Finance expert urges people to not buy new cars for one simple reason

A finance expert-turned-TikToker is imploring people to not buy new cars for one, singular reason: car depreciation. In a TikTok shared on Jan. 6, Humphrey Yang uses the BMW 530i xDrive as an example to prove his point. The car, which comes with driver assistance technology, sells for $56,500. “You should never buy it new because, after the first year, it loses 26 percent of its value, and it’s only going to be worth $43,000,” he says. Yang says that, to get the optimum value from a vehicle, it’s best to wait until most of the car depreciation is gone. That usually happens around the fourth year. “If you want to get the most out of your money, try to buy a car that’s three to four years used with low mileage,” Yang concludes. Yang’s TikTok has since been viewed over a million times. “Thank you!!!!! I am getting a car this yr and want to make a smart choice,” one person said