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Buying a car is an exciting event. There’s the new car smell, the feel of a new steering wheel beneath your fingers, and a better quality sound system serenading you on the lot. It’s all so surreal until you sign your name under the total amount.

It’s no secret that new cars lose substantial value as soon as they’re driven off the lot. This means you’re losing thousands of dollars in the first two minutes of enjoying your new vehicle. Is it even worth it?

Used auto dealers may not extend 0% financing, but even a modest interest rate on a used car will be a better deal than a brand new one at 0% interest. We’re talking thousands of dollars in savings.

Many buyers want the new car for the warranty, but pre-owned vehicles come with warranties too. Many of them still have tens of thousands of miles left on their warranties, so don’t count them out just yet!

If you’re buying from an individual without a warranty, inspect the car and test drive it before forking over the cash. It’s also a good idea to ask for the car’s service records and whether or not it was involved in any accidents. Get the vehicle’s VIN number and look up its history report.

Visit government and bank auctions. Many of these vehicles are in excellent condition—they were simply repossessed for the lack of the owner’s ability to pay.

Always keep your budget in mind when buying a new vehicle and consider all options. A pre-owned vehicle is new to you, and sometimes that’s all that matters.