Factors to consider in choosing to buy a new or second-hand car

When deciding whether to buy a new or used car, examine your financial and life circumstances.

Consider these factors:

Selling price and additional costs. Determine your budget and then see what’s available.

Is the car is worth the price? There are other costs to keep in mind, like the interest rate and how it affects the selling price. Insurance costs increase with older cars.

Look at the affordability of a maintenance plan and the cost of repairs and parts. New cars come with a full manufacturer’s warranty, which gives you an easy way to have many faults repaired for free.

Look at the car’s condition. A good seller will have a service book with a full service history.

Check the mileage. An older car with a lower mileage is likely to be in a better condition than a newer car with high mileage.

Check for any dents and scratches, paint ripples or oversprays that may be covering up signs of an accident.

If you buy a used car, choose a reputable dealer where the cars will have been inspected.

Buying from a private seller may bag you a better deal, but there’s a greater risk that you might be misled in some way. – Faisal Mkhize is from Absa Vehicle and Asset Finance