DUBAI 5 March 2018: Whether you’ve just landed in the UAE or are a long-term resident, choosing your next car is always a challenge.
The Dh100,000 question one repeatedly asks oneself is whether to buy a brand new or used car. So how exactly does one measure peace of mind, value and convenience in a scale? There is no right or wrong answer but we hope to illustrate the trade-offs to keep you a better informed consumer!
● Peace of mind: New cars are without doubt a winner here. You get to pick the new car from the official agency that you can trust and refer back to. As the first owner, the car’s complete history is squarely under your control and you can keep it with utmost care. Since the car comes with a few years of warranty you do not have to worry about any defects down the road. Used cars on the other hand do not guarantee optimal conditions and may soon require costly repairs. Unless of course you purchase a used car that is still under manufacturer’s warranty.
● Value: Since cars depreciate quickly, you definitely get more value for money with used cars. Sometimes this could mean a discount of as much as 20-30 per cent in the first year, and 15-20 per cent for every following year. Though depreciation is universal, some models will do better at retaining value than others and you can draw comparisons using an online used car valuation engine. Overall though, buying a used car will certainly be at a discount that would open up other options for you like getting a higher end model, which may offer more luxury, better finishing or latest tech installations making for a more enjoyable ride.
● Convenience: This factor is less linked to new versus used and more on where you chose to actually purchase the car from. When buying from the official agency, or used car showrooms, they will typically help you with all paperwork including financing, insurance, and registration. Whether new or used, there is typically a premium
purchasing from these locations to cover the overhead of the assistance provided. When buying a used car directly from the owner on the other hand you would typically need to manage the paperwork yourself (and be careful to avoid potential scams!) to get the job done. There are however services out there that can do the work for you such as which feature pre-inspected used cars and a concierge to hand hold consumers through the process.
Overall, if your purpose of getting a car is to get you from point A to B alone, than opting for a new car may be the way to go. It’s simple and hassle-free! If on the other hand you value the driving experience without stretching your budget too far, than used cars are a jackpot for you!