How to pay less for new cars than second hand cars

I t sounds like a pretty enormous contradiction in terms but according to the BBC it’s possible to buy new cars for less than second hand cars, even though the latter have a good few miles on the clock. How? It hinges on financing, and how long you intend to keep the car. Generally, financing for a new car is spread out over a long period of time. It also  comes with various money saving incentives to induce you to buy. That means that if you intend to sell the car within a few years – and before you’ve paid off the full amount, the car won’t have time to depreciate to rock bottom in value. As a result you could still recoup what you paid for it in the time that you own it If, on the other hand, you bought a second hand car with one initial payment not only will the car depreciate in value much more quickly than a new car, you may have paid out more to begin with than you would have over an extended period for a new car. According to research by the AA most people intend to buy a new car within 5 years. With that in mind it makes sense to shop around for the cheapest financing deal on a new car which you will then be able to sell for a greater profit in the shorter term. And that’s how to buy new cars for cheaper than second hand cars. Thanks Beeb. Click here to find out which second hand cars could make you money