If you are considering purchasing a new (to you) vehicle you may wondering if you should buy new or used. While the appeal of a brand new car is undeniable there are lots of things that you should consider before making that final purchase. Here are just a few of the things you should consider when asking new car or used and which is a better deal?

• Buying a new car-

Pros
1. The overall best reason for buying a new car is just that it's new! The great feel and overall pleasure of driving a new car is hard to beat. The "new car smell", the untouched upholstery and the state of the art controls are an overwhelmingly fun experience. And best of all you may be able to choose colors, options and stylized accessories that make the car really and truly yours. In addition to that, you know where it has been, who has been in it, how often the vehicle has been serviced and more no questions asked because it is you car.

2. Better safety equipment-New cars today come equipped with state of the art airbags, cameras and many other safety features. There are online services for help should you be in an accident or need road side service. Buying a new vehicle means getting all of the latest technology in safety. Each year the major car companies work to improve on their current models, and come out with better features, and safety ratings. You can't get the latest safety features if you do not buy the latest cars. For many, this alone justifies the cost of buying new. The safety of their family is more secure with a vehicle that has been improved upon with rigorous testing.

3. Reliability-A brand new car tends to be much more reliable. While new cars can still have problems, they are far less likely to be subject to the problems that come to other cars due to age and mileage. In addition a new car is often still under warranty, which means that if they were to have a problem, heaven forbid, it should not cost you anything to get it fixed. This can be a really nice comfort to know that at least for a while, you will not have out of pocket expenses for your vehicle other than regular maintenance and fuel. So if reliability is important to you this may be a reason to consider buying a new car.

Cons
1. Higher price-The expression "you get what you pay for" is never truer than when purchasing a new car. New cars have significantly higher prices than their used counterparts. It is important to understand that even a few years can make a big difference in price. When people say that cars lose value the second you drive them off the lot, they are not exaggerating. Often times you can get far better value for your money by purchasing a vehicle that is a year or two old. It often means you get many of the pros of the new, without the inflated price tag.

2. Depreciation-While this falls under the "pro" category for used cars depreciation can be a major issue for a new car owner. While you may love your new car it is important to understand that the second you drive it off the lot it can lose up to 25% of its value. This means that if you change your mind in a week, you will not be able to get what you paid for it, regardless of how "new" it still is.

• Buying a used car-

Pros
1. Depreciation-It is important to understand that new cars lose about 40% of their value within 3 years, at which point the depreciation starts to slow down. If you time your buying to purchase a car that is at least 3 years old someone else has already absorbed the bulk of the depreciation. This means that you get the benefits without the cost. This is especially true if you buy a used car that has low miles, and a good service record.

2. Lower purchasing price-It goes almost without saying that a used car will have a lower purchase price than its brand new counterpart. But the overall lower price also includes: no sales tax, lower financing costs (in the form of fees and interest paid), and lower registration and license fees (which are usually tied to the value of the car). This enables you to own the car with much less cash outlay your part. Buying a new car is much more than just paying the price on the windshield, however, when you purchase a used car, your cost can be greatly reduced, depending on where you purchase it from. If you purchase it from an independent, or private seller, you do skip out on the sales tax, and while you will need to pay to get it licensed and registered in your name, the cost is often significantly less. So, this means you do not need as much upfront, or you do not have to finance as much.

3. Lower insurance premiums-Insurance companies rate their premiums largely based on the age of the car. The older the car the lower the premiums, mostly because that means the car is not worth as much, and thus less expensive to replace. In the excitement of buying a car many potential owners overlook the added on cost of insurance. Buying a slightly older car can save you big in insurance premiums. It would be wise to factor this difference into your budget when trying to determine how much car you can realistically afford. You can call your insurance company and get rate quotes for various makes and models of various years. While some insurance companies offer a new car discount (with the assumption that you will treat it better because it is new), most do not, and even with a discount, it is usually cheaper to insure older.

Cons
1.    Higher repair costs-The chances for expensive and non-covered repairs are higher, reliability can be reduced, and major maintenance costs such as replacing the tires, battery, brakes, and muffler may always be on the horizon.  While a new car may eventually have these problems a used car owner should plan on paying for these problems sooner rather than later. In addition to that, these repair costs often come unexpectedly because information was withheld, or the history of the car was unclear. For example, your engine could be more damaged then you would guess for the age and mileage of the car because the previous owner never bothered to get regular oil changes. In other cases, people do not disclose potential problems, or past repairs, and you end up with a money pit. The fact is, the because you just can't know how the car was treated with certainty, and you do not know where it has been, it is much more likely you will experience problems with the car, often expensive ones.

2.    The "cool" factor-If you are looking for some major satisfaction from your car than a used car may not do it for you.  People who are looking for status, a high degree of satisfaction and the ability to impress might do better buying a new car. A used car is often a better value, but a new car provides status. The value of that is something that cannot be pinpointed as it is entirely up to your priorities and what matters to you.

3.    Warranty-For most cars as soon as it passes from the first owner the warranty become null and void. So, while you can often purchase a limited warranty on a used vehicle, it really only covers major components, which means that the things most likely to go wrong, such as the transmission needing repair, or the clutch, or the brakes, etc. will not be covered, and thus will be additional expenses you have to pay.

While there are many factors to consider the bottom line is this: buying a new car can be a great experience if you can afford do it.  If buying a new car will put you in debt you cannot afford or leave you with a car you cannot afford to maintain and insure than you would be better off buying a used car.  The key to making a wise car purchase (whether new or used) is to do your research before making a final purchase.  Then you can be sure that you have chosen the right vehicle for you whether brand new or used.  In some cases, new might be more appealing, but used is simply more affordable for your current situation, and thus would be the better option. However, a used car that will clean you out in repairs is not worth it, so do your homework before buying new or used.