{
  "slug": "new-vs-used-car-cost",
  "title": "New vs Used Car Total Cost Calculator",
  "heading": "New vs Used Car Cost Calculator",
  "category": "financial",
  "url": "https://www.revenuelab.fyi/toolbox/new-vs-used-car-cost",
  "summary": "Compare depreciation, financing, and repair risk to see which car actually costs less over time.",
  "description": "A new car loses its steepest depreciation in the first three years, while a used car saves you that hit but can carry higher repair costs and a higher interest rate. This calculator models both purchases over your ownership horizon — purchase price, loan interest, depreciation to resale value, and an estimated annual repair/maintenance delta — and totals the real cost of each so you can see which one wins for how long you actually plan to keep the car.",
  "formula": "Total Cost = Price − Resale Value + Total Loan Interest + (Annual Repairs × Years). Breakeven = the ownership year where cumulative costs cross.",
  "dateModified": "2026-09-06",
  "run_url": "https://www.revenuelab.fyi/api/public/calc?tool=new-vs-used-car-cost",
  "inputs": [
    {
      "id": "newPrice",
      "label": "New car price",
      "kind": "number",
      "hint": null,
      "default": 38000,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "usedPrice",
      "label": "Used car price (3yr old)",
      "kind": "number",
      "hint": null,
      "default": 24000,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "rate",
      "label": "Loan APR (new vs used avg)",
      "kind": "number",
      "hint": null,
      "default": 6.5,
      "unit": "%",
      "min": 0,
      "max": 25
    },
    {
      "id": "years",
      "label": "Years you'll own it",
      "kind": "number",
      "hint": null,
      "default": 6,
      "unit": null,
      "min": 1,
      "max": 15
    },
    {
      "id": "newRepairAnnual",
      "label": "New car est. annual repairs",
      "kind": "number",
      "hint": null,
      "default": 250,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "usedRepairAnnual",
      "label": "Used car est. annual repairs",
      "kind": "number",
      "hint": null,
      "default": 900,
      "unit": "$",
      "min": 0,
      "max": null
    }
  ],
  "outputs": [
    {
      "id": "winner",
      "label": "Lower total cost option",
      "format": "raw",
      "hint": null,
      "primary": true
    },
    {
      "id": "newTotal",
      "label": "New car total cost",
      "format": "currency",
      "hint": null,
      "primary": false
    },
    {
      "id": "usedTotal",
      "label": "Used car total cost",
      "format": "currency",
      "hint": null,
      "primary": false
    },
    {
      "id": "diff",
      "label": "Savings with the winner",
      "format": "currency",
      "hint": null,
      "primary": false
    }
  ],
  "worked_example": {
    "inputs": [
      "New car price: 38000 $",
      "Used car price (3yr old): 24000 $",
      "Loan APR (new vs used avg): 6.5 %",
      "Years you'll own it: 6",
      "New car est. annual repairs: 250 $",
      "Used car est. annual repairs: 900 $"
    ],
    "outputs": [
      "Lower total cost option: Used",
      "New car total cost: $35,227",
      "Used car total cost: $23,402",
      "Savings with the winner: $11,825"
    ]
  },
  "how_to": {
    "title": "How to use this",
    "steps": [
      "Enter new car price ($).",
      "Enter used car price (3yr old) ($).",
      "Enter loan apr (new vs used avg) (%).",
      "Enter years you'll own it.",
      "Enter new car est. annual repairs ($).",
      "Enter used car est. annual repairs ($).",
      "Read your lower total cost option on the right — it updates as you type.",
      "Hit Share to keep the scenario or send it to someone."
    ]
  },
  "scenarios": [
    {
      "name": "Conservative",
      "description": "Lower-end numbers — what if things land soft?",
      "values": {
        "newPrice": 23000,
        "usedPrice": 14500,
        "rate": 6.5,
        "years": 4,
        "newRepairAnnual": 150,
        "usedRepairAnnual": 550
      }
    },
    {
      "name": "Typical",
      "description": "Defaults — the most common real-world setup.",
      "values": {
        "newPrice": 38000,
        "usedPrice": 24000,
        "rate": 6.5,
        "years": 6,
        "newRepairAnnual": 250,
        "usedRepairAnnual": 900
      }
    },
    {
      "name": "Ambitious",
      "description": "Higher-end numbers — what if things really pop?",
      "values": {
        "newPrice": 61000,
        "usedPrice": 38500,
        "rate": 6.5,
        "years": 10,
        "newRepairAnnual": 400,
        "usedRepairAnnual": 1450
      }
    }
  ],
  "limitations": [
    "Results are estimates before tax, fees, and inflation unless an input explicitly covers them.",
    "Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.",
    "This is educational maths, not financial advice. Check anything contractual with the lender or your accountant."
  ],
  "faq": [
    {
      "q": "Does this include insurance?",
      "a": "No — insurance is usually close between a 3-year-old used car and a new one, so it's left out to keep the comparison focused on the costs that actually diverge: depreciation, financing, and repairs."
    },
    {
      "q": "Why does new sometimes win?",
      "a": "If you hold the car a long time, new-car depreciation slows dramatically after year three while a used car's repair bills climb, so a 8-10 year hold often favors new despite the higher purchase price."
    },
    {
      "q": "What repair estimate should I use for used?",
      "a": "Check CPO or independent reliability data for the specific model and age; $700-$1,200/year is typical for a 3-5 year old mainstream car once the factory warranty expires."
    }
  ],
  "related": [
    "https://www.revenuelab.fyi/toolbox/lease-vs-buy-car",
    "https://www.revenuelab.fyi/toolbox/cash-vs-financed-purchase"
  ],
  "license": "CC-BY-4.0",
  "citation": "RevenueLab — New vs Used Car Total Cost Calculator (https://www.revenuelab.fyi/toolbox/new-vs-used-car-cost)"
}