New vs. Used Car Cost Comparison
Compare the true 5-year cost of buying new vs. used. Includes depreciation, loan interest, maintenance, insurance, and gas.
New vs. Used — 5-Year Cost Calculator
Enter details for both options. We'll calculate the total 5-year cost including ownership expenses.
Frequently Asked Questions
Is it cheaper to buy a new or used car?
Used cars typically have a lower purchase price and lower insurance, but higher maintenance and repair costs. New cars depreciate faster (—20% in year 1) but have warranty coverage. Over 5 years, used cars are often $3,000–$8,000 cheaper total.
How much does a new car depreciate?
New cars lose about 20% of their value in the first year, then 15% per year after. After 5 years, a new car is typically worth 35–40% of its original price. Used cars (2–4 years old) have already taken the biggest depreciation hit.
Should I buy a used car without warranty?
It's riskier. Repairs can cost $1,000–$3,000/year once the warranty expires. Consider buying a certified pre-owned (CPO) car with extended warranty, or budget $2,000/year for repairs on older used cars.