Should I Buy a New Car or Used Car?

[rajendra prasad]

My confusion is as I am a new learner should I take a new one or used one. And my second point is, if I want to pick a used car or new car, which car model should I buy? My budget is Rs 3 lakh to 5 lakhs.

[Roshun]

Ideally, if you are a first time driver, it makes sense to buy a used car, because it would be cheaper and it won't hurt too much if you put scratches on it. Here is a comparison of the Pros and Cons of Buying a New Car or Used Car. My suggestion would be to pick up a used Maruti Wagon-R or an Alto to start with. Replacement parts are cheap. The cars are easy to drive and after a year or two, you will still get fairly decent resale value for it.

[themallustig]

[QUOTE_NODE]"Originally posted by rajendra prasad" My confusion is as I am a new learner should I take a new one or used one. And my second point is if I want to pick a used car or new car, which car model should I buy? My budget is Rs 3 lakh to 5 lakhs. [/QUOTE_NODE] If you are more comfortable driving an automatic, I would recommend buying a new Maruti Suzuki Celerio AGS (Auto Gear Shift). And you don't to worry about the depreciation and old car related issues! You can comfortably learn and keep the car until you feel the need to upgrade. A new Celerio LXi AGS will cost you Rs 4.74 lakh (ex-showroom, Mumbai).

[Arjun]

Rajendra prasad I understand your intention but I am not clear about how long you would keep the car. If you are planning to buy a car first just for learning and then to upgrade to a new car , or would you keep the used car with you even after you learn. If its just a temporary purchase while you learn, and later if you would be buying a new car, I wouldn't recommend it unless you are planning to buy a new car costing >10 lakhs later. If this is your purchase for a few years, I would suggest you to go for a new car with a zero depreciation insurance.The insurance would take care if any big damages happens and smaller scratches would cost the same to repair be it a used or new car. A used car is always more economical , but being a person with very little driving skills and maybe understanding of cars, I would suggest you to stay away from the user car market. Rather go for a new car with full insurance. The warranty+ insurance would be good peace of mind while having your first car. The cars I would suggest would be the Alto K10 or the Renault Kwid 1.0. The Wagon R and Celerio are also good options but it would be costlier.

[divyanshu_26]

Hey , I want to buy a second hand car in Delhi mainly for city drive , my budget is 4L. I am confused that should i go for a petrol or a diesel car? I drive a maximum of 100 km a week, and can anyone suggest some options that would fit in my budget , and what other things should I consider while buying a used car?

[Jijo_Malayil]

[QUOTE_NODE]"Originally posted by divyanshu_26" Hey , I want to buy a second-hand car in Delhi mainly for city drive , my budget is 4L , I am confused that should I go for a petrol or a diesel car? I drive a maximum of 100kms a week, and can anyone suggest some options that would fit in my budget , and what other things should I consider while buying a used car? [/QUOTE_NODE] With just 100 kilometres per week, stick to a petrol car. Plus NGT's order of banning 10 plus old diesel vehicles in Delhi, it's safer to stick to petrol cars for future. You can find a used Maruti Suzuki Swift, a 2-3-year-old vehicle will ensure that car is in prime condition, stick to the ones that have done less than 60,000 kilometres. If you want a Automatic, try the Maruti Alto K10 AGS, it would cost you about Rs 4.25 lakh (ex-showroom, Delhi). It makes city driving a lot easier. Things to check while buying a used car - Check this thread. Pros and cons - Used vs New cars.

[Roshun]

Divyanshu_26
Like Jijo has said, with only 100 km a week, it makes sense to go for a petrol car rather than a diesel. Not only will the maintenance costs be lower, in the long term with the uncertainty surrounding the tenure of registration of diesel cars, petrol cars would be better. For Rs. 4 lakh, you could actually get a new petrol car (ex-showroom price). The Maruti Wagon-R is a practical all-round car at that price point. The benefits of a new car are that it comes with a warranty and you can maintain it the way you want from day 1. You will also fetch a higher resale value when you are ready to trade up later.

[Arjun]

Divyanshu_26 I would echo Roshuns and Jijos suggestion to go for a petrol car. Other than the advantages mentioned by Roshun and Jijo, the petrol cars have also usually lesser kilometers on the odometer. When you go to the used car market it's easier to find petrol cars with <20,000 kms mileage over 4 years as compared to diesels which would have run around 40-50k kms mostly. This gives you an almost new car for the price. You can check out the Ritz, Swift and Wagon Rs. You may get a year old Wagon R for the price

[oommen]

Hi, I am owning a 2003 Hyundai Santro and am planning to upgrade. I have a friend who is looking to sell his 2000 Honda City Exi for 2 lakhs. It has run about 60k kms. Interiors are good; exterior minor scratches are visible.
Now my confusion is should I be choosing a 16 year old sparingly used car or should I consider purchasing a Tiago instead?
Could you please help me with this choice, keeping in mind the cost of ownership of both these vehicles. I completely understand that the City is in a different segment and Tiago is in a different one. What should I be choosing? Please help.

