New cars typically lose a large share of their value in the first few years. When you buy used, the original owner has already absorbed much of that drop, which can make a gently used vehicle a strong value.

Certified pre-owned programs offered by many manufacturers and dealers add an inspection and an extended warranty, usually for a higher price than a comparable non-certified car. Whether that premium is worthwhile depends on the model's reliability and how long you plan to keep it. Compare what the certification covers with what you'd pay for a similar car plus an independent inspection.

Used doesn't automatically mean cheaper in every way, though. Interest rates on used car loans are sometimes higher than on new ones, and older vehicles may need repairs sooner. Some new models come with incentives that narrow the gap. Run the numbers on a few new and used options side by side, including financing and expected maintenance, before deciding which route fits you best.