When I was 18, I purchased a brand new Ford Mustang. I drove it off the lot with six miles on the car. I think this probably was one of the most financially irresponsible things I’ve done, but there were perks to it as well.
Some of the downsides:
-Car payment. Before I purchased the Mustang, I drove a 10 year old F150. I didn’t have a car payment, and that was awesome!
-High insurance rates. Of course, with a brand new sports car came some extravagant insurance rates. I know at one point I paid around $500 a month for car insurance. Stupid!
-Value lost. After I drove that car off the lot, I lost money. Any new car will start to depreciate after you drive it off the lot.
Some of the positives:
-No car troubles for years. I’ve had a reliable vehicle for 8 years now. Of course, I’ve had to do some maintenance and replace the alternator, but it’s nice to know the car’s history.
-Safe mode of transportation. It’s been nice being a young female and not worrying about the car breaking down. Nothing’s scarier than breaking down!
-The car will hopefully last a long time. Because we’ve had it for so long, we know exactly what’s been done to it and when. That’s a great feeling!
After owning the Mustang for 8 years, I can honestly say it’s been a great car, and fun to drive! I don’t think I will ever buy a brand new car again just for the fact that it depreciates so much after it’s driven off the lot. I know a lot of people like buying brand new cars, but I just don’t think it’s in the cards for me.
When you buy a new car, do you buy new or used? Why?
