Never negotiate based on monthly payments. Focus strictly on the total price including taxes and fees to avoid hidden dealership markups.
In some popular models, like the Toyota RAV4, a three-year-old used version may only be $5,000 cheaper than a brand-new one. When factoring in lower interest rates, the monthly payment on the new car can actually be lower. 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. Never negotiate based on monthly payments
In 2026, new car loans average around 7% APR , while used car rates sit much higher at roughly 12% . Well-qualified buyers can even find 0% APR offers from some automakers to move stagnant inventory. like the Toyota RAV4