A reader recently wrote in with a question that pops up more often than dandelions in a spring lawn:

“I need a new car — we want a Honda CR-V, but after looking at the used car listings, it looks like new might be a better deal, especially since it saves me from putting much money down.”

To which I say no, no and NO! Unless you can pay cash up front for a car you’re committed to drive until 300,000 miles or the wheels fall off (whichever comes first) — put down the pen, step away from the dealership, and let’s talk!

This is a classic scenario. You start out looking for a practical, reliable used car. But before you know it, you’re sipping bad dealership coffee, staring at a contract for a brand-new CR-V with payments that could fund a small island nation. And since the CR-V has been one of the bestselling SUVs in America for years, this exact situation plays out daily across the country.

Why does this happen? Because buying new is easy. Dealerships make it effortless to drive off in a shiny new vehicle, while scoring a great deal on a used car takes effort. It requires patience, research and the ability to dodge fast-talking salespeople like you’re starring in an action movie.

But don’t worry — I’ve got you covered. Here’s how you can land a reliable used car without feeling like a clueless extra in a dealership’s high-pressure sales script.

STEP 1: FIGURE OUT WHAT YOU REALLY NEED

You’re thinking about a Honda CR-V, which makes sense. It’s roomy and reliable, and it holds its value. But before you commit, ask yourself: Do I actually need an SUV?

If you’re not regularly hauling a soccer team, driving through snowdrifts or towing something, a smaller car might serve you just as well — without the higher price tag, extra maintenance costs and lower gas mileage. The 2025 CR-V gets around 28 mpg – 34 mpg, but a good used sedan or hatchback, like a Honda Civic or Toyota Corolla, can push 40+ mpg. Over 10 years, that difference could easily add up to $8,000 or more in fuel savings alone.

And if cargo space is your concern, don’t forget about roof racks. A $500 Yakima or Thule cargo box is a lot cheaper than spending an extra $10,000 on an SUV just for the occasional Costco haul.

STEP 2: DECIDE HOW ‘NEW’ YOUR USED CAR NEEDS TO BE

A car’s biggest depreciation hit happens in the first three years. That’s when it loses a whopping 40%-50% of its value. By simply buying a car that’s three to five years old, you let someone else take that financial punch for you.

Example: A brand-new 2025 Honda CR-V EX runs about $32,350 before taxes and fees. A 2020 model with 50,000 miles? About $24,000. Same car, same reliability, $11,000 saved.

And if you don’t drive much? Even better. A 2018 CR-V with 80,000 miles is often $18,000 or less, and these things easily last 200,000 miles with proper care.

STEP 3: STALK CRAIGSLIST, FACEBOOK MARKETPLACE AND LOCAL LISTINGS

When searching, be patient and set alerts for your preferred model. Look for sellers who:

— Have maintenance records (a unicorn, but they exist!)

— Write detailed, honest descriptions (not just “runs good”)

— Are individuals, not dealerships (avoid unnecessary markups!)

Pro tip: Look for well-off sellers who are upgrading just because (not because their car has issues). Someone trading up to a Tesla might let go of their perfectly good CR-V for a steal.

STEP 4: MAKE THE OFFER LIKE A PRO

Once you find a solid candidate:

— Check the value on sites like Kelley Blue Book or Edmunds.

— Contact the seller and confirm key details before meeting.

— Make an offer before you show up. Something like: “I see similar models going for $16,000. I’d be happy to offer $14,500 cash. If that works for you, I’d love to check it out.”

Why? Because it keeps you in control. If they agree before you even see the car, you know they’re serious. If they don’t, you’ve saved yourself a trip across town.

STEP 5: SEAL THE DEAL AND ENJOY YOUR SAVINGS

Once you inspect, test drive and get a mechanic’s thumbs-up, pay up and enjoy the victory. You just saved thousands and avoided years of loan payments.

THE BOTTOM LINE: NEW CARS DON’T SAVE YOU MONEY

Some people think buying new “saves money” because they don’t need a big down payment. But that’s backward thinking. The moment you drive off the lot, a new car loses 10-15% of its value. In five years, it’s worth half of what you paid. A lightly used car? It holds value much better.

Instead of pouring money into a new car loan, think about your future self — sitting comfortably with an extra $30,000+ in the bank instead of car debt. And if you really want to turbocharge your finances, invest what you would’ve spent on a new car. In 10 years, that money could easily turn into $60,000+ thanks to compounding growth.

So take a breath. Skip the dealership. And start hunting for a solid used car. Your bank account (and future self) will thank you.

P.S. Think it’s only in your dreams that you could ever pay all cash for any car? Think again, my friend! Let me show you how to do that at EverydayCheapskate.com/allcash.