Should You Buy A New Car -

New cars include full manufacturer warranties, providing peace of mind against expensive repairs. Conversely, five-year-old cars can cost owners $800–$1,000 annually in maintenance.

Federal tax credits for EVs were killed in late 2025, making new EVs significantly more expensive. Leasing an EV may be safer due to rapid technology changes and faster depreciation. should you buy a new car

A new federal deduction allows you to deduct up to $10,000 in interest on loans for new vehicles assembled in the U.S. for tax years 2025–2028. When to Consider Other Options Leasing an EV may be safer due to

Shopping in late spring, summer, or at the end of the year can yield deeper discounts as dealerships push to hit sales quotas. Is buying a new car in 2026 a mistake? : r/personalfinance When to Consider Other Options Shopping in late

To stay financially healthy, put at least 20% down , finance for no more than 4 years , and keep total monthly costs under 10% of your gross income.

New cars can lose 20–30% of their value in the first two to three years. If you plan to sell within five years, buying a 3–5 year-old used car—which has already absorbed this hit—might be better.