Things you probably don’t know

They’re fun, aspirational, and the stuff that good taste is made of. But are luxury cars all they’re painted to be, and should you buy one brand-new? How about a used luxury car? Here are some things to consider before making that big purchase.

It has high resale value: Among the best financial traits of the entry-level luxury car models is high resale value, which also leads to a more affordable way to drive a prestige model: leasing it. Entry-level luxury cars retain almost half (48.8 percent) of their original value after three years on average, compared to other luxury segments. The lower the depreciation rate, the lower the lease payment.

Maintenance and repair readily cost more: Oil changes along with routine maintenance usually cost more at luxury brand dealerships, although as a selling point, some luxury brands offer free maintenance for the first 50,000 miles on the new car. Luxury dealers are also far more expensive for repairs that go beyond standard maintenance, but one can slash this cost by trying out independent repair shops specializing in a certain segment, such as German cars.

A used luxury car is cheaper upfront, but eventually comes at a higher price: A second-hand luxury unit may be nicer than a brand-new non-luxury one, but the cons are aplenty, too. There’s little or no warranty, there’s more maintenance, and one can expect more expensive repairs down the road. One may also not have all the options or stuck with old technology and less efficiency.

At the end of the day, it’s all up to you: There’s no harm in striving for a high standard of luxury and emphasizing build quality and technology – as long as one can afford it. It’s best to go for a brand-new luxury car at the end of the day to have control over more factors than when one gets a used car, particularly in satisfying one’s desired features and capabilities.

Jeffrey Lupient is the president and CEO of the Lupient Automotive Group. Highly dedicated to the growth of the family business, he excels in business development, automotive dealership, and sales. For similar reads, visit this blog.