Buying a vehicle is a significant expense. And, with too many choices on the market, shopping for a new one can quickly become a frazzling experience.
One of the more contentious subjects is whether to buy a new economy car or purchase a high-quality used vehicle. Take note that economy cars look nothing like luxury cars; and the difference lies beyond their looks.
If you’re wondering which one to get, consider the following pros and cons for each option:
What’s A Luxury Car?
A luxury car is made from more expensive materials and a powerful engine. In addition to its posh look, according to Audi Flatirons, car manufacturers prioritize driving pleasure and ultimate comfort as the main features of a high-end vehicle.
Before rushing to your nearest car dealership, consider the following upsides and drawbacks:
Pros Of Buying A Luxury Car
1. Luxurious Feel
High-grade materials, premium feel, and unparalleled performance will always be in a luxury car’s ‘DNA.’ And, it doesn’t matter how old the car is. You can already feel the difference just by getting behind the wheel of a luxury car.
2. Better Performance
If you have a knack for speed and want performance above everything else in a vehicle, a luxury car is your best bet. Generally, an expensive car’s engine delivers the best performance even with regular use. Hence, it can undoubtedly outperform a new economy car in terms of the overall response.
3. Enhanced Safety
All cars, in general, are deemed safe and undergo rigorous testing before they’re released. But what sets this big-ticket purchase apart from others is its improved safety features. For instance, some vehicles only have airbags for the driver and the front-seat passenger. On the other hand, expensive cars have full airbag coverage. Luxury cars also have better traction control and state-of-the-art suspension and brakes, among other above-standard safety features.
4. Steady Depreciation
Vehicles depreciate, and there’s nothing you can do about it. Industry estimates reveal that a car generally loses more than half of its original price within five years. However, this may not be true for top-of-the-line vehicles. Because they’re known to be top-quality and deliver high-performance, these cars wear down less quickly, hence they’ll lose value at a slower pace than their cheaper counterparts.
Cons Of Buying A Luxury Car
1. Low Fuel Efficiency
Because of their powerful engines, expensive vehicles also require more fuel to run. So, you’ll spend more on fuel for these cars as compared to non-luxury automobiles. Furthermore, this means you can’t take your posh vehicle on a cross-country trip, use it daily to drive your kids, run errands, and go to the office–unless you own a filling station.
2. High Repair And Maintenance Costs
If the car you’re planning to buy has been around for several years, the warranty period may have already lapsed, leaving you with hefty fees, especially if your vehicle starts to show signs of engine problems.
In addition, as your vehicle is made from costlier materials, maintaining its top-quality performance will also require much more money than economy cars. That’s because they need unique parts and are more challenging to work on, in general.
What Is An Economy Car?
An economy car is usually a small car that accommodates only four passengers and is known for its high fuel efficiency. While it does the job of taking you from point A to point B, an economy doesn’t have the premium feel and extra comfort that luxury cars possess.
Pros Of Buying A New Economy Car
1. Free Services And Warranty
As a new owner, car dealerships and manufacturers will provide perks and bonuses, such as free service for a limited time and an extended warranty period. Even if you don’t encounter any significant issues with your fresh-off-the-market economy vehicle, an extended warranty and free maintenance or repair offer translate to more savings down the road.
2. Overall Cheaper Cost Of Ownership
Besides the perks that came with every new purchase, like free warranties and lowered interest rates on car loans, you’re less likely to spend for repairs and maintenance in the first year. And, for the second year or so, you’ll have less work done–maybe a few oil changes every few months. Best of all, if your vehicle may need work, the costs may still be covered by the warranty.
3. Comes With Advanced Features
Automakers churn out new models regularly. And, these cars are often equipped with additional features required by the consumers of today. For instance, outdated cars may still carry compact disc (CD) players versus the Bluetooth or touch screen multimedia device that most cars have these days. Even luxury cars sold four years ago may not have the latest entertainment devices that come with newly-released economy cars.
4. Comes With Better Choices
With a luxury car, you’ll have limited choices in design, make, and color. You won’t have this problem when buying a new economy car. As you head into the dealerships, you’ll soon find that they have the model and the trim, complete with the extra features and other add-ons that you’re eyeing for in a car.
Cons Of Buying A New Economy Car
1. May Not Be Worth It
A moderately-priced new car can still put a dent in your savings. Despite the discounts and other cuts, you’d have to pay registration fees, road taxes, a high insurance policy, and other payments imposed on a new car owner.
Don’t forget that cars, especially economy types, depreciate reasonably fast–economy cars lose about 20% of their original market prices every year. Thus, looking for a well-kept two or three-year-old car, or a luxury car, maybe better as long as you can afford it.
2. Less Premium Feel
Even if an economy car claims to be at the top of its class, it can’t rival the comfort and style that one can get from a premium car. With above standard interior and exterior materials, it’s hard not to feel proud and comfortable in an expensive car. Unfortunately, you won’t have these things in your new economy car.
Like any other car purchase, you need to look at three critical elements in choosing whether to buy a new economy car or a used luxury car: your needs, preferences, and how much you’re willing to spend in the long term.
If you’re expecting your car to be a workhorse and a family vehicle at once, it’s better to avoid a luxury car. But if you want to have a secondary car that’s ultra-comfortable and one that’ll satisfy your elegant taste in a vehicle, don’t hesitate to get a luxury car.