Home > 2015 > Personal Finance

10 Things You Should Never Buy New

Advertiser Disclosure Comments 0 Comments

Some things really are better the second time around. In fact, many used items can be every bit as good as those purchased new. Plus, buying used is almost guaranteed to save you cash.

Without further ado, here’s our top 10 list of things you should never buy new:

1. Cars

This had to be No. 1 on the list, right? After all, we’ve talked about it time and time again. The value of a new car drops like a rock as soon as you drive it off the lot.

Rather than be upside down on your car loan five minutes after signing the paperwork, look for a quality used car that has already taken the huge depreciation hit.

2. Big Toys, Like Boats, Motorcycles & RVs

Actually, that advice about buying a used car can apply to any type of vehicle. With rare exception, virtually anything with an engine, from off-road vehicles to yachts, will depreciate in value. In most cases, you’ll get more bang for your buck by purchasing used.

If you need more help, we have articles on buying a boat and which brands of motorcycle are considered most reliable.

3. Houses

Your house is another big-ticket item that it makes sense to buy used rather than new. According to a 2014 study by real estate website Trulia, a new home costs 20% more than an existing home with similar attributes in the same ZIP code.

Plus, older homes may have better “bones” than some new construction. That doesn’t mean new construction can’t be high quality, but some features that were standard in the past, such as hardwood floors, will cost an arm and a leg to install new today.

And if you love the idea of new construction, don’t forget that an existing home doesn’t necessarily have to be one that’s 50 years old. If you want an energy-efficient home with new amenities, you can probably find it at a lower price if you’re willing to be owner No. 2 or 3.

4. Timeshares

Oh, please don’t ever pay full price for a timeshare. Some people are practically giving them away because they’re so desperate to get out from under the annual fees.

You can find out more by reading our story on whether timeshares are a fabulous opportunity or a financial trap.

5. Books

We could take this category one step further and say you shouldn’t be buying books, period. After all, many of us live near a public library system that can meet most of our reading needs.

However, we won’t go quite that extreme. I personally enjoy having a well-stocked home library, and I realize some books, such as college textbooks, have to be purchased. But that doesn’t mean you have to pay full price.

Head to Half.com or the Amazon Marketplace to buy cheap used books, often as good as new. When you’re done with your books, don’t forget to turn around and sell them to put some of that cash back in your pocket.

6. Movies & CDs

Many of the same places that sell used books also sell used DVDs, Blu-Rays and CDs. No need to spend money for a new disc when you can get a cheaper, used one online, at a garage sale or in the thrift shop. Of course, there’s also the library where movies and music are free for the (temporary) taking.

7. Sports gear

Raise your hand if your kids have ever started a sport and quit after one season. I’m right there with you.

Instead of spending tons for new equipment, go to a specialty store like Play It Again Sports and buy used items. You can also scour garage sales, thrift stores and Craigslist for bargain finds.

Don’t forget to look for fitness equipment for yourself, too. Buying new weights and kettlebells doesn’t make sense if you can get used ones for a fraction of the price.

8. Musical instruments

Musical instruments are another purchase that parents make that could be money down the drain. A quick check of Craigslist shows plenty of people trying to offload old instruments. To avoid buying something overpriced or broken, consider spending a few dollars to have it appraised by a local music store. Or, better yet, buy a used item directly from a shop.

Renting an instrument is another option for instruments — and often you can rent to buy, so you will ultimately own the instrument if your child stays with it. However, keep in mind that renting a clarinet for three years could ending up costing you more than if you purchased a used one in the first place.

9. Jewelry

Like vehicles, jewelry typically depreciates in value, which makes it better to buy used than new. Before buying off Craigslist or from a private seller, be sure to get an appraisal, particularly if a significant amount of money is involved.

Estate jewelry from jewelers or reputable pawn shops are another way to find quality used baubles. If you want to buy online, eBay and ExboyfriendJewelry.com may be good ways to go so long as you keep your eyes open for scams and use a safe payment method (i.e. no wire transfers, people).

10. Pets

Some of you might disagree, but there really is no reason to spend lots of money on a brand new pet when plenty of pre-loved (or not-so-loved) animals are looking for homes. My local animal shelter and humane society regularly have free or almost-free adoption days, during which you can get dogs and cats as well as other pets, from bunnies to birds. Your local shelter might offer the same.

Unless you’re planning to show your pet, spending hundreds or even thousands on a purebred animal is probably not money well spent. The $50 puppy from the pound is just as likely as the $500 puppy from a breeder to smother you with wet kisses and stare at you with unbridled adoration.

This post originally appeared on Money Talks News.

More from Money Talks News:

Image: moodboard

Comments on articles and responses to those comments are not provided or commissioned by a bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by a bank advertiser. It is not a bank advertiser's responsibility to ensure all posts and/or questions are answered.

