Should I buy a new or used car in 2024? A guide for rideshare drivers

In 2024, the automotive market is in a state of change, with multiple options which can be a lot to navigate when you’re looking at purchasing a vehicle for rideshare driving purposes. New or used? Electric Vehicle (EV) or Hybrid? Is a used car reliable enough for rideshare? What about the depreciation factor?

All these questions and more need answers to make a savvy purchasing choice. This guide aims to help you weigh up your options, offering insights into both new and used car purchases to find the best fit for your needs.

The costs of new vs used

New cars

New cars come with the latest technology, safety features, a comprehensive warranty and relatively predictable servicing and maintenance costs in their first few years. This is reassuring for those who depend on their cars for their customers’ satisfaction and their livelihood, however these new models come with premium price tags which may not be accessible for everyone.

Used cars

Used cars typically have a lower purchase price, making them attractive to budget-conscious buyers. Financial considerations, however, are not the only thing to weigh up; rideshare drivers need reliability in their cars as they rely on them for their livelihoods.  So it's important to be discerning when it comes to used cars for rideshare. So long as the car is a recent model of high quality, well serviced and in good condition, rideshare drivers, in particular, can benefit from the lower initial investment as they focus on maximising their profits.

The depreciation factor

But here’s another hidden factor beyond just purchase price that makes purchasing a used car and even more economical choice: depreciation. New cars usually depreciate at a much faster rate compared to used vehicles – in fact, a new car can lose up to 20% of its value within the first year of ownership.

Used cars, on the other hand, have already experienced the bulk of their depreciation, offering a more stable value over time.

Quality and choice

Two other key factors to consider when choosing to go new or used, are the quality of your vehicle, and the number of options available to you.

Ensuring quality in your used car purchase

While used cars offer economy over new ones, it's crucial to ensure you're purchasing a quality vehicle and have a truthful account of the car’s history and kms driven. Conduct a thorough inspection of any used car you're considering and request a detailed vehicle history report. Look for signs of wear and tear and consider having a trusted mechanic evaluate the car's condition.

Knowing what’s available in terms of choice.

If you're aiming to buy an EV or even a hybrid vehicle, keep in mind that there are fewer options in the used car market. EVs are becoming increasingly popular due to their environmental benefits and lower operating costs, but the market for used EVs is still growing and they’re harder to find without specialist help.

How Splend can help rideshare drivers make a smart choice – new or used

Where it’s typically harder for rideshare drivers to find the latest EVs and a fleet of cars made for rideshare in both new and pre-owned models, Splend is the exception.

Splend offers a wide range of high-quality new and pre-owned cars that are fit for rideshare and meticulously vetted to ensure reliability – including a large fleet of pre-owned EVs. This means rideshare drivers can get the best of both worlds; economy on one hand, and electric modernity on the other, delivering to their passengers’ preferences, their own utilisation targets and their budget all in one. As the owner of the largest fleet of passenger electric vehicles in Australia Splend are the EV experts and also specialise in rideshare so if you're looking for an EV for Rideshare they are the best place to start.

If the economy of buying a pre-owned vehicle is your objective, Splend has rideshare drivers’ backs with a 50% discount on the sign-up fee for their pre-owned range. Additionally, with Splend's pre-owned Flexi Own plans, you can take advantage of Splend Express Ownership, which could mean you own your car outright in as little as 15 months, thanks to the reduced term length based on the age and kilometres done.

Splend also has a range of used EVs available for outright purchase. They can be viewed in person at the Splend Haberfield Hub in Sydney, or our EV consultants can do a thorough digital walk around with you if you are interstate or can't get to the Haberfield Hub. Or you can organise a mechanical inspection at your own cost.

Of course, if you want that new car smell and the most up to date models, Splend has you covered there too. With a large range of new vehicles available to own on their Flexi Own plans. And while buying and financing a new car the ordinary way can be costly, Splend aims to bring you the most cost effective way to buy and own a new vehicle for rideshare.

Finally, when you purchase a vehicle, new or used with Splend's Flexi Own plans, one weekly payment covers not just paying down the car but also maintenance, rideshare insurance, registration, CTP insurance and all your ongoing costs. See how it works here.

About Splend

Splend makes car ownership easier, more affordable and more accessible for rideshare drivers by building everything they need to earn more, pay less and stress less into one affordable weekly payment.

It’s smooth driving, with no surprises and the lowest total ownership cost you’ll find – which is how car ownership for rideshare drivers should be. For more information about Splend, make an appointment and drop by to your local Splend Hub, email us, or say hello on 1800 775 363.