Pros and Cons of Buying a Used Vehicle

If you are planning to spend $15,000 or more, you may be able to choose whether to buy a new or a used vehicle. However, if you must spend less than $15,000, you're most likely getting something used. Here are some pros and cons about buying used vehicles.

Pros

• Used vehicles are generally less expensive than new ones.
• You can chose from a wide variety of vehicle make, model and year.
• Insurance is generally less expensive for used vehicles.
• Newer vintage used vehicles remain pretty reliable.
• You have no initial depreciation to consider.

Cons

• Used vehicles rarely do come with warranties; you buy it 'as-is'.
• Without a paper trail of the vehicle's ownership, you risk buying a rebuilt vehicle.
• Interest rates are generally higher for used vehicle loans.
• Scheduled maintenance may not have been performed.