Second Hand vs New True Value Check

What this means

No waffle. Just the number and how it was worked out.

Formula used

Calculates cost per year of ownership for both options: (purchase price + expected repair cost − resale value) ÷ lifespan years. Repair risk modelled as 5%, 15%, or 30% of purchase price.

Worked example

New laptop $1,200, lifespan 5 years, resale $200: $200/yr. Second hand $500, lifespan 2.5 years, medium repair risk ($75 expected), resale $50: $210/yr. New wins — barely.

Common questions

Why isn't second hand always better?
A second hand item may have a shorter remaining lifespan, higher repair likelihood, and lower resale value than its new equivalent. If the price gap isn't big enough to cover those factors, new can work out cheaper per year — especially for electronics and appliances.

How do I estimate the second hand lifespan?
Look at the item's age and condition. An appliance that's already 5 years into a 10-year lifespan has roughly 5 years left — but condition matters more than age. For electronics, assume 2–3 years unless it's a premium brand in excellent condition.

What counts as high repair risk?
High repair risk applies to items with known reliability issues, significant wear visible on inspection, older electronics with parts availability concerns, or appliances past their warranty period. 'High' models 30% of the purchase price as expected repair spend.

Should I include the environmental benefit?
This tool focuses on financial value. Second hand goods have a clear environmental advantage regardless of price — extending product life is one of the most effective ways to reduce consumption impact. The financial and environmental cases often align, but not always.