Please note that our comments are moderated, so it may take a little time before you see them on the page. Thanks for your patience.

Certain credit cards and other financial products mentioned in this and other articles on Credit.com News & Advice may also be offered through Credit.com product pages, and Credit.com will be compensated if our users apply for and ultimately sign up for any of these cards or products. However, this relationship does not result in any preferential editorial treatment.

Hello, Reader!

Thanks for checking out Credit.com. We hope you find the site and the journalism we produce useful. We wanted to take some time to tell you a bit about ourselves.

Our People

The Credit.com editorial team is staffed by a team of editors and reporters, each with many years of financial reporting experience. We’ve worked for places like the New York Times, American Banker, Frontline, TheStreet.com, Business Insider, ABC News, NBC News, CNBC and many others. We also employ a few freelancers and more than 50 contributors (these are typically subject matter experts from the worlds of finance, academia, politics, business and elsewhere).

Our Reporting

We take great pains to ensure that the articles, video and graphics you see on Credit.com are thoroughly reported and fact-checked. Each story is read by two separate editors, and we adhere to the highest editorial standards. We’re not perfect, however, and if you see something that you think is wrong, please email us at editorial team [at] credit [dot] com,

The Credit.com editorial team is committed to providing our readers and viewers with sound, well-reported and understandable information designed to inform and empower. We won’t tell you what to do. We will, however, do our best to explain the consequences of various actions, thereby arming you with the information you need to make decisions that are in your best interests. We also write about things relating to money and finance we think are interesting and want to share.

In addition to appearing on Credit.com, our articles are syndicated to dozens of other news sites. We have more than 100 partners, including MSN, ABC News, CBS News, Yahoo, Marketwatch, Scripps, Money Magazine and many others. This network operates similarly to the Associated Press or Reuters, except we focus almost exclusively on issues relating to personal finance. These are not advertorial or paid placements, rather we provide these articles to our partners in most cases for free. These relationships create more awareness of Credit.com in general and they result in more traffic to us as well.

Our Business Model

Credit.com’s journalism is largely supported by an e-commerce business model. Rather than rely on revenue from display ad impressions, Credit.com maintains a financial marketplace separate from its editorial pages. When someone navigates to those pages, and applies for a credit card, for example, Credit.com will get paid what is essentially a finder’s fee if that person ends up getting the card. That doesn’t mean, however, that our editorial decisions are informed by the products available in our marketplace. The editorial team chooses what to write about and how to write about it independently of the decisions and priorities of the business side of the company. In fact, we maintain a strict and important firewall between the editorial and business departments. Our mission as journalists is to serve the reader, not the advertiser. In that sense, we are no different from any other news organization that is supported by ad revenue.

Visitors to Credit.com are also able to register for a free Credit.com account, which gives them access to a tool called The Credit Report Card. This tool provides users with two free credit scores and a breakdown of the information in their Experian credit report, updated twice monthly. Again, this tool is entirely free, and we mention that frequently in our articles, because we think that it’s a good thing for users to have access to data like this. Separate from its educational value, there is also a business angle to the Credit Report Card. Registered users can be matched with products and services for which they are most likely to qualify. In other words, if you register and you find that your credit is less than stellar, Credit.com won’t recommend a high-end platinum credit card that requires an excellent credit score You’d likely get rejected, and that’s no good for you or Credit.com. You’d be no closer to getting a product you need, there’d be a wasted inquiry on your credit report, and Credit.com wouldn’t get paid. These are essentially what are commonly referred to as "targeted ads" in the world of the Internet. Despite all of this, however, even if you never apply for any product, the Credit Report Card will remain free, and none of this will impact how the editorial team reports on credit and credit scores.

Our Owners

Credit.com is owned by Progrexion Holdings Inc. which is the owner and administrator of a number of business related to credit and credit repair, including CreditRepair.com, and eFolks. In addition, Progrexion also provides services to Lexington Law Firm as a third party provider. Despite being owned by Progrexion, it is not the role of the Credit.com editorial team to advocate the use of the company’s other services. In articles, reporters may mention credit repair as an option, for example, but we’ll also be sure to note the various alternatives to that service. Furthermore, you may see ads for credit repair services on Credit.com, but the editorial team isn’t responsible for the creation or implementation of those ads, anymore than reporters for the New York Times or Washington Post are responsible for the ads on their sites.

Your Stories

Lastly, much of what we do is informed by our own experiences as well as the experiences of our readers. We want to tell your stories if you’re interested in sharing them. Please email us at story ideas [at] credit [dot] com with ideas or visit us on Facebook or Twitter.

Thanks for stopping by.

- The Credit.com Editorial Team