Pre-Owned vs. Brand New: Which Car Should You Buy?


Buying a car is a major decision that requires time and research. Aside from having plenty of vehicle makes and models to choose from, you are also faced with the difficult decision of purchasing a brand new or pre-owned unit.

Believe it or not, this decision can make a heap of difference both in your finances and the value you get for your money. However, it is vital that you understand that cars are no longer considered an investment, and buying one should be pondered upon with a focus on the economical soundness of your buying decision.

To help you make the right choice, below is a comparison between brand new and pre-owned vehicles based on four crucial factors: warranty, functionality and condition, cost, and value.



Most people think that buying a new car is always the better choice because of the warranty offered. Since it is very rare that new cars would need to have repair work done, there is a good chance that your warranty would mostly cover maintenance work on the vehicle.

However, make no mistake as pre-owned cars are not at a disadvantage in this aspect. In fact, many used vehicles still have part of their original warranty, especially in cases where the manufacturer sets a specific mileage count before the policy expires. Plus, some dealers also offer new warranties for certain used automobiles.


Functionality and Condition

One more thing that makes people lean more toward purchasing a brand new vehicle is the consideration regarding its functionality and condition.

Since they are newly released, cars that come straight from the manufacturer may feature the latest technology, lower emissions, and better fuel mileage. In some cases, these vehicles don’t need repair until they are ten years old or have been driven more than 100,000 miles. In this case, the new car you bought may still be in the same condition even after five years.

Following this premise, used cars may seem like they’re at a disadvantage when it comes to condition. 

While it is true that some pre-owned vehicles may no longer spark joy in new owners because of how they run, you always have the choice of looking for the newest available make and model from certified pre-owned car dealers. This will also help you find vehicles with the features you want.



Warranty and condition aside, another primary consideration that buyers think about when it comes to a car purchase is the cost. This covers both the car’s price upfront and possible expenses on repair and customization.

Since they still have a full warranty and have never been driven before, new cars are typically priced higher compared to used cars. In fact, the difference is pegged at 50 percent, which can be daunting if you’re planning to pay for the purchase with a loan.

Of course, repair costs may bring the price up for pre-owned vehicles. However, this can be easily avoided if you conduct proper research and ensure the unit undergoes a thorough inspection before closing the deal.



Aside from the cost, another consideration you have to think about is the value of the car. Over the years, the depreciation of vehicles has rapidly increased. In fact, statistics show that a new car’s value may decline by as much as 11 percent the moment a buyer drives it home.

This is where used cars have the most significant advantage. Since they have been previously owned by another person, the biggest depreciation hit on these vehicles is shouldered by the original owner. Plus, you may even be able to sell the car for the same amount you paid for in the following years.


Here’s to a Money-Wise Car Purchase

Buying a car isn’t a cheap undertaking, but you can easily make the most out of your money by making the right choice between new and pre-owned vehicles. 



Mahesh Rohra is the Director of Arabian Automobiles LLC – AW Rostamani Automotive Group, a trailblazer in the automotive fraternity with a legacy of over 50 years. AUTOTRUST by AW Rostamani is the largest automotive multi-brand one-stop shop in the UAE where you can buy and sell quality pre-owned cars.


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