookout for sales people "needing to make numbers". On new cars I generally get between 5% to 10% off just by being very aggressive in negotiating. Just apply the same high pressure tactics on them as they would onto you.<p>When I have narrowed the field to the cars I'm interested in, I chat up people in car parks, at work, etc. By asking leading questions like "Would you buy another ....?" or "If you bought another .... what how would it be different from your current on?" or even "What car do you wish you had bought?". Most people are happy to talk about their experiences. You will more likely hear about the negatives and those are the things to look at very carefully in reaching your decision.<p>From my experiences even the best cars are more likely to have problems in a new model range. No matter how good the processes, the incidence of problems is higher before things get shaken down.<p>If you don't care for looks, end of model run-outs are excellent as long as the car is not obviously built out of the last parts in the bin.<p>With the way the economy is, you just have to be able to make a great deal by not getting emotionally carried away.
vakselabout 16 years ago
Depends on the car. If its assembled in Japan, there is nothing wrong with C. You can get a car with 150K miles and it'll run just fine for the next 50K miles. However, if it was assembled in USA/Canada, I'd be wary with it, and wouldn't get a car with more than 50K miles.<p>The assembly point is very important. As an example, with Hondas pretty much all non-Japan assembled vehicles have transmission problems.<p>Getting a new car makes no sense, unless you plan to lease.<p>Go look on Craigslist, there are a whole bunch of good deals on there.
noodleabout 16 years ago
a 1 to 3 year old car is typically your best deal, as the first few years are where the greatest depreciation in value happens.<p>too much older and you start to risk quality.
Femurabout 16 years ago
Have you considered the option of not getting another car?