The problem with new models: think twice about buying a newly designed model in its first year.(SPECIAL AUTO SECTION)

When a new model is introduced, the media buzz and marketing hoopla can tempt you to be the first on your block to drive one home. But this can cost you in dollars, time, and hassle.

CONSUMER REPORTS' auto-reliability surveys show that most newly designed models have more problems during their first model year than in the model year before or in the model years that follow. First-year models continue to have more problems as they age (see "First-Year Designs Can Affect Long-Term Reliability," box below). Our advice: Wait one or even two years before buying a new design until the manufacturer has had a chance to work out the bugs.

Most models change very little from year to year. But in a typical year, there can be 25 or more models that are either new or have undergone a major redesign. A redesign is often referred to as a new generation for that model and typically involves significant changes to the body chassis, drivetrain, and interior.

For this article, we analyzed our reliability data for 79 models that were introduced new or underwent a redesign in the 2000 through 2002 model years. More than half had noticeably fewer problems in their second model year and about two-thirds had fewer problems in their third model year than in the model year in which the new design was introduced.

Moreover, about two-thirds of the redesigned models had more problems in the first model year of the new design than in the previous year's version (the last year of the previous generation).

Overall, new and redesigned models averaged 41 problems per 100 vehicles in their first model year, compared with 33 and 29 problems for the second and third model year. That's a 20- and 29-percent drop in problems, respectively. Similarly redesigned models had an average 44-percent higher problem rate--or 11 more problems per 100 vehicles--than the previous model year.

Some models experience dramatic improvements in their second- and third-year problem rates. For example, the Dodge Grand Caravan and Chrysler Town & Country minivan twins and the Chevrolet Suburban and GMC Yukon XL large-SUV twins had about 40 and 50 percent fewer problems in the second and third model year following their redesign than they did in the first model year.