[Roshun]

Old Car vs New Car

Hi, I am owning a 2003 Hyundai Santro and am planning to upgrade. I have a friend who is looking to sell his 2000 Honda City Exi for 2 lakhs. It has run about 60k kms. Interiors are good; exterior minor scratches are visible.
Now my confusion is should I be choosing a 16 year old sparingly used car or should I consider purchasing a Tiago instead?
Could you please help me with this choice, keeping in mind the cost of ownership of both these vehicles. I completely understand that the City is in a different segment and Tiago is in a different one. What should I be choosing? Please help.

I really don't see the value in selling a 2003 model Santro and picking up an older 2000 model City. The price quoted for the Honda City is too high for a 16-year-old car that has now been discontinued. Sourcing parts for it will be difficult, and in due course, it will be tough to maintain. I would suggest going with a brand new Tata Tiago, which you can pick up on EMI from any good bank. The advantages of buying a new car is that it comes with a warranty for at least 4 years, ensuring peace of mind, and you maintenance costs would be much lower. Plus, the Tiago has quite a few features that the old Honda City does not have. I would suggest going with the Tiago, or any other suitable hatchback within Rs. 5 lakh.

[oommen]

Hi Roshun.. thanks for the reply.. things that I am considering are as follows:

1. Investment on the city was be around 1.8 after negotiating. Considering that the car would last for a mininum of 3yrs, during which I might have to service the car 4-6 times an average cost of servicing abt 15k it should work out to a total of 2.4lakhs

2. Tiago I would have to pay a downpayment of 1.5 lakhs and an EMI of 6k for 60months plus service cost would work out much higher.


Am I thinking strainght or is there a different angle to this.. plus I have read that Honda engines last for abt 2lakh kms.. kindly help

[Roshun]

[QUOTE_NODE]&quot;Originally posted by oommen&quot;
Hi Roshun.. thanks for the reply.. things that I am considering are as follows: 1. Investment on the city was be around 1.8 after negotiating. Considering that the car would last for a mininum of 3yrs, during which I might have to service the car 4-6 times an average cost of servicing abt 15k it should work out to a total of 2.4lakhs 2. Tiago I would have to pay a downpayment of 1.5 lakhs and an EMI of 6k for 60months plus service cost would work out much higher. Am I thinking strainght or is there a different angle to this.. plus I have read that Honda engines last for abt 2lakh kms.. kindly help [/QUOTE_NODE]
I agree with your line of thinking. Sure, the Honda City would still be useable, but since the car is 16 years old and with scrappage laws on cars over 15 years likely to come in, your resale value on the Honda City would be next to nothing. You probably will get like Rs 50k at the most if you manage to sell it after 3 years (when the car is 19 years old), if at all. With the Tiago, if you conisider about 35%-40% depreciation in 3 years, you will still get about 3-3.5 lakh. So with both, your effective cost of ownership will be lower. If you are confident of letting go of the City in 3 years, then it should be a fair deal, considering the car has done low mileage and belongs to a friend. By that time, there would be even more choice in the market, and you should also be able to pick a better, newer car.

[Jijo_Malayil]

[QUOTE_NODE]"Originally posted by oommen" Hi, I am owning a 2003 Hyundai Santro and am planning to upgrade. I have a friend who is looking to sell his 2000 Honda City Exi for 2 lakhs. It has run about 60k kms. Interiors are good; exterior minor scratches are visible. Now my confusion is should I be choosing a 16 year old sparingly used car or should I consider purchasing a Tiago instead? Could you please help me with this choice, keeping in mind the cost of ownership of both these vehicles. I completely understand that the City is in a different segment and Tiago is in a different one. What should I be choosing? Please help. [/QUOTE_NODE] I would suggest not to go for the 16-year-old car, for your daily drives. Like Roshun has mentioned, spare parts are not easy to come by and reliability will be a huge concern. Tiago, on the other hand, is great value-for-money, considering the four-year warranty, fuel efficient motor, up to date features on offer. In the long run, you can easily keep the car for many years and have a smile on your face till you decide to upgrade

[KK_HakunaMatata]

Oommen Going for the new or used car is dependent on your priorities and finances available. If you can afford to go for Tiago, nothing like it. But if you want a bigger car at throw away prices, then you look at Toyota Corolla which you can get below 3 lakh for a well-maintained car and Corolla just doesn't age. I bought a 2006 Corolla, last September for 3.1 lakhs here at Bangalore. My advice is to avoid 16-year-old City. KK

[oommen]

Hey guys thanks a ton for the